Australian (ASX) Stock Market Forum

WHC - Whitehaven Coal

Jump to new
Thank you for your response Pixel. I do not pretend to be an expert, however my research and Brokers consensus indicate that the mid term is looking ok. The short term may be slow as a result of the half yearly results. I think that 2013 will see the share price rise as the new CEO exerts his influence. WHC is already looking at cost savings and the current situation is partly due to low coal prices and the high Aussie dollar, not to mention a train derailment and coal quality issues which are being addressed. There are signs of the dollar weakening and this will help significantly if that trend continues. Given the RBA's recent comments on the $AUS I believe we are heading towards 90 cents by the end of the year. Maule's Creek final approval and construction should be a major plus in 2013. We also need to keep in mind what Nathan Tinkler may be thinking and and a takeover attempt cannot be ruled out. I appreciate some of my thoughts are speculative but it is how I am thinking. I would appreciate any feedback you or others might like to offer. Have a good day!

Accumulator
 
Nathan Tinkler's executive jet and helicopter have been put up for sale by the receiver of the coal baron's aviation company.
Click to expand...

This little overhang will not be helping the move north at this point either.
 
Tinkler's main asset is 19.4 per cent stake in Whitehaven, worth around $527 million at Friday's close. Tinkler's total debt to hedge fund Farallon Capital, believed to be about $700 million including principal and accumulated interest.
Aston Resources 213,589,946 WHC shares @ 2.68 = $572,421,055.28

As long as the houses are in the wifes name, it should be OK, buy gold bars with the dividends and say you lost it at the races!

What would an Archibald of a bankrupt plummer look like?

Oh **** it was all a dream!

Tinkler Archibald.JPG

3.28 Nathan breaks even if he could sell today without too much brokerage.

On the positive side the Asiano boss reckons coal is not dead.
If that's the case you'd think it'd be about time a little Chinaman would come along and help make Nathan an offer he can't refuse!
 
I will be watching for a blow off low on ultra high volume finishing high on the day, for an entry.

I feel sorry for Nathan, at least he had a go.

Volume is increasing to the downside so blow off could be as early as next week.

big.gif


gg
 
Garpal Gumnut said:
I will be watching for a blow off low on ultra high volume finishing high on the day, for an entry.
I feel sorry for Nathan, at least he had a go.
Volume is increasing to the downside so blow off could be as early as next week.
Click to expand...

Agree.
There was plenty in the press to assist the down move, which is always helpful for a flush out.
When the selling stops, should be good, providing the markets sequester siesta, doesn't become just that.
We are at a turning point on many levels.
A new all time high on the DOW ends the secular bear and the little bull becomes a big bull.
A nasty pull down would confirm that the secular bear aint finished just yet.
 
Garpal Gumnut said:
I will be watching for a blow off low on ultra high volume finishing high on the day, for an entry.

I feel sorry for Nathan, at least he had a go.

Volume is increasing to the downside so blow off could be as early as next week.

big.gif


gg
Click to expand...
That break through 2.75 looks ominous. But does the volume look like a blow off? Poor Nathan, looking like a toasted electrician...
 
Poor Nathans being a very naughty boy!

Nathan Tinkler is facing the prospect of arrest and contempt of court charges if the embattled mining magnate does not show up to court next week, after he failed to comply with a court-ordered examination on Friday.
Click to expand...
 
Well my patience looks like paying off...bought a heap at $1.90 and looking good. Should be one way traffic from here! :)
 
Tinkler is said to have sold his stake completely, and at a premium to the current price, which explains todays increase
 
prawn_86 said:
Tinkler is said to have sold his stake completely, and at a premium to the current price, which explains todays increase
Click to expand...

Great to get that negativity out of the way...lower $Aus will help FY2013 financials. Just need coal to bounce a bit...looks good from here!
 
