Primorus Investments Share Discussion Threads

[2magpies] 18/3/2024 09:11

"betterupthandown1
17 Mar '24 - 15:20 - 3386 of 3391"

Excellent post. Spot on.

[katekat] 18/3/2024 08:06

Down 9 Percent is 4 minutes,

The board have to be removed this is sickening.

The board will take this company private now.

[katekat] 18/3/2024 00:26

Chutes, sadly I think you incorrect on above, and westernwinston has it correct, why else would he want to fall out with the 2nd largest prim investor. that seems to have happened. Have you noticed they are not actually talking to each other on here, but instead they are both talking to us as the smaller shareholders.

If Ball stays with us and the share price drops by the 1.5p dividend he’s lost over 100k, if the share price only drops 1p he’s still lost from the dividend and not gained a penny from it if paying 39% tax rate on a dividend, why else would the board do it this way, he leaves and the board gathers the shares, prices drifts down and the company goes private.

We need a Fresho update now urgently in the week.

A 30% dividend is unheard of and now we know why, and money will always bring out the worse in some people.

[chutes01] 18/3/2024 00:10

He won’t do that
Trust in Paddington

[westendwinston] 17/3/2024 23:07

Sounds like old Paddington may had some of his own tax losses to offset these dividend monies. Of course he prob influenced final decision. But Should done share buy backs!!With all this criticism - bet he pushes to take it private next! No need for buy backs then

[chutes01] 17/3/2024 16:06

All fair enough Rupert, it just appears PRIM have a large notifiable holder who didn't anticipate a near 30% dividend to be paid out at any time, hence he ends up with a large tax bill and now there is a tap of some 18 million plus shares - That's not the outcome any of us wanted this week, is it.
But a buying opp will present itself as you say, lets see how this week plays out.

[betterupthandown1] 17/3/2024 15:20

It's not for the company to make decisions on the basis of individuals tax positions.

If individuals decide to hold shares outside of a tax wrapper that is entirely their decision.

Nobody is losing money as claimed but rather having to pay tax on income -which is how normal economies work. Paying tax is not bad -it means you have made some money.
The share price went up on the back of the dividend announcement and will no doubt move down ex divi -this is a function of markets and a very basic sum which happens in listed companies paying dividends. More of the decision is whether the share price reflects the companies assets and prospects.

If individuals have made losses on other investments then again that is the individual and their advisors to sort out not the company.

People who choose not to hold shares in an isa's etc or do not invest within a pension for example will have to pay tax or find other ways of mitigating tax.

Its totally bizarre to blame a company for individuals tax planning( or lack of).
Most people complaining about a dividend have been screaming for the company to redistribute some of the profits. We have -sort your own tax out.

I have made it clear that we reorganised the capital structure in order to have the ability to redistribute profits - in which ever way the Board feels is in the best interests of all shareholders and the company.

If you don't want to invest in an Aim investment company which wants to reward shareholders then there are plenty( if not the majority of invest co's on Aim) who have no plans to do this but instead like to issue confetti shares and pay themselves excessively. If that is the sort of company which you want to invest in then you know what to do.
The best bit is that investing in these companies means that you will never have to pay a penny in tax - have a think about that.

There will be plenty of investors who do not let the tax tail wag the investment dog.

Also the Board has no say over where the share price trades, so some of the comments on here are absolutely ridiculous. If you thinks it's too low or too high then you individually can make up your own minds about what to do.

Of course that is every investors choice and not a recommendation as I think Prim has great prospects but if you're not happy at being paid a dividend then maybe its time to move on. If you want to remain a holder of Prim shares then I suggest those who have not thought about the financial implication of redistribution of profits seek financial advice and plan their financial affairs in a more tax efficient manner.

I personally find it simply staggering that investors are wingeing on about being paid a dividend from one of the few Aim invest companies to do this. All it requires is some fore thought and some basic tax planning.
If you don't understand this concept then please take some professional advice.

[chutes01] 17/3/2024 13:53

lets hope the market doesn't discount the full divi this week, otherwise there has been an issue created for investors, effectively wiping a 39% tax charge of an already depressed price, add to that the huge selling we may see for weeks to come as Steve and others depart
Rupert ?

[timbo] 17/3/2024 12:36

It sounds like you have a lot of your PRIM outside of ISAs if you've a dividend issue. Although I haven't been in PRIM for some time I wondered if a (reverse) variant of Bed and ISA might work with a sympathetic broker/market maker.Assuming you have ISA's stuffed from previous years' allowances with non-PRIM stocks (say FTSE 100 stocks). ISA Sell £100k non PRIM stocksPurchase £100k PRIMTrading Purchase the same £100k non PRIM stocks sold from ISASELL £100k PRIMdividend is accounted for within ISA.

