RE:Retail Float Have i heard DIVIDEEEEEND?
my current questions:
(1) i find the expected production/renvenue stated in the SRK report honestly spectacular! If this is happening, i honestly say wow.
| 2022 | 2023 | 2024 |
| | | | |
| combined |
63 mio US$
(Net income 17,422 mio US$) | 753 mio RMB
107 mio US$ | 929 mio RMB
132 mio US$
|
https://www1.hkexnews.hk/app/sehk/2023/105403/2023052200973.htm APPENDIX III - SRK REPORT - page 183
(2) Another big question is how the MJS will try to obtain the "Majority Shareholder Approval" when necessary, for example the listing process for Persistence Resources Group Ltd. Is MJS planning to ask all shareholders for their approval or just a selective group? In the past, Majestic announced the "Cancellation of Intercompany Debt" with shareholder approval of more than 50% without asking all shareholders (https://www.accesswire.com/593980/Majestic-Announces-Cancellation-of-Intercompany-Debt). How was this "Majority Shareholder Approval" obtained back then and which group of shareholders was asked for their approval?
James Mackie was not able to answer this question. I have already expressed my disappointment at this. Neverthenless, would be really important to know.
(3) How should MJS shareholders finally participate in the success of the company? The market value does not reflect the intrinsic value of the company.
There are more or less 2 views, in my opinion:
A.- Only a dividend or extensive share buyback program can raise the price. At CAD$0.01, they cost around US$8 million. Would immediately raise the price to at least a 4% dividend yield - equivalent to around $0.17. In addition, this would create confidence that the shareholders will finally participate in the success from this point on. It is important to state, that a dividend was never officially stated/discussed/mentioned by the company.
B.- Increased assets, improving financial Figures and IPO of persistence on HKEX. There is no causality with the MJS shareprice. We are undervalued since 2 years, we could be very much undervalued forever. This is then still a game with the future (as usual on the stock market)
(4) ambitious timeframe for the aquisition of developed goldprojects by persistance. If this is happening, we should have answeres by end of 09.23 at least.
weighing the arguments
contra:
I have no trust what so ever in this MGM and i honestly believe, they are a disgrace.
They statet in 2020 that the company is undervalued and they will act on it:
- Sharebuyback announced and never implemented
- Sharebuyback 2 announced and only 10% of possible volume with no lasting effect on the sahreprice
- HKEX announcment resulting with 2 failed attemps, in my opinion, due to imcompentency in fullfilling listing requirements. Why were their not able to present the quality of the documents from the start they have now?
- James mackie who is not able to answere 100% justyfied questions in an adequat manner
- publishing press releaes with obvious errors on 2 very important figures. Also the questions why the realised goldprice in Q4 2022 was at the very very low end of spot price.
So the list is long and profound. For me the most servere in my opinion, the misleading statements about the sharebuybacks 1&2. how can you trust the mgm when they announce something and then willingly don't do what they say? In my opinion, these are just hard facts and every investor needs to consider the actions and displayed imcompetence of this mgm.
Pro:
Prosects are only improving and improving since 2 years. Balance sheet, financial figures, macro/micro business prospects are excellent. Only a few words but their is big evidence to back up why the company is fundamentally undervalued now and even more in terms of the prospects.
At the end, this is what an investor should do. Finding undervalued companys early and trusting the market, that the marketcap will balance it out witht the fundamentals.
The timeframe now is very ambitious. We should get a lot of good news in the next few months, if MGM is delivering. MJS is becoming the majority owner of one of the largest gold producers in the region. The production costs are very low compared to the industry and the prospects in terms of organic/inorganic growth and the security of the business model are very good.
Those who can wait, can invest cheaply in a heavily undervalued western gold producer, which I believe will follow its purpose to let its shareholders participate in the success. When that will be is the big question - I think - this year.
as always, keep up good - waiting should be over soon
Richard