PDN - Paladin Energy

[Sean K]

Re: PDN - Paladin Resources

DJ Paladin Placing Shares At A$4.45-A$4.70/Shr

- Source 09/09/2009 10:57AM AEST

MELBOURNE (Dow Jones)--Paladin Energy Ltd. (PDN.AU) plans to place new shares at A$4.45-A$4.70 a share, a person familiar with the situation said Wednesday.

Paladin last traded at A$4.90 a share on the Australian Securities Exchange.

The uranium miner said earlier Wednesday that it plans to issue up to 15% of its existing share capital to raise funds to progress the Stage III expansion of its Langer Heinrich uranium mine in Namibia.

In statements to the Australian and Toronto stock exchanges, the dual listed miner said it will undertake an institutional private placement for up to 15% of its issued capital, which is currently valued at A$3.06 billion.

The company said the price and terms of the placement will be determined by a process led by RBC Capital Markets and UBS, with Paladin expecting the trading halt in its Australian listed shares to remain until Thursday. However, trading in its Toronto listed securities is expected to continue Wednesday.

 

[Nyden]

Re: PDN - Paladin Resources

I've never seen an average actually. Would like to know. Probably heavily depends on the industry and type of stock.

Recently, raisings seem to have been taken as a positive thing in that a company has shored up it's balance sheet, reduced debt, and/or well into cash. All good things in this environment.

And then, what's the cash for? In this case, they are looking at M&A opportunities and to expand their current mines.

Might be looked at favourably no matter what the raising price, within reason...

I guess as with the average(s), the sentiment following a raising is probably market / sector dependent as well. Perhaps with certain sectors, people actually buy into certain stocks on the hope of a retail offer? I know I'd love one on some of the banks I hold :

As always, could either go up, or down

Edit, just seen your post. That's hardly even a discount, I do expect a flat to up open now.

 

[Prospector]

Re: PDN - Paladin Resources

It was probably ELD you are thinking about. Not only was that heavily discounted but they were raising over 2x their market cap.

PDN is only doing 15% of issued capital. So say they raise at 20% discount (which I doubt) to last close ($4.9) = placement price of $3.92. The theoretical ex-price would be around ~$4.75. Or a 3% drop.

With Uranium going a bit silly today that 3% drop might not even show up.

Yes, ELD was the one that featured. These capital raisings never seem to do any good with the share price. Will wait with PDN.

 

[Sean K]

Re: PDN - Paladin Resources

Off 3 or so % on the TSX so not too much damage. So, far.

I suppose we wait to see who they are going to buy with this kitty now. Hopefully something advanced exploration in a mining friendly country, instead of a speculative explorer in Bligh Blah Land.

Their likely targets could be BMN and DYL I guess. DYL mc at $340 with $40m cash and projects right next to PDN in Namibia and in QLD around Mt Isa. Would seem to be a good fit. Plus they already own almost 20% of it. MD is a Director at LH.

Paladin Prices Placement of Shares

9:42 AM ET, September 9, 2009

PERTH, WESTERN AUSTRALIA, Sep 9, 2009 (Marketwire via COMTEX) -- NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Paladin Energy Ltd (PDN)(ASXDN) ("Paladin" or the "Company") yesterday announced that it has agreed to undertake an institutional private placement of 93.45 million ordinary shares (representing 15% of Paladin's issued capital) to raise approximately A$419 million (approximately C$391 million) net of fees paid to placing agents.

The placement was priced at A$4.60 (approximately C$4.30) per share which represents a 6.1% discount to Paladin's last closing price on ASX and a 0.5% discount to Paladin's 5 day volume weighted average price on ASX.

 

[Tukker]

Re: PDN - Paladin Resources

With a predicted down day this coming Monday, and the recent rise in paladin volume, what do you think the sentiment of this one will be over the week?

The chart is showing some accumulation symptoms with a flag formation starting to take effect. Maybe a drop on Monday towards 4.60 then maybe a breakout if nothing too terrifying happens in the general market.

Too soon after a placement perhaps?

Watching closely.

P.s. How do i stop these charts from resizing after i post them?

 

[eddyeagle]

Re: PDN - Paladin Resources

Nice little triangle formed since June on Paladin. Volume has also been up considerably in the last few weeks. Hopefully a break out will result in the near future!

 

[THE BUZZ]

Re: PDN - Paladin Resources

nice move today on PDN, no news out but whispers of maybe being a target for the BIGger miners gaining strength???

 

[skc]

Re: PDN - Paladin Resources

nice move today on PDN, no news out but whispers of maybe being a target for the BIGger miners gaining strength???