TINKLER SALE OF SHARES IN WHITEHAVEN

Whitehaven Coal Limited (ASX:WHC) notes that Farallon Capital Management L.L.C. (Farallon) has today filed a Notice of Change of Interest for Substantial Holder indicating that it has acquired approximately 9.91% of the issued shares in Whitehaven Coal from entities associated with Mr Nathan Tinkler, and has agreed to purchase an additional 1.63% from ASM Equities Fund. As a result of these transactions, Farallon becomes the largest shareholder in Whitehaven Coal. A copy of Farallon’s announcement is attached.

Farallon has also advised Whitehaven Coal that the balance of Tinkler shares have been sold to other members of the Tinkler lending syndicate. Consequently, the majority of the Tinkler shares have been acquired by existing long term Whitehaven Coal shareholders.

“Whitehaven has a strong existing relationship with Farallon and we welcome its further investment in our business,” Whitehaven Coal Managing Director Mr Paul Flynn said.

“We look forward to continuing to deliver on our growth plans and to creating value for all of our shareholders,” he said.
- ends -
Click to expand...

Cheers
Country Lad
 
Good times ahead....one would think, particularly as the $AUS continues to track south.


Black day for coal baron Nathan Tinkler as he loses control of Whitehaven

John Dagge •
Herald Sun •
June 19, 2013 9:00PM


FALLEN coal baron Nathan Tinkler has lost control of his key financial asset, with his lenders taking over his major stake in Whitehaven Coal.

Mr Tinkler, once the youngest billionaire in Australia, has sold his near 20 per cent stake in the miner to his financial backers in a deal likely to be worth about $600 million.

US hedge fund Farallon Capital has effectively seized the bulk of the shareholding. The deal, announced Wednesday, may open Whitehaven up to renewed takeover interest.

It comes after Mr Tinkler was chased through the courts for unpaid debts and forced to sell his private jet and prized race horses.

Mr Tinkler, through his companies Aston Resources and Boardwalk Resources, sold 101 million Whitehaven shares to Farallon for $2.96 a share.

The shares represent about half of what was a 19.4 per cent stake in Whitehaven, which has lost two-thirds of its market value over 14 months.

Mr Tinkler's lending syndicate has bought the rest of stake, Whitehaven said in a statement.

BusinessDaily believes Investment bank Credit Suisse and Singapore's Kuok Group are among the lenders.

Farallon is paying a 40 per cent premium to Whitehaven's closing price on Tuesday, before the deal was announced.

If Whitehaven's share price has climbed above $2.96 by early next year, it will make an extra payment.

But the price is substantially less than the $6 a share Whitehaven was worth when it bought Aston and Boardwalk in April last year.

Farallon, which emerges as the major shareholder in Whitehaven with a near 17 per cent stake, has been Mr Tinkler's key financial backer throughout a rollercoaster career.

His debt pile has been estimated as high as $700 million, with the bulk owed to Farallon. The hedge fund said the sale proceeds would be used to "partly repay debt".

A statement from The Tinkler Group said its 37-year-old chief was happy with the sale price despite feeling it significantly undervalued the miner.

"Many will be aware of the emotional attachment that Mr Tinkler has to the assets of the company," the statement said. "However we believe that no longer being a substantial shareholder of Whitehaven will benefit all shareholders."

Morningstar analyst Gareth James said Farallon was unlikely to be a long-term shareholder and any move to offload its stake could open the company up to a new takeover bid.

Late last year state-owned Chinese coal giant Shenhua discussed a takeover deal.

"We don't see Farallon as natural long-term holders of Whitehaven shares and the process of finding a buyer may open the company up to a takeover offer," Mr James said.

Whitehaven's share price rallied 4.3 per cent on Wednesday to close at $2.20.
 
I think (and hope) that this stock is going to rally and head north - mainly because I believe that the removal of Mr Tinkler and the opportunity for an additional payout or takeover bid can only be beneficial to the shares value.

Not a recommendation to buy, my opinion only.
 

Similar threads

Garpal Gumnut
NSW DPP needs to Appeal Moylan Sentence in WHC Fraud
2
Replies
20
Views
7K
sydboy007
sydboy007
S
GUJ - Gujarat NRE Resources
Replies
9
Views
5K
kb10120
K
Top