Watermark Global Share Discussion Threads

[moreforus] 27/6/2012 09:21

Adna it's now become a circular argument

once more - IF MRI win AMD business that requires funding (as they have stated with a low free float) then they will issue more shares diluting our 40%. However they will only dilute our 40% IF they win the business. If they win the business the value of MRI shares will rise according to the payback and economic benefit of the project....the value of our smaller slice of the pie will be worth more. However as our nav is derived in part from the price of MRI shares then if MRI shares are trading at 0.50 but our holding is reduced to 20%....is our nav higher or lower???

[adnatrob] 27/6/2012 09:10

By swallowed up, I mean diluted.

[moreforus] 27/6/2012 09:04

and you are right now if someone wants to buy MRI on the cheap..simply buy WET

[moreforus] 27/6/2012 09:04

ok we get taken over...

net asset value is now 0.35p

i'll take 0.40p for being so patient!

[adnatrob] 27/6/2012 09:02

Hope I am wrong, but I feel we were a means to an end and will soon be swallowed up.

[moreforus] 27/6/2012 09:01

0.23-0.29....

interesting

[moreforus] 27/6/2012 08:59

Adna/bobby... you are both right but if we dont participate then we get a smaller slice of a much more valuable pie.

[adnatrob] 27/6/2012 08:58

Bobby, don't think thats the case, to raise funds considerably more shares will be issued and unless WET participate in the raising our stake will reduce.

[bobby.ifa] 27/6/2012 08:53

Adna, if the Company participate in any funding their proportionate holding will stay the same.

[moreforus] 27/6/2012 08:53

got the link to MRI prices again anyone?

[moreforus] 27/6/2012 08:53

Adna... it will go down... in return for a larger cake

whats better - no AMD project or AMD project worth X million in cash flow to MRI with a smaller slice of a much more valuable pie with our slice being worth more....

[adnatrob] 27/6/2012 08:51

What worries me is the size of funding they need! What will that do to our 40%?

[moreforus] 27/6/2012 08:48

Adnatrob - no MRI will need to raise funds IF it wins the AMD projects..by its very nature that would be good for the company

[moreforus] 27/6/2012 08:47

bobby there are a lot of stocks where people play the correlation game...WET own MRI shares .. MRI is not a JSE listing for WET.... I always see people post stuff like XYZ up 15% in Australia ...and then there is no follow through in the UK...

that's very simply because the prices here are driven by uk gbp denominated buyers....and they are risk adverse at the best of times - so the JSE listing or a subsidary may well be up 20% or 50%...but the price here might never move...

and that probably tells us that it's the investors and not the company thats distressed...

the company has cash, an asset which is rising in value due to a commercial project coming online earlier than expected which will potentially pilot other projects of its kind and of course the potential ..given its a JSE company of winning AMD business (where there was none as UK company)

[adnatrob] 27/6/2012 08:47

What worries me is they are already clearly stating that they will need to raise funds to finance future activity. I am concerned that the resultant dilution may render us non existent.

[doodle1] 27/6/2012 08:40

unbelievable!! should be minimum .28 by now

[bobby.ifa] 27/6/2012 08:38

So why is the price not responding to MRI rise? It doesn't make sense.

[peas_n_love] 27/6/2012 08:34

Asking price for MRI has now gone up to 29

[moreforus] 27/6/2012 08:32

and cash in the bank too

that we've lent out for a fee!

did we get paid in antelope dung??

[peas_n_love] 27/6/2012 08:32

I'm afraid it looks that way,flippin guaranteed cash flows,who needs 'em ?

[moreforus] 27/6/2012 08:28

does that mean we are doomed with the coal project only coming on line 4 months earlier than expected in December

[peas_n_love] 27/6/2012 08:26

No trades as yet

[moreforus] 27/6/2012 08:24

hows MRI today?

[peas_n_love] 27/6/2012 08:23

Somebody has lost their bottle....2.3m sold for .151p. MMs must be piddling themselves.