Serabi Gold Share Discussion Threads

[tightfist] 03/5/2019 20:51

I note that Christopher Kingsman (Anker Holding AG principal) has today announced an increase in his holding in Adept Technology (ADT).

[tightfist] 03/5/2019 20:31

Thanks Loganair; I think we also need to remember that the two executive directors (MH, CL) only hold about 0.1% between them - see page 73 of the Annual Report. And it was unchanged throughout 2018....... Banados holds the vast majority of the BoD holding.

[loganair] 03/5/2019 20:12

Major Shareholders as at 03rd May:

Fratelli Investments Limited.........32.8%
Greenstone Resource..................25.3%
River & Mercantile Asset Management..10.5%
Garraway Capital Management...........4.8%
Drake PIPE Fund.......................3.9%
Eldorado Gold Corporation.............2.9%
Directors (excluding Fratelli)........2.1%

[sherry35] 03/5/2019 20:04

SBI filed a "Early Warning Report", on May 3rd in SEDAR, announcing "River and Mercantile" has become a 10% holder of the O/S share count. Though the filing isn't specific on the nature of the share increase from 9.72% to 10.50%, the shares were most likely acquired out the public LSE/AIM market.

hxxp://cloud.stockwatch.com/News/Sedardoc.pdf?docid=4303493

[sherry35] 02/5/2019 15:05

tightfist - Thank you for the citywire news release. At least for now Garraway hasn't sold any shares.

What I find interesting is SBI started trading lower after the City to Garraway transfer was complete on March 26.

[loganair] 02/5/2019 14:49

Serabi seems to have settled back down, after a few days of many, many trades per day to just one or two.

[tightfist] 02/5/2019 08:36

Anker Holdings AG is owned by one Christopher Kingsman, somehow a familiar name. He was appointed an NED of Adept Technology on 8th November 2017 having been a major long-term and increasing investor in ADT. Importantly I note that CK was also a past director of Serabi Gold......CK's LinkedInn profile is values-based and ADT is a long term, successful and acquisitive AIM IT outfit (which I hold). IMO this maybe suggests that Anker are not likely to be pursuing an exit plan?

[tightfist] 02/5/2019 08:06

Hi Sherry,City Financial went into administration in March, here is the 26 March announcement of the new role of Garraway:.hXXps://citywire.co.uk/wealth-manager/news/boutiques-big-plans-for-250m-city-financial-transfer/a1214449.Hope that helps understand the UK jigsaw! tightfist

[sherry35] 02/5/2019 03:11

Hi PPVN,

I just spent a few minutes studying the two TR-1 reports both news released on March 28th 2019 noting the threshold crossing dates differ by one day.. Taking some data entry errors into account such as typos or miss understanding of data integrity constraint of a field in the form, I'm left with the impression that "City Financial Investment Company Limited" sold its "5.00%" (2,947,500 shares) to "GARRAWAY CAPITAL MANAGEMENT LLP" which now holds "5.02%".




I've seen similar data entry issues with insider filings in Canada. My favorite is the missing strike price on the stock options.

To conclude, I believe this was a institutional transfer of shares from City Fin. to Garraway on March 25th/26th. The one day differential could be attributed to the nature of private transaction outside the public market. It probably involved different brokerage houses to transfer the shares thus adding to the one day. Have you contacted Clive on this matter? The executive team should be fully aware of this given the news releases.

[tightfist] 01/5/2019 22:08

Hi PPVN,I am not sure either...... However (although I may be over-thinking this) the date of the 16th is "the date the threshold was crossed" (which I take to mean 5.00% was crossed) NOT the date when Garraway reached 4.86%.Anyway, selling by Garraway and Anker Holdings encircles us and is currently of a larger scale than R&M buying. That much we do know!Cheers, tightfist

[ppvn] 01/5/2019 19:29

Hi tightfist,

I'm not really sure of anything at the moment I'm afraid!

I just thought since they filed their RNS yesterday and reached their current 4.86% holding on the 16th April that would mean they haven't sold any between that date and yesterday - which to me at least could indicate that they were pausing sales below around 37-40p. At that time the spread was ridiculously wide (don't ask me how I remember it's a sore subject) 37/45p; I figure perhaps because their sale order could have been placed around 40p.

They don't appear to have sold any since though from what I can guess at though so maybe Anker just figured to sell first. I suppose we will never know. Bloody cheap here though I still think.