[steveb77] 17/3/2024 11:51

Edited,

I have now sorted my own issues.

[chutes01] 17/3/2024 00:17

Steve,
You seem to have taken a large stake in PRIM without giving much thought to the scenario we now face, an investment buy-out and subsequent redistribution of funds by way of divi, and all the associated tax implications, esp as you already pay yourself a large divi.
Lets just see how the price settles out at end of week, but now I wouldn't be selling anything around 5.5p, just nonsense.
We may see a share buy back at some point.
GL

[rthak] 16/3/2024 21:51

If anyone is concerned about the tax can they not do a bed and Ida (assuming isa allowance for the year is sufficient). The transactional costs of doing so are very small (your broker should give you a tiny spread) and then the dividend is entirely tax free!!!

[masterg1] 16/3/2024 01:16

Steveb77 you are clearly very knowledgeable on tax and confirms what I thought to be your background. You clearly have a strategy for your investment and took a substantial stake. Your buying and selling affects the price in a stock which lacks liquidity. Who is to say that your selling to realise a capital gain does not affect the price. I believe buyback helps short term investors more than long term and would be detrimental to liquidity. I am a long term investor and have split my investments via a SIPP, ISA and ordinary account. I am invested here due to potential for longer term growth and future regular and occasional special dividends such as this. I would have been disappointed had the board not approved this dividend. I will be looking to re-invest some or all of the dividends in the SIPP and ISA, on sufficient drop in price. The Cash will allow me to re-invest in PRIM or elsewhere. It will depend on the perceived opportunities available elsewhere or here on receipt of cash.
I will let the tax take care of itself on the ordinary account, its sometimes hard lesson to learn for people trying to minimise tax end up making a loss when there was an opportunity for profit to be taken.
I am not connected with any other shareholder in PRIM and currently support the boards decision on this matter.
Those concerned with tax consequences should consider arranging some or all of their investments through tax efficient wrappers such as SIPP and ISA.
Those with foresight should have foreseen future dividends, when the company tidied up the balance sheet.
These are my thoughts on the matter and I do not get involved in discussions on BB's very often. I have only posted due to having an opinion on the matter, and having time on holiday.

[steveb77] 15/3/2024 21:45

Edited Post

I’ve now sorted my own issues.

[b00mb0y] 15/3/2024 17:04

“Market is saying price goes to 3.5p next Friday 22/3, after divi allocated.
Just silly”

Katekack said we could be arround the 0.16p share price after divi allocated. Hmmmmm………

I know what I would like.

[katekat] 15/3/2024 16:14

4.5p bid price is just 6.2 million market cap.

5.8 million in bank making interest, this is payapps and bushveld, I am guessing we wasn’t skint before hand, so maybe a little over 6 million in the bank,

Clean Power Hydrogen 400k can sell if want to now,
Interpac just put 400k in

Alt put £500k in, must be worth double as we control it.

then Fresho worth a fortune to us.

[cwa1] 15/3/2024 15:58

XD is next Thursday, 21/3

[chutes01] 15/3/2024 14:31

Market is saying price goes to 3.5p next Friday 22/3, after divi allocated.
Just silly

[medusala] 15/3/2024 14:09

Yeah massive difference between tax rates - maybe Paddington had legal / tax advice to pursue this avenue ?

[katekat] 15/3/2024 13:47

Monumental mess up here, Holders are selling for almost cash in bank price, Is it the huge tax cost on dividends as megaman has said if so they need to rethink and buy the shares back instead.

If nothing is done, then someone could throw a low ball offer and we are all out.

[medusala] 15/3/2024 10:01

Worst case possible is zero. "Engage Must be near an Ipo, Worse case possible must be 2 Million for Prim just to get back what they put in."

[2magpies] 15/3/2024 09:53

winston: a point of detail, chap .. wrong 'bear' !

[westendwinston] 15/3/2024 09:43

Ceo hopeless. It's one man Paddington board. Bet old Paddington was gonna take it private at one stage. He knows he was too!

[katekat] 15/3/2024 09:35

I do not understand why the share price is 5p.

I think now is the time to consider a new board as something is clearly wrong and it is not the bank balance or the fresho investment.

[tyranosaurus] 15/3/2024 09:03

Share buybacks does not guarantee a higher share price.
Logistics Development have been buying back for months and the share price has gone nowhere.