Shares of African Minerals are currently being traded on OTC Pink although infrequently. The last trade there was Dec 3 when I bought 7100 shares at 0.0975 USD per. Hasn't been any offered below 0.185 USD since.
The Toronto Sun has just reported results of an new Ebola vaccine that cured monkeys of virus in lab tests. I am wondering if this stock has finally bottomed out and this is now the right time to lock in with a few more shares.
African Minerals is the largest employer in Sierra Leone and the biggest contributor to the county's GDP. And the Chineese did indeed kick in $1.5B for 25% (which values the other 75% $4.5B). So there are some significant stakeholders here with deep pockets and good reasons to make sure this venture succeeds. And the market cap right now is a small fraction of the $4.5B that the company is worth. In fact the existing pricing is not sustainable and a market correction is inevitable. The shares will move off of their "emotional value" and back to their "intrinsic value" in due course. And that will result in spectacular returns for those who are buying in right now.
anon if people are willing to give you their shares at under 40p you did the right thing to take them
I don’t know how much longer we are going to see these shares at give away prices. There was a lot of hype about ebola, which basically started the day a lady died at Gatwick getting off a plane from Sierra Leone. It later turned out that lady did not even have ebola. Then the press sensationalizes some story where an unnamed person with a big axe to grind makes an irresponsible affidavit; and everyone just soaks that up and just assumes the head of the company is a liar and a thief even though there is nothing tangible to actually base that on. And of course amid all that buzz there were also 2 “real†issues: (1) the ability to survive as a going concern which was actually covered in the 2013 annual report (note 3 p 63) and (2) the low price of iron ore. Now with the necessary cash secured and corporate survival no longer in doubt, all that remains is the iron ore spot pricing. And even at today’s low iron ore price these shares have got to be worth at least £2.00.