Australian (ASX) Stock Market Forum

CLE - Cyclone Metals

Jump to new
Finally after 3 weeks of research, I 've discovered CFE. Healthy balacnce sheet, stable income stream and expansive business, none could cruise more safely in this down turn in the same sector than CFE. Recent rumor about its acquisition proved the point that there will be more interests focusing on this company. I currently hold CFE and aiming for long term uptrend;)
 
As part of having acquired CopperCo, CFE has received 19.99% of Corvette (COV) and have stated they will make an all-scrip takeover offer. There are no details yet on the offer.
 
Looks like this is another one of those unloved species which has been running up the last few days up nearly 8cents.. haven't watched this for a bit but looks like there was a spike in volume arround the time this thing started shooting up
 
Have been following this thread for quite sometime along with being a holder for sometime. Volumes up considerably today. Anyone got any thoughts?
 
Is it just me or does it look like people are starting to realise the underlying value of CFE. The main issue i think people have with CFE is that it will likely never have its own mine, it just builds them up and sells them.

There current market cap is still far less then the value of there assets, and with recent talks of another dividend, could be the reason for some interest.

I have also noticed CFE has been buying into alot of small Companies with good projects, which could be good down the line, I just hope they try to maintain part interest in there projects rather then selling the entire thing.

DYOR, current long term holder.
 
enigmatic said:
Is it just me or does it look like people are starting to realise the underlying value of CFE. The main issue i think people have with CFE is that it will likely never have its own mine, it just builds them up and sells them.

There current market cap is still far less then the value of there assets, and with recent talks of another dividend, could be the reason for some interest.

I have also noticed CFE has been buying into alot of small Companies with good projects, which could be good down the line, I just hope they try to maintain part interest in there projects rather then selling the entire thing.

DYOR, current long term holder.
Click to expand...

Definitely undergoing a re-rating. They picked up some good assets at fire sale prices, the sale of the Lady Annie Project alone (excluding the 25% interest in Lady Loretta, and 100% owned Sappes Gold project) should be worth A$155M alone. Remember they also have another $80M coming in during late 2010 from MCC as the final installment from the sale of the namesake Cape Lambert project.

CFE aren't interested in running an operation themselves, but I actually think their strategy is completely workable. They already returned $100M to us shareholders, and there is a distinct possibility of another 10c divvy next March too. See page 24 of the Notice of AGM information booklet.
 
I joined you CFE holders today - what an amazing run, just hope I haven't picked the top! I've had good results from the iron ore juniors, so i hope it translates to copper and the value there looks to be in CFEs holdings.

I focus on fundamentals + trend, but do any technical analysts here have a view on their chart? Despite the value in CFE, I'm a little nervous that I should have seen this chart a few weeks back rather than now...
 
COV, which CFE bought almost half of recently, is rocketing upwards, contributing even more to CFE's value. Meanwhile, CFE is falling. :confused:
 
Kremmen said:
COV, which CFE bought almost half of recently, is rocketing upwards, contributing even more to CFE's value. Meanwhile, CFE is falling. :confused:
Click to expand...

Probably due to my arival on the register!!! :banghead:

I really need to short everything I want to go long in. Or the other way around.

I'm holding the faith for now, but other stocks are catching my short little attention span...
 
“Once the IPO has been completed and funds received, Cape Lambert proposes to make a return to
shareholders of approximately $0.10 per share, details of which will be provided to the market in due
course. This capital return follows the $100 million paid to shareholders last year from the sale of our
namesake iron ore asset in Western Australia”, Mr Sage said.

So to get the 10cent divvy do you need to be holding shares in CFE or the new Qcopper. This quote is taken from the asx announcement dated 16th Nov
 
MOSSuMS said:
Probably due to my arival on the register!!! :banghead:

I really need to short everything I want to go long in. Or the other way around.

I'm holding the faith for now, but other stocks are catching my short little attention span...
Click to expand...

Head back above water - so happy again. Should probably have stopped out, but kept the faith this time.

:)
 
more strong movement by CFE today, with the amount of assets that they have an shares in other companies i wouldn't be surprised to see more growth for this undervalued... Value adding Company.
Looking forward to the 10cents a share dividend they mentions coming soon.

Holding long term DYOR
 
I am a shareholder in the UK. Any idea why I am not aloud to take part in the Q copper IPO. Will I be able to buy into it after the IPO?

Cape Lambert has disappeared off the radar here since delisting from AIM. Very glad I kept my shares.
 
To be honest it is starting to get very difficult to put an actual estimated SP on CFE now they seem to own bits and pieces of numerous ASX listed and non listed resource companies. There list of Projects in the development pipeline from their estimates equated to $500million+ prior to lady anne sale..
which got 15mil less then expected.

