Tiger Royalties And Inve... Share Discussion Threads

[topvest] 26/2/2005 09:22

By the way the current cash balance exceeds the valuation of the company!

[topvest] 26/2/2005 09:17

What's wrong with you? - I'd hate to see your comments on an unsuccessful company. Tiger is doing well imo - these are heady days for mining companies and BR has been cashing in on some of the investments that TIR has made. I agree that they are a bit under-invested at the moment, but that's no bad thing. Cash is good! Look at the three year track record and this company has been a safe home for your money. I am looking to add more on weakness.

[hightech] 25/2/2005 21:55

wolstencroft - Are you sure the values you used in message No 157 are correct?
I checked two of the holdings, they are largely diferent!:

Ascent is 0.047 rather than 0.02- This alone makes about 700000 difference
Minmet is 0.022 rather than 0.03
etc.

Can you explain why?

[hamlette] 25/2/2005 21:02

A post from the AST site:
Herewith details found regarding Ascent Resources:-

"One of last year's less attractive trends has already been confirmed as continuing into 2005 with the arrival of the first of the year's mining investment shells. Tower Resources is backed by the ubiquitous Bruce Rowan, with our recent favourite Ascent Resources present as a significant shareholder. Ascent's chairman, David Steinepreis is also a major shareholder and Ascent CEO, Hugh Warner, is Tower's only executive director. All very cosy, if completely pointless as the company doesn't actually do anything. Whilst we are on the subject, Ascent has started 2005 in fine form with a 39 percent jump to 6.25p, inevitably supported by absolutely no news at all".

Note: I do hope the reference to Ascent Resources being present as a significant shareholder is a mistake. Nothing about this in the Tower prospectus...more research needed here......

[hamlette] 25/2/2005 20:30

Ian, Wolstencroft...take a look at the AST prospectus on their website:
and you will see the following:

"Save as disclosed in paragraph 4.1, the Company is only aware of the following persons who,immediately following Admission, directly or indirectly, jointly or severally, hold or will hold 3 per cent. or more of the ordinary share capital of the Company or exercise or could exercise control over the Company:
Name Number of Ordinary Shares Percentage of issued share capital following the Placing
Ronald Bruce Rowan 27,500,000 27.50%
Tiger Resource Finance plc 22,500,000 22.50%
Savannah Global Ltd 5,375,000 5.375%"

These cash "shells" seem to be springing up everywhere; our Mr Rowan also has a 20% stake in Tower Resources (see but no mention of Tiger though. This listed in January 2005.

With the sale of Cambrian, we are now without a 'flagship' investment. Indeed it would seem that AST currently has the largest valuation. I have dug up this press note about our Mr Rowan, which just about sums up his philosophy:
"The gamut of companies that make up the mining industry is wide; they come in all types and sizes. Explorers and producers, majors and juniors, drillers and assayers, financiers and promoters are some of the normally accepted classifications. However, Australian entrepreneur Bruce Rowan is an exception to the norms; he's a mining industry dealmaker. Instead of digging in the ground for minerals, he digs in the markets for deals". The full article is on

[old giggleswickian] 25/2/2005 17:04

wolstencroft,
I agree wholeheartedly with your sentiments. It is very dificult to have a downer on a company that has more cash that its share price when it is a company with little "cash burn" but I can see no merit in an association with AST whatsoever. You have £6m cash to invest in resourses so you invest some of it in a shell that intends to do exactly the same, could form the basis of a good script for the two Johns in Bremmner, Bird and Fortune.
I wonder if you might like to comment on the declaration at the placing that seems to me to indicate that the shares purchased by TIR were ascribed to Mr Rowan.
Name Number of Percentage of
Ordinary Shares issued share capital prior
to Admission
David Steinepreis 5,000,000 10.0%
Hugh Warner 2,500,000 5.0%
Gary Steinepreis 4,500,000 9.0%
Ascent Capital 7,250,000 14.5%
Bruce Rowan 25,000,000 50.0%


Ian.

[hightech] 25/2/2005 12:47

Is it possible for the big players to play with L2 to buy it cheaper on the market, eg. online?
In other word, lead the price toward more interesting levels for the buyer(s).
I wounder if reverse of such actions was used in 1999-2000 to sell at high prices

[buffin] 25/2/2005 12:17

From the results:

Our investment strategy remains consistent i.e. people, project and places with
the emphasis on quality. We will, during 2005, structure our portfolio to be
proactive in that we may take positions in new listings or possibly be part of
the listing process.

Whilst we expect 2005 to be a good year for resource stocks we believe a part
'pro-active' approach will allow us to outperform the sector.

As well as investing in more junior exploration companies, we will also seek out
resource investments which are close to production, since we are of the opinion
that the investment cycle will result in fund managers favouring maturing
companies against emerging explorers.