And yes, commercial production (if they can't fund via loans or other non-dilutive means) could be on the cards! Wouldn't be the worst thing at this price though!

[tightfist] 01/5/2019 19:14

Hi PPVN,Are you sure Garraway are not still disposing of stock? In post 2043 I suggested that only whole numbers have to be declared which means that Garraway would be able to sell 0.86% (500,000) shares and then, on top, there is the timing delay aspect as well - I guess the clock would have started again this morning.The bottom line is that somethings are going on in the background! Another unlikely twist could be a buy-back into treasury then selling to an ii at a higher price later in the year..... are there any warrants/convertibles that need to be filled imminently?Unless a rabbit emerges I can foresee Coringa commercial production being delayed and funded organically and more slowly by Palito and Sao Chico operational cash generation.

[ppvn] 01/5/2019 18:47

Well I don't know what is going on but it certainly is a bit terrifying.

Something Lessentin pointed out though; Garraway sold their small position on 16th April and haven't subsequently disposed of any. Could it be possible that Anker got wind that their shareholding was out for sale and decided to just dump their stock?

If Garraway reached the position on 16th April and haven't sold any since that would appear they had a reasonable sale in the market that they have pulled for the time being. Maybe Anker had been looking to exit and just thought getting rid would go quicker.

Either way, I suspect tomorrow may be another red day. Many more buys than sells and yet no large prints appear... they aren't done yet by the look of things.

[sherry35] 01/5/2019 18:47

One more prediction based on crashing the share price Stock options to be issued between now and end of June. That's the only insider trades that I'll see filed in Canada.

[sherry35] 01/5/2019 18:03

As of 12:45 PM EST, there are 3 orders on the BID of which one is mine at 50 cents. The share price was walked down as shares were sold into cascading BID orders. The 57, 55 and 53 cent trades weren't on the BID at 11:00 AM EST. The 3+ month 15000 share BID order got taken out today.

This type of bi-directional ratcheting burst trading behaviour has been going on for 4 or 5 months. It's good sign should gold move north and the institutions hit the BUY button.

2nd last column is Buyer, last column is seller. House 1 is anonymous which means it can be any brokerage house.

May 01 11:38:08 AM 0.51 7500 7 1
May 01 11:38:08 AM 0.51 500 7 1
May 01 11:38:08 AM 0.51 500 7 1
May 01 11:38:08 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:07 AM 0.51 500 7 1
May 01 11:38:04 AM 0.53 500 1 1
May 01 11:38:01 AM 0.55 500 1 1
May 01 11:36:24 AM 0.57 500 1 1
May 01 11:36:20 AM 0.59 500 1 1


www.stockwatch.com is another great site for CDN market information. Here is a similar trade history to the one above. This site summarizes the trades across multiple CDN exchanges. Look at MND for an example. Familiarize yourself with various markers by looking at the legend. Interclient trades and crosses are flagged on the trade.

Trades for C:SBI on 20190501 - 20 trades displayed
Time ET Ex Price Change Volume Buyer Seller Markers
11:38:08 T 0.51 -0.10 7,500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:07 T 0.51 -0.10 500 7 TD Sec 1 Anonymous K
11:38:04 T 0.53 -0.08 500 1 Anonymous 1 Anonymous K
11:38:01 T 0.55 -0.06 500 1 Anonymous 1 Anonymous K
11:36:24 T 0.57 -0.04 500 1 Anonymous 1 Anonymous K
11:36:20 T 0.59 -0.02 500 1 Anonymous 1 Anonymous KL

For a private placement to be approved, SBI needs to CONSISTENTLY trade for 10 days in well defined range. So, I don't foresee a placement announcement for at least another 10 to 15 trading days.

TAG - the bot traders are it!!!

[sherry35] 01/5/2019 17:35

There one other reason for Anker to sell their shares. Their internal asset mgmt policies dictate position liquidations if the share price drops below a defined price in the policy. However, looking at the daily chart and the TP-1 filing, Anker started the move south thus fulfilling any breaches in their own asset mgmt. policies.

[sherry35] 01/5/2019 17:28

IronStorm - I agree with you on the priority of paying the Coringa obligation over share buybacks. The float is so tight that SBI would move the share price north very quickly. The regulators may not approve the buyback given the low liquidity of the stock.

