Thalassa Share Discussion Threads

[cockerhoop] 21/12/2018 22:09

Or any future THAL M&A deal

[frazboy] 21/12/2018 22:01

A couple of interesting paragraphs in here:



He may actually be going for a main market listing to bypass having to get Thalassa shareholders to approve an LSR deal!

[cockerhoop] 21/12/2018 21:50

Apols - my mistake. Presumably that would make the LSR listing more valuable as a vehicle to back into? No effort has been made by DS to hoover up any loose LSR shares to get close to 30% - since the GM would seem to have been an ideal time.

[cockerhoop] 21/12/2018 21:04

Frazboy,Not quite sure which point I'm missing? Do you think #THAL want to utilise the LSR Aim listing?I've been highly critical of DS's various actions over the years but the fact #THAL has continued to buyback shares seemed to suggest he was not looking to de-list on the cheap but it was very hard to understand what his motives were with the preference share shenanigans. I know Graham Neary wasn't able to get satisfactory answers after contacting the company. If it was done to ensure there were less opposition to a full listing then I see that as a positive. A full listing should restrain DS somewhat.

[topvest] 21/12/2018 17:25

Hi NTV - no, can’t get far on dividends due to lack of distributable reserves. Would require a capital reduction and special resolution / court approval. When I looked a few weeks back it looked tricky, as all routes seemed to need a special resolution. I’m not an expert on a Court process, but I would suspect a disputed case would be expensive. Thalassa can probably offer 30p+ given their enormous discount versus net assets. They seem to have the upper hand unfortunately. It’s very wrong.

[cockerhoop] 21/12/2018 16:59

Andy,

I understand the basic principle but frankly can't understand DS going through the bother and acrimony for a net gain of approx £1.5m before takeover costs.

He clearly has issues with the current LSR board (as have the majority of shareholders) and feels snubbed with the lack of consultation prior to the liquidation so has decided to give them a bloody nose.

Regards the preference shares - it seems it may be a device to help the main market listing get away and then they may be cancelled as I'm sure they'd be less well received on the main market than on AIM.

[ntv] 21/12/2018 14:18

can't short usual way so anyone know a spread bet firm doing it?

[ntv] 21/12/2018 14:16

topvest
can LSR return cash as dividends rather than liquidate?
or do they need court approval and shareholder consent?

[andyr0503] 21/12/2018 12:52

Trying to answer your question, though I am sure topvest will do it better (written because I had not seen topvest’s response when I wrote this). THAL bids to buy LSR with a paper for paper offer (or possibly a part cash, part paper offer). Current NAV of LSR, which will be all cash shortly, is 33.6p, which is what LSR shareholders were hoping for via a liquidation. But a liquidation has been blocked by THAL, so shareholders may be forced to accept a substandard offer for their shares, below that 33.6p, to cash out. Currently with the share price around 27p, THAL could try to get away with say an offer of 30p paid in THAL shares, because they would continue to threaten to block the liquidation route. But THAL shares would still be relatively illiquid so LSR shareholders trying to sell their new THAL shares subsequently to get the cash they were hoping for in the LSR liquidation will find the price falling, and will get nowhere near the 33.6p per share a liquidation would get them . Meanwhile THAL would own LSR, and have got that 33.6p per share worth of cash for nominally 30p per share but in fact for less than that as they were only offering their paper. THAL will only be denied if sufficient LSR shareholders refuse to play ball. There is no simple way out of the blocking vote impasse, other than a Just and equitable compulsory liquidation of LSR, but that involves legal costs, uncertainty and delay. Hope that helps.

[topvest] 21/12/2018 12:40

You can't do a good deal with a bad person, so I wouldn't touch anything connected with him and sell straight away. All in my opinion, so DYOR.

[topvest] 21/12/2018 12:39

From what I can see liquidating the company or returning the cash if you don't have > 75% of the votes is difficult and very costly. Basically, they can't pass anything at LSR that needs a special resolution which requires 75%+ to win.

I am therefore assuming that they will make an all share offer for LSR and hope to get sufficient backing to get them over the line. Of course once he gets control, it all goes to him because of the preference share ticking time bomb in Thalassa. I might be wrong, but he appears to talk Buffett.... but is really a fairly nasty piece of work. Thalassa = Capitalism gone wrong = Bear Sterns on pills.

[frazboy] 21/12/2018 12:07

I would also like to hear how you think he's going to do it topvest - although I may agree that DS is after the cash it's not clear to me what the process is that gets him there

[cockerhoop] 21/12/2018 11:58

Can you talk me through that process topvest?

[gfrae] 21/12/2018 10:42

This move could cause some sellers who may have bought for IHT relief (though it shouldn't as THAL has not qualified for some time).

[topvest] 21/12/2018 10:06

Lombard Odier seem to be caught

I'm relieved to have got out of LSR. Its pretty obvious that this is a first step move on LSR to "steal" their cash.

[ntv] 21/12/2018 08:27

can you short these as the ordinaries are worthless

[ntv] 21/12/2018 08:26

now he wants to move to a main listing so he can in the glory of telling all his wants what a wonderful company owns and runs
HE HAS TOTAL CONTROL THROUGH THE OWNERSHIP OF THE PREFERENCE SHARES AND ANY II INVESTOR WHO INVESTS HERE WANTS SACKING
still i am sure he will set up a charity at some point and buy himself a SIR and some point
they all do
well you know what they say about control freaks......

[topvest] 08/12/2018 17:42

Duncan Soukup - a name to put on your bargepole list.

[topvest] 07/12/2018 21:21

Yes, inclined to agree with you. They have just voted against the LSR liquidation which is outrageous. Greedy. You can't do a good deal with a bad person. The preference share issue here is disgraceful.