PDN went up partly because BHP declared force majure to some of their uranium customers, due to some incident that shut down a shaft at Olympic Dam. Uranium spot prices may increase as a result of this supply constraint.

 

[Sean K]

Re: PDN - Paladin Resources

PDN went up partly because BHP declared force majure to some of their uranium customers, due to some incident that shut down a shaft at Olympic Dam. Uranium spot prices may increase as a result of this supply constraint.

Yeah, could be completely because of the Olympic Dam problem. Could cut uranium production by 3m lbs or something. They reakon it'll be fixed sometime in the March quarter, but who knows. In there mean time operating at 25% capacity with the secondary shaft.

Having said that, it did look like it was going to break further up from the triangle.

 

[Prospector]

Re: PDN - Paladin Resources

Teramin too has shot up in the last few days and other than their good management, I think the timing is based around BHP's accident. Thanks for helping the little guys, BHP!

 

[skc]

Re: PDN - Paladin Resources

Teramin too has shot up in the last few days and other than their good management, I think the timing is based around BHP's accident. Thanks for helping the little guys, BHP!

Isn't TZN a zinc miner? Or did the shaft incident affect zinc production as well. I thought only uranium and copper, but I confess I didn't read the briefing notes in full.

Yeah, could be completely because of the Olympic Dam problem. Could cut uranium production by 3m lbs or something. They reakon it'll be fixed sometime in the March quarter, but who knows. In there mean time operating at 25% capacity with the secondary shaft.

Having said that, it did look like it was going to break further up from the triangle.

Yes the chart pattern was there and had it on my watch list, but the cap raising threw me off and took it off the radar. On the other hand, ERA hasn't moved as much and looks like a decent chance to break above $27.

 

[Gurgler]

Re: PDN - Paladin Resources

What a difference just over a week makes!

Release a notice of expansion, AGM and some negativity in the US and what do you know - a 20% fall.

Itchy trigger finger again with the MACD about to cross over.

 

[Sean K]

Re: PDN - Paladin Resources

What a difference just over a week makes!

Release a notice of expansion, AGM and some negativity in the US and what do you know - a 20% fall.

Itchy trigger finger again with the MACD about to cross over.

Yes, I thought I was very smart adding a few just before it broke up off the support line a few weeks ago. Depends on your investment/trading style with these breakdowns. Conserve capital, or see it is a long term buying opportunity. Markets ran too far probably and maybe some more room for consolidation.

 

[Logique]

Re: PDN - Paladin Resources

Still following Gurgler and Kennas? Not the worst medium term/longterm prospect at current 3.87 -technically.
Cannot understand the reluctance towards modern day nuclear power solutions (= so much further evolved). There is an aboriginal population in the NT that actually wants a waste dump. Sigh.

 

[Logique]

Re: PDN - Paladin Resources

Looked in again to see that it briefly touched 4.98 on Friday! A 12 month high.

Should have got some back in May.

 

[Sean K]

Re: PDN - Paladin Resources

Looked in again to see that it briefly touched 4.98 on Friday! A 12 month high.

Should have got some back in May.

Yeah, just a little move on POU and they are all starting to move up. Uranium has still vastly under performed other commodities recently so maybe some more room to move. The Russian news is generally good also. Paladin was thrown up as a BHP option last week but they probably have enough with Olympic Dam. Not holding any more but still watching with interest.

 

[tronic72]

Re: PDN - Paladin Resources

Still following Gurgler and Kennas? Not the worst medium term/longterm prospect at current 3.87 -technically.
Cannot understand the reluctance towards modern day nuclear power solutions (= so much further evolved). There is an aboriginal population in the NT that actually wants a waste dump. Sigh.

Wait until the Greens force the Labour Party to close Hazelwood Power Station. The already skyrocketing Electricity prices will continue their rise. Nuclear Power will suddenly become a lot more attractive, especially in the mid-to-long term.

My 2c

 

[Skunky]

Re: PDN - Paladin Resources

PDN Sp is rising again.
Does anyone know if the Australian floods are affecting Olympic Dam production?

 

[3aq1e]

Re: PDN - Paladin Resources

pdn crashed of late, especially with the japan nuclear worries, despite pdn not supplying any product...

looks like a good share to get aboard, whilst down atm.

 

[qldfrog]

Re: PDN - Paladin Resources

pdn crashed of late, especially with the japan nuclear worries, despite pdn not supplying any product...

looks like a good share to get aboard, whilst down atm.

and went down again sharply today triggering some of my emergency exit!
Anyone knowing a specific reason for the fall?