Anker Holdings AG exited their position because they are either frustrated with the wait on their investment, more dilution is coming due to placement or better opportunity has come along with a more immediate return. As for the former, I can't blame them if this is the case.

The institutions are controlling close to 80% of the O/S shares. Prior to the Anker Holdngs AG dumping, none have bought shares out of the public market, even before the reverse split. This begs asking the questions:

1) is SBI's business plan a profitable one? (look at the ASIC)
2) lack of confidence in executive team?
3) gold spot price will tank over the next 3 to 5 years?
4) Brazil is a geo-polictically unstable environment?
5) poor currency exchange

Throw in the positions of ELD and the non-responsive executive team (insiders), 85% of the shares are under full control in a low stock liquidity situation. Look at the trading behaviour over the past few weeks by the bots and timely placement of BID/ASK orders. It's all controlled.

The only thing that appears not to be controlled is the Anker's dumping of shares into the market. Why wasn't this done as arranged block trade (shhhhhh!!!). Instead, they pound the BID down while the executive team looks the other way.

So, for this stock to move north, it will require the institutions (includes ELD) and insiders to start buying out of the market -> hasn't happened in 5 years. The only other driver is a buyout offer from a major. So, the institutions aren't either finding the SBI story compelling enough to buy into the ASK or they want another round of cheap placement shares. Which is it?

[ironstorm] 01/5/2019 16:06

well they need the money they have to develop Coringa thats why I don't like it.

No point buying in the to go back out to the market for the required funds.

Unless you could put them in Treasury and sell at a profit back to the market. But thats not what they do.

[loganair] 01/5/2019 15:54

I've never been in favour of share buy backs as they're often a complete waste of money showing that the management haven't a clue what to do with any spare cash, haven't any investment ideas for the spare cash.

I always much prefer a Special Dividend rather then share buy backs which to me is just a con to increase earnings per share.

[ppvn] 01/5/2019 15:29

I am astounded nobody thinks that a buyback would be in serabi's interest at this point. Their cash balance is worth 20p/shr so the mines would be valued at just over a million pounds each.

Can anyone think of a cheaper gold mine to buy than those? Anyone?

Shouldn't be long until someone with deeper pockets than me comes along.

[ironstorm] 01/5/2019 15:00

PPVN $15mn and growing rapidly.

[ppvn] 01/5/2019 14:44

I initially thought a placement when there were all buys below the mid point last week. Behaviour of the share is strange, but I drew the conclusion (hopefully not famous last words) that it was unlikely a) because of where the share price is but also b) greenstone have a seat on the board (and Fratelli the historical connection). Since they already own 25% of the company any placement would only really reduce the value of their total holding.

This seemed to be reinforced when R&M were buying on market; surely they would intend to take part in an off market offering rather than buying on market - so I figured it was "just" anker and garraway, and they will eventually be done selling.

Edit: plus, serabi have around $15m in cash at the moment anyway!

[lessentin] 01/5/2019 14:07

...and yesterday’s holding notice re:Garroway was for a transaction on the 16th april according to the notice

[loganair] 01/5/2019 14:00

As far as I can see it is only Anker that are selling their lot while Garraway have only reduced by 0.17%.

[tightfist] 01/5/2019 13:55

Hi Sherry,PPVN has already given some insight. I am no expert but IIRC AIM rules are that holders over 3% have to disclose when they go above whole number %'s (eg R&M) and similarly below (eg Garraway). They (Anker) are now off the radar screen at below 3%, meaning that Anker can now potentially overhang the market for a long time...... Someone will have a plan not let that happen? Sometimes you see sales volumes to fall just below round-numbers so it seems further sales are obscured.I think holders have 3 days to make a declaration, but you seem to see lots of reasons for exceptions, but not at SRB.After months of inactivity I am curious why Anker and Garraway have both simultaneously decided to reduce their holdings. In contrast, R&M have just shown their willingness to stump-up a small amount of cash. My GUESS is that a modest placing is being speculated in conjunction with the Q2 PEA publication, but WTFDIK. Greenstone reportedly hold 25.27%, unless they get dispensation from the 30% bid rule a placing equally shared pro-rata between Greenstone, Fratelli and R&M would be limited to +18% each or +12% ($3m at the current sp) overall across the entire issued equity.We'll see how things actually play-out! tightfist