Kenmare Resources Forum

I was looking at Davy's report on Kenmare yesterday, and they had a Restricted Rating on them. Today they have changed that rating to outperform. [link]

Nice to Michu: As far as I can make out Nice to Michu, when you take consolation into account; ie. the new shares divided by 200, it would give the rights issue shares a price of about 0.05 pence. So lets say the middle distance between the new shares and the old ones would be, say 0.07 pence. But taking into account that the company will be more or less debt free and with some monies to keep going, there would be a good bit of upside priced into the shares, so I suppose that is why they are trading at around a penny today.

Looks like after consolidation that the share price will be around half a pence a share. I think that there would be upside from there.

what is going on

Forty one thousand pound buy just after the close. Trade price of 1.19

This is good news I think [link]

[link]

A fifty fifty split on buys and sells today. Half the folks think things are going to pick somewhat and half the folks think they are going to get worst. I would think that this shows that nobody knows what way it is going to go.

Davy's view: [link]

Hopefully the existing shareholders will be OK when it comes to the issue of new shares, and once that is done, most of the debt will be taken care of, and the shareholders will be left with one on the biggest Titanium mines in the world. We can only hope that the dilution will not be too bad, and as one poster who contacted Kenmare said, they have said that they will do their best to protect shareholders, We will have to wait and see. The big number is fifty million pounds that they must raise from existing shareholders. I would image that the majority of that will come from the big shareholders and after that lets hope for the best.