[ntv] 25/2/2005 12:06

interesting results ,looks as though a continuation of the buyback might help the shareprice

[wolstencroft] 25/2/2005 09:26

Well I dont like several things from the AR

1. AST should not be valued at 5p. Whatever the share price is it is a shell.
2. If Rowan is so positive about mining why is he about 66% is cash?
3. Why did he sell CBM at £1. That was a big mistake
4. I think tha tthe NAV calculation is not a true NAV as it does not represent tax due on profits

My estimate of the discount is now 26% (valuing AST at 2p)
Holding Price Exchange Value
Africa Eagle AFE 1241274 0.235 1 291699 4%
Alamos AGI.TO 106293 3.600 2.32 164937 2%
Formation FCO 2025000 0.575 2.32 501886 7%
Franconia 635000 0.160 1 101600 1%
Warrants 333333 0.050 1 16667
Gold Fields GFI 10500 13.000 1.92 71094 1%

Minmet MNT 17471488 0.030 1 524145 7%
Pacific North West PFN.TO 566500 0.430 2.32 104998 1%
River Diamonds RVD 6666666 0.030 1 200000 5%
Warrants 13333333 0.015 1 200000
Ridge RDG 100000 0.470 1 47000 1%
Bullion BLO 9000000 0.035 1 315000 4%
Tertiary 1330000 0.100 1 133000 2%
Ascent 22500000 0.020 1 450000 6%
Loan -446000
Cash at year end plus CBM sale 6030000 Cambrian sale
Additional tax due based on unrealised gains at year end -750000
Additional tax due on CBM sales -690000
Loans 40000

Total 7306025 0.764300651
Shares issued 217000000
NAV Pence 3.37
Share Price Mid 2.50
Discount 25.75%

[topvest] 24/2/2005 21:38

Yes, very tidy results. Like the way TIR recycle their portfolio by selling out big positions. Sounds like they are going to become a tad more active on IPO's going forward which sounds good news if BR is involved!

[old giggleswickian] 24/2/2005 16:57

On the subject of AST I do try to learn from experience and the reason I said that I did not believe that TIR had a holding in AST was that the shareholder was named as Bruce Rowan and not TIR. That seems a little odd to me. The only thing that could make me enthusiastic about AST now would be a succesful massive placing at 3p.

Ian.

[old giggleswickian] 24/2/2005 16:50

No doubt a successful year........but, 1.3m shares in CBM had already been sold for less than £1 each which although at a large profit was with hindsight a lost oportunity. The big concern I have is the valuation of the AST holding. It is in the accounts as valued at £1m but in reality there is no reason why they should be worth more than £250,000. My view now is that there is a large discount to NAV and lots of cash but the present portfolio is no big deal. pparkin405, I was wrong, these results say quite a lot, I just wish they were saying something else!

Ian.

[lizzie ii] 24/2/2005 14:18

OK, this is how it appears to me .... they must have PREVIOUSLY sold the CBM shares they held, which explains why none held as at 31.12.04.

I think very clear that only 1.35m CBM shares sold earlier this month, and all of those came from the warrants and options held.


The share buyback ...great! At the current rate of discount to NAV a lot more of that needs to happen.

[hxj] 24/2/2005 13:40

Lizzie II - Oh yes they did ...

Read the report ....

[fred_flintstone] 24/2/2005 13:39

Final results..

[lizzie ii] 24/2/2005 13:29

pparkin405, no they did not sell all the CBM shares!

They previously had shares, warrants and options in Cambrian. They exercised the warrants and the options and then sold the shares coming from the warrants and options, but seemed to have retained the Cambrian shares previously held. Do the maths ... 1.35m warrants and options exercised .... CBM price about £2 per share = about £2.7m proceeds of sale.

[fred_flintstone] 24/2/2005 13:20

Final results..

[pparkin405] 24/2/2005 13:10

So they have sold all the cambrian shares

[old giggleswickian] 23/2/2005 17:23

hamlette,
I expect a report from Bruce Rowan congratulating himself, which is fine, but for a company of this kind the results is a bit "yesterday's news", for example it will not include £2.3m in cash from the recent sale. I just wish that they would use some of their large cash pile to buy back a lot more shares.

Ian.

[hamlette] 22/2/2005 19:46

Ian...the results due next month should give an up to date view of the current portfolio (take a look at last years annual report on the Tiger website). Good progress has been made in the last 12 months and the Resource sector is still the place to be. Am expecting an upbeat report from Bruce Rowan..........

[old giggleswickian] 22/2/2005 17:01

Having e-mailed the company last night I got a reply this morning. There is an authority to buyback more shares in place which expires and will presumably be renewed at the next AGM. I am no wiser as to whether or not the company has an interest in AST but my bet is that we do not. This is one issue that will be clarified in the results.

Ian.