ALM - Alma Metals

[YOUNG_TRADER]

Should start the thread on AER, EVE's uranium spin off vehicle,

IPO was at 25c, should list at 50c minimum.

More info to come.

 

[Wysiwyg]

Should start the thread on AER, EVE's uranium spin off vehicle,

IPO was at 25c, should list at 50c minimum.

More info to come.

Hi there Y.T....It is 40c unless there has been a change.

This Supplementary Prospectus is dated 26 March 2007 and is supplementary to the
Prospectus dated 1 March 2007 issued by African Energy Resources (Guernsey) Limited
(ARBN 123 316 781) (Company) for an offer of up to 12,500,000 fully paid ordinary shares
at an issue price of 40 cents each to raise up to $5,000,000 (Prospectus).
This Supplementary Prospectus was lodged with the Australian Securities & Investments

 

[sleeper88]

yep..its 40c, just checked Comsec this morning, got my allocated 5000 shares. By the way the code on Comsec is AFR.

 

[YOUNG_TRADER]

Re: AER - African Energy

Whoops as you can tell I wasn't 100% sober last night when I posted, sighhhhh fare thee well easter break

Back to AER, it should list quite strong, if SNU can have a mkt cap of around $50m I see no reason why AER's shouldn't be 2-3x that given it has an interest in JORC Compliant deposits in Africa

 

[j4mesa]

In relation to EVE,
Would the price of it follow closely the price of AFR as it own 77% of AFR?
What does everyone thinks ? I think it will....

 

[Ruprect]

Listing today (wednesday), 2pm EST.

40c share issue, but apparently 3.5 times oversubscribed.

If it follows what CUX last week, should open at a significant premium.

Code is AFR.

 

[Halba]

This is very expensive. Already mkt cap $50m @ float price. So if it doubles you have to pay through the nose $100m++ mkt cap for a small 4million pound(uneconomic) JORC. Too long till drilling. What a rort.

 

[bigt]

I agree Halba - but the market is a funny beast - there is money to be made and the experienced will make it, the inexperienced will lose it. Fundamentals dont come into the opening days frenzy of a promising U stock eh?

 

[Halba]

I agree Halba - but the market is a funny beast - there is money to be made and the experienced will make it, the inexperienced will lose it. Fundamentals dont come into the opening days frenzy of a promising U stock eh?

Well the more it goes up on listing the less % there is for new investors. simple math. i will stick to my erongo $50m mkt cap prolly 1/2 of AFR on listing and better prospectivity (namibia has uranium mines after all). Why pay more for AFR? Maybe diversification, but only if its under the 100 mil mkt cap barrier. Its inevitable to compare AFR to similar african listed explorers and my ERN is one of them. OMC is another and it got $220m taken over (it has a sizeable 13-15million pound resource). AFR at listing if its $100m, will already be 1/2 of OMC's valuation without a substantial resource.

 

[nizar]

Halba.
Expensive I agree market cap actually $63mil at the offer price 40c.

But what i like is the capital structure, top20 hold over 92%.
If it runs it will be like MRU. Sell side thin, forcing buyers to chase.

I hold only the minimum priority allocation.

Should be interesting.

What I'm looking for is an impressive open (80c+) and a white candle close. If it gets those 2 then I'll be happy to sit on them for a bit.

 

[Halba]

80c then mkt cap $125mil! Hmmm it would probably be out of my reach. Other people will buy thinking it is cheap at 80cents per share "only 80 cents"

 

[Ruprect]

Opened right on $1. Wow.

 

[Sean K]

80c then mkt cap $125mil! Hmmm it would probably be out of my reach. Other people will buy thinking it is cheap at 80cents per share "only 80 cents"

You're missing out on opportunities by not playing all the market dynamics IMO. Perhaps the 'value' investor wins in the end, but if you play the market right there's opportunities everywhere.

This might come off a little, but what a scoop for those people realising the U IPOs are generally a good punt.

 

[chris1983]

80c then mkt cap $125mil! Hmmm it would probably be out of my reach. Other people will buy thinking it is cheap at 80cents per share "only 80 cents"

so whats the cap now? Lots of newbies will get burnt..talk about all the guys in the uranium cycle making money..there are lots losing money too. Look at NUP and how it ran..now where is it at.

 

[chris1983]

The market cap says 30 mil undiluted? Where does 120 mil come from. I'm missing something?

 

[nizar]

Lots of newbies will get burnt??

Look at risk/rewards with these floats Chris, they are pretty good.

Maybe its not your style, doesnt mean you cant make money from it.

There are 147million shares on issue for AFR. But top 20 hold >92% and about 70% of the total is in escrow with EVE for 24 months.

So once there is a demand theres no supply to feed it - sellers can demand their own price and buyers have to chase.

I didnt expect a $1 open but im not gonna complain.

And Halba, Chris, stop questioning what the market does and trying to find a reason behind everything. Like iv said many times, there doesnt have to be a reason and if there is - it doesnt have to make sense. The market can do what it wants, but the market is always right, even when its wrong. The market can remain irrational longer than you can stay solvent.

 

[chris1983]

But its true lots of newbies will get burnt and are getting burnt. Maybe wont be the case with this one though..I havnt read into it enough.

 

[chris1983]

ahh okay..I get it

There are 147million shares on issue for AFR. But top 20 hold >92% and about 70% of the total is in escrow with EVE for 24 months.

Make money while you can. Not for me though. Glad to hear you have made 100% in a day though.

 

[Sean K]

But its true lots of newbies will get burnt and are getting burnt.

Yes, they could, but it's forums like this that allows those with more experience to pass on their knowledge and perhaps present others with opportunites, and not sacrifice them in a HotCopperish pump and dump whitewash. That's one reason why Joe is so stringent on ramping here. This is a forum to share information, not for public burnings.

So, hopefully new investors didn't jump on this on the open, which would have been very risky IMO, but got some in the float and have now made 142% ish. Not me unfortunately

 

[nizar]

Kennas.
I would've bought this on the open, if it opened at, say, 80c. But $1 was a bit much.
Reason I would be buying and not selling is because I've seen floats like MRU, TOE, NUP, do well on the 1st day, and sold, only to see them reach higher in the 2nd day.