They just offered Take-over offer for DMC Mining which they already owned 25mil shares at 10cents plus another 11mil+ at some other value below the 40cent offer price.

today announcement of OKU to Acquiring 70% of the Highly Prospective Namibian Uranium Project for 17million dollars in shares and 3million in cash

Is anyone else watching this one, and scratching there head at why the SP stays were it is.

Please note there should be a 8-10cent dividend come May. 16.8%-21% dividend at current prices assuming this is already factored in Sub 40cents seems a little low for this asset bloated Company.

DYOR
 
enigmatic said:
To be honest it is starting to get very difficult to put an actual estimated SP on CFE now they seem to own bits and pieces of numerous ASX listed and non listed resource companies. There list of Projects in the development pipeline from their estimates equated to $500million+ prior to lady anne sale..
which got 15mil less then expected.

They just offered Take-over offer for DMC Mining which they already owned 25mil shares at 10cents plus another 11mil+ at some other value below the 40cent offer price.

today announcement of OKU to Acquiring 70% of the Highly Prospective Namibian Uranium Project for 17million dollars in shares and 3million in cash

Is anyone else watching this one, and scratching there head at why the SP stays were it is.

Please note there should be a 8-10cent dividend come May. 16.8%-21% dividend at current prices assuming this is already factored in Sub 40cents seems a little low for this asset bloated Company.

DYOR
Click to expand...

My view on CFE (which may be totally wrong but again...just my view).

Mr Market does not really value projects that a company owns bits and pieces in very well...perhaps due to developmental risks? Funding risks? I don't know. See the MLM thread for an example of having fingers in many pies and the parent co's MC being significantly lower then the value of all their investments.

Anyway a second point I'd add about CFE is that perhaps selling some of their assets isn't as easy as they thought? The sale of the Lady Anne mine for $15M less then what they were hoping for could be an indication that they expect too much? Linc (LNC) are currently trying to sell some of their coal tenaments...not as easy for them getting the price they want or the sale in a timely manner.

How stable is the divvie anyway?
 
well obviously they overvalued the asset however they were still able to extract value from COV already with I'm certain some remaining assets from that takeover.

about the dividend i guess it isn't very stable at all..
been holding CFE now for 3years and only got 1 dividend amounting to 40% of my invested capital if and when this one is issued it will be another 20% so i guess i can't complain even if it isnt regular its added up in the end.

If i get the time will do a bit more analyst later concerning who they own and how much each is currently worth. Have always wanted to put more capital in however the rest of my portfolio limits my available exposure to CFE

DYOR
 
enigmatic said:
well obviously they overvalued the asset however they were still able to extract value from COV already with I'm certain some remaining assets from that takeover.

about the dividend i guess it isn't very stable at all..

been holding CFE now for 3years and only got 1 dividend amounting to 40% of my invested capital if and when this one is issued it will be another 20% so i guess i can't complain even if it isnt regular its added up in the end.

If i get the time will do a bit more analyst later concerning who they own and how much each is currently worth. Have always wanted to put more capital in however the rest of my portfolio limits my available exposure to CFE

DYOR
Click to expand...

Do you think the dividend will be maintained or even paid this year considering the equity base is very large after couple of acquisitions.

Dunno. Just guessing it is too good to be true. CFE hardly increased its SP whereas OKU rose leaps and bound with the acquisition story.

Though I also bought CFE recently with a high hope (greed!) but looking back track record of Tony Sage I think he is another media saavy person with acquisition mode than making or creating values for shareholders.

The shareholdes have to wait until probably end of Sept / early Oct to see if any dividend be possible this year.

Please DYOR as statistically I have been 90% wrong on my financial speculations.
 
well it specifically mentions in the announcement concerning the sale of the lady anne project that there intentions is to pay the dividend just after the completion of the sale, which is no later then May 31st

"It is our intention to return between A$0.08 and A$0.10 per share to Shareholders once the sale completes and the A$130million in cash is received," said Cape Lambert Executive Chairman, Mr Tony Sage. "This will be the second cash return to our shareholders in 18months, with A$100million paid in October 2008" he added
Click to expand...

further in the announcement it mentioned there cash receivables would be approximately $300million one can only speculate if this is prior to dividend or after and they also mention this doesn't include approximately $70million value of listed securities.

Kind of makes you question there market cap of $263million.
Considering there projects that they are also developing eg Cape Lambert south
 

Similar threads

ducati916
May 2024 DDD
2 3 4
Replies
69
Views
7K
qldfrog
qldfrog
System
BM8 - Battery Age Minerals
Replies
3
Views
2K
JohnDe
JohnDe
bigdog
J Capital Research
Replies
1
Views
2K
greggles
greggles
springhill
CAE - Cannindah Resources
2
Replies
27
Views
8K
The Triangle
The Triangle
springhill
LOT - Lotus Resources
4 5 6
Replies
100
Views
26K
brerwallabi
brerwallabi
Top