Watermark Global Share Discussion Threads

[peas_n_love] 21/8/2012 18:31

i think I'm right in saying that if they do not get the £1.55m loan returned by Sept 12th then they can purchase xmillion shares at R0.20.With today's closing price being R0.26 there is already a potential large profit to be made ( please feel free to correct me if I am wrong on this )

[bungeetrader] 21/8/2012 16:55

It's to do with the rest of the cash for WUC, they only got £0.26m up front.
From the results;

In order to ensure that MRI raised R40 million in additional equity to fund the cash element of the consideration payable to Watermark and provide growth capital for WUC, following the withdrawal of a third party investor the Company has entered into an interest bearing loan agreement with Trinity Asset Management (Proprietary) Limited ("TAM") to the value of R20 million. TAM will seek to place the MRI shares with investors and repay the loan and pending repayment of the loan the Company will benefit from a charge over approximately 105 million MRI shares. The Company has the option to acquire these shares at R0.19 and if the loan is not repaid by 12 September 2012 at R0.20 per share, the Company can elect to sell the shares at the market price. The Company is indemnified against any loss (the difference between R0.20 per share and the market related price) by TAM. The Board's expectation is, therefore, that the Company will receive consideration of approximately GBP4.5 million in aggregate of which approximately GBP2.69 million will be in shares in MRI (at a value of R0.19 per share), approximately GBP0.26 million in cash, on issue of the shares and approximately GBP1.55m in cash before 12 September 2012. A further GBP0.32m will be paid on issue of the shares in respect of the investment in and funds advanced to Octavovox (Pty) Ltd and Prodiflex (Pty) Limited.

[bobby.ifa] 21/8/2012 15:14

Where is that cash coming from?

[bungeetrader] 21/8/2012 14:44

Unlucky wispaman, I suspect your average buy price was a bit more than my 0.13p.
Hope you recoup your losses elsewhere.
I'm sticking with it for just now as they are expecting £1.55m in cash before September 12th plus things should pick up eventually (I hope)!

[wispaman] 21/8/2012 14:05

I have sold the last of my 18m today, so good news must be round the corner. may the rest of you make a large profit to counteract the huge loss I have incurred with these over the last 18 months.

[bungeetrader] 20/8/2012 17:35

They do say that things have to get worse before they get better. The only comfort is that it's not just here but across the whole market that is screwed at the moment. Hopefully things will pick up soon but I'm not holding my breath, it's going to be a long haul.

[dawsonpaul] 20/8/2012 17:06

what a mess

[marcelin] 20/8/2012 11:15

you are wrong P&L, they will move to different market once it hit the rock bottom with different kind of technology. At least very clever on that.

[peas_n_love] 17/8/2012 13:55

I'm sure the board will find some way of making things even worse,they seem to be experts at it

[specuvestor] 17/8/2012 13:25

South African mineworkers armed with machettes, spears and firearms doesnt bode well for their proposed coal briquetting project.

Can it get any worse for us long term shareholders?

[peas_n_love] 15/8/2012 14:04

PW,
"There is nothing more frightful than ignorance in action" - Johann Wolfgang von Goethe

[pitot_heat] 15/8/2012 13:57

Pw,
Youre forgetting the .13p in cash. The business is currently valued at less than zero.

[johnspain] 15/8/2012 13:54

Pwhite - presumably you would apply the same logic to valuing De Beers?
:)

[peas_n_love] 15/8/2012 13:52

the coal briquetting project is nothing whatsoever to do with the SA govt.

[pwhite73] 15/8/2012 13:45

The explanation can be summed up in three words 'South African Government'.

Any private concern that relies solely on these people for business should and quite rightly be valued at zero. Even at 0.11p WET is overpriced and heavily over rated.

[peas_n_love] 15/8/2012 12:37

Is there anybody out there who can explain the warped logic that is being applied to this share ?. The investment in MRI has increased in value by > 50% yet the WET price continues to drop. Nobody seems able to provide a reasonable explanation for this. I vote this the most frustrating share of 2012 - any takers ?

[pifedayo] 14/8/2012 15:31

Just to clarify the latest MRI selling price is 30 Rand = £2.35.

[theuniversal] 14/8/2012 12:33

yeah many thanks cheers.

[peas_n_love] 14/8/2012 12:32

Universal - I am already grossly over-exposed with my WET holdings and that will do for me for the time being thanks.FYI, MRI is still trading at 2.35p today so things looking healthy on that front.If you want to check out the MRI price yourself the link is;



Currency converter available at:



Hope this all helps
Peas

[theuniversal] 14/8/2012 12:25

cheers fella, have you any shares in this peas? im thinking of getting some. as they are part owned in shares by wet

[theuniversal] 13/8/2012 18:18

peas, how much is mri in english money? per share

[peas_n_love] 13/8/2012 12:51

Just as last week was beginning to look like things might turn around we get a real blinder of a trading day - absolutely zero trades on either WET or MRI and over half the business day already gone.Can we set a new record of an entire day with no trades whatsoever ?

[theuniversal] 12/8/2012 17:02

peas n love, i read and artical ages ago now, austrailian mines with AMD issues needed 9 billion. theses i presumed are monster mines for the big corps. so i wouldnt rule out an OZ plan in the future aswell.