Silverdell Share Discussion Threads

[pj 1] 25/7/2013 12:28

Shares suspended, Administrators currently running the Business, yet allowed to buy a Bankrupt Business.

Can't get my head around it, highly unusual, must be a first?

[extrap] 25/7/2013 12:13

Hippo - don't think we yet know enough about the circumstances of the suspension to say who should be sacked. Where do you get the 100% dilution from? - let's have your calculation please...

[pj 1] 24/7/2013 10:46

harry the haddock 24 Jul'13 - 10:21 - 1829 of 1831
rat attack 24 Jul'13 - 10:30 - 1830 of 1831

Exactly. No urge here to be associated with unethical Management who have no doubt left a string of disappointed Creditors to Kitsons. (and for all we know causing others to possibly go bust- as happened to me!)

[adamb1978] 24/7/2013 10:34

Rat attack - was thinking similarly re averaging down. Difficult to answer at the moment without knowing the placing discount and what multiple this opens on. I wouldnt be adverse to doing it if it opens on a PE of something like 3x or 5x, once adjusted for the placing. I do think that there's a decent chance that it opens on a stupid multiple like 3x though given the smell factor and then re-rates up to a more appropriate number, albeit that re-rated multiple will be a good bit lower than SID traded on beofre this fiasco

[rat attack] 24/7/2013 10:30

Yes exactly, likely outcome looks better than could have been expected. Mentally had written these off and keep castigating myself for getting it so wrong!! The big question though is if these do relist with placing would I try to pound average? Depends on the risk profile going forward, but will we ever know and indeed trust management on this?! Of course if these do relist at a significant discount will become takeover target!

[harry the haddock] 24/7/2013 10:21

SID no longer for me !


so what? not much you can do about it!
at least it looks like we will still have some sort of company at the end of it.
which is much better than a total wipe out. guessing that we're looking at aloss of 50-75% in which case you might asw ell just put them in a sealed boox and come back to them in 2-3 years

[adamb1978] 24/7/2013 10:06

Great result that the group is staying together

Downside is that the RNS confirms what we all expected - a placing is likely.

Hopefully that fact that the group should stay together should limit the discount which the placing happens at....and I beleive that today's announcement was probably intended to ensure that.

Still think that there's a decent chance that these will be trading in the 7p - 10p range by year end. Not what I expected when I bought in 12-18 months ago around 13p but better than nothing

[pj 1] 24/7/2013 09:27

UNETHICAL Business practice imo

SID no longer for me !

[dasv] 24/7/2013 09:13

so it was group-wide working capital after all

[hvs] 24/7/2013 09:12

Will Shareholders be wiped out.

Mismanagers in charge.

[tomkin] 24/7/2013 09:11

Out of frying pan, now starting fire....

[tomkin] 24/7/2013 09:09

" In tandem with this corporate reorganisation, the Group is considering its options for financial restructuring. The Board is currently undertaking a review of its revised cashflow forecasts with its bank, HSBC in order to secure suitable committed funding for the Group prior to seeking to lift the suspension from trading of Silverdell's shares from AIM. HSBC has indicated its continued support."

[m1das_touch] 24/7/2013 09:06

Well that latest statement clarifies everything...not at all!

What a complete mess, one group subsidiary acquiring another group subsidiary. I guess it's management's way of trying to save the company, but it only serves to add to the impression that the board really don't have a clue about financial management.

Not holding out much hope for any meaningful shareholder value from the proposed 'financial restructuring.'

[tomkin] 24/7/2013 09:06

Looks like there are further cash flow problems to sort out.

[effortless cool] 24/7/2013 08:51

So they have saved their wholly owned subsidiary from administration by buying it with another wholly owned subsidiary?This sounds like a massive screw up on working capital, with the cash there, but sitting in the wrong place. If that proves to be the case, then IMHO the FD should be sacked without compensation.

[tomkin] 24/7/2013 08:45

I am looking forward to input from hvs.

[knigel] 24/7/2013 08:44

six months suspension required first

[cestnous] 24/7/2013 08:42

Don't be silly Tommy.

[tomkin] 24/7/2013 08:41

Do they still have shareholders? Isn't this now delisted?

[martincc] 24/7/2013 08:35

Nice of them to update the construction enquirer, but what about updating their shareholders and the stock exchange?