Thanks for the great idea. We have seen a wave of delistings of iliquid small AIM-listed stocks at terrible terms for minorities. Often the majority owner just cancelled the listing to shift to bargain trading platform. You only need 75 percent of votes cast to approve this on AIM (which can be easily achieved when you own 50 percent , or even less, as minorities rarely vote, even on important matters ). So i am afraid that something similar like Brightonpier, hornby, annexo , celadon, biome,mobile tornado, …. Could happen . Thanks for your thoughts on this
This is true, and I've seen plenty of examples of unscrupulous management teams conducting delisting's at ludicrous prices, for their own gain.
I can't be certain this won't happen here, but I generally try and avoid predicting the future.
I focus on buying as cheap as possible to give me the best possible chance of making something no matter what transpires. When you hold a group of these, you generally do well.
So, I can't be sure what will happen here specifically, but it's definitely something I want in my 'group', because of how cheap it is.
Hi thanks for the analysis here. What do you make of the FEMA investigation and raid of OPG offices from November 2024? That sent the stock down 50% and I can't find if it has been resolved
The latest annual report doesn't state that it's still ongoing, but it also doesn't say that the investigation is over either. My assumption was that it is still being processed and there will be some fine or similar punishment if it goes against them.
I could be wrong, but when I looked into this, it struck me as more of an issue for the owners/directors than the company itself.
I.e those guys were doing some casual money laundering, using the company and foreign companies as 'cover'.
One thing I found annoying was that the news coverage mentioned like £500k being seized but the annual report specified more like £30k.
Classic micro-cap shenanigans, but I don't believe it will kill the business or anything like that.
Thanks. Seems pretty shady and potentially bad for the company since it fully controlled by the family. In terms of the business, have you found any good sources for tracking power prices in that area? And any good sources for tracking coal prices? It seems like those are two main things that could trip up the business itself.
Thanks for the great idea. We have seen a wave of delistings of iliquid small AIM-listed stocks at terrible terms for minorities. Often the majority owner just cancelled the listing to shift to bargain trading platform. You only need 75 percent of votes cast to approve this on AIM (which can be easily achieved when you own 50 percent , or even less, as minorities rarely vote, even on important matters ). So i am afraid that something similar like Brightonpier, hornby, annexo , celadon, biome,mobile tornado, …. Could happen . Thanks for your thoughts on this
This is true, and I've seen plenty of examples of unscrupulous management teams conducting delisting's at ludicrous prices, for their own gain.
I can't be certain this won't happen here, but I generally try and avoid predicting the future.
I focus on buying as cheap as possible to give me the best possible chance of making something no matter what transpires. When you hold a group of these, you generally do well.
So, I can't be sure what will happen here specifically, but it's definitely something I want in my 'group', because of how cheap it is.
Thanks for the feedback!
Hi thanks for the analysis here. What do you make of the FEMA investigation and raid of OPG offices from November 2024? That sent the stock down 50% and I can't find if it has been resolved
The latest annual report doesn't state that it's still ongoing, but it also doesn't say that the investigation is over either. My assumption was that it is still being processed and there will be some fine or similar punishment if it goes against them.
I could be wrong, but when I looked into this, it struck me as more of an issue for the owners/directors than the company itself.
I.e those guys were doing some casual money laundering, using the company and foreign companies as 'cover'.
One thing I found annoying was that the news coverage mentioned like £500k being seized but the annual report specified more like £30k.
Classic micro-cap shenanigans, but I don't believe it will kill the business or anything like that.
Thanks. Seems pretty shady and potentially bad for the company since it fully controlled by the family. In terms of the business, have you found any good sources for tracking power prices in that area? And any good sources for tracking coal prices? It seems like those are two main things that could trip up the business itself.
I use Trading Economics for cross-checking prices (they have pretty much everything), and the latest power tariffs are available on the TANGEDCO site.
This proved correct..
Yes. I'm curious to see if the major shareholders try and increase the price...