Interesting you say that, because right now I'm 50% cash, 50% BGS! However, consider this... Had I put another $50k into BGS when the sp was 5.5c not so long ago, pre rights issue - I'd now be sitting on $150k clear profit AND off the back of that one purchase I would have been entitled to 389610 new shares at 6.2c each at a cost of $24,155 - which at close on Friday would've been worth a notional... $79,870! That's in addition of course to my original holding plus the entitlement due there and the increase in value of that in addition to the above... Apparently I should have bigger balls. Crystal and otherwise. :/
Hi VRS. Your money your call. It Might be worth spreading the risk across a basket of shares or taking some of the skin out of bgs.. Always worth considering taking some of the profits and free carrying. I was waiting for my house sale to settle. Wished it settled a week earlier to buy big in bgs before the record date but oh well.
Ha! Lightweight! (Only joking!) Seriously, I'm over 50 with no pension/super, so I'm not into a balanced portfolio right now - it's balls to the hilt or nothing - except for the small amount of cash put by. To that end I've just sold 30k ish shares at 23c to fund the rights issue - and buy me a bowl of noodle at Golden BBQ in The Valley. I'm a man of simple tastes.
Price eased today slightly and a selling wall developed at 23.5c - 24c of around a million shares, which was chipped away at but kept getting topped up... The only thing I can draw from that is someone wants to cap the price for now at that level. Volume was good, but that seller - actually two I think, working in cahoots, contrived to keep the lid on. If anything in relation to processing at Morila is announced between now and the lithium drilling in May the lid'll blow off - at least that's what I'm hoping
Price was up over 2% They were continually filling under 22 to 21 all afternoon but the buying was strong at that level all the way to the last seconds of open, a big buyer/s accumulating a decent portion is my bet. Drilling will bring a big surprise, the current deposit is 700 x 50-60 mts in an area of 257 sq km and open all over, one thing a lot of people have missed is that the original calculations on the deposit use a depth of only 40 mt's when it could be up to 1-200 or so mts deep, doubling or quadrupling the deposit amount. Adding another lithium tenement could also blow the lid off. A portion of the current fund raise is also set aside for Masigui as well, RG is between a rock and a hard place there right now, Domba on hold for now and tailings getting lower and of less grade as price drifts higher can only be good for us there. What is really good though is that we can now afford to wait it out for a good deal.
While reading through my entitlement prospectus I came to section 3.3 Substantial Holders. I was expecting to see some familiar Silver Stacker names in there, but alas no.
I topped up at 21c today. Not a substantial holder by any means but happy to accumulate. This one is very undervalued.
What are people's thought's on how the Entitlement Issue will affect the price (due to dilution of shares)? Has the market already factored that in?* If still to be factored in, when do you expect it to hit the price? The day those shares hit the market? * Since any buyers from this point on are not entitled to the offer. Also on April 1st the price dropped sharply (which is when I picked it up without any knowledge of the offer), which you would thing was because any shares purchased as of that morning were no longer be entitled to the offer. If that was the reason, its amazing how quickly the share price recovered.
Yah cant tell with this one. I was expecting the price to drop from 13c to 8c after the offer closed but it went to 24c... I guess we would expect sellers as soon as the new shares are issued but it may bounce back up really quickly again
Like ScyB I also expected the sp to drift downwards after ex rights date, but it went the other way. Technically any dilution weakens the share registry and I expect a bit of selling once the new shares hit market although not a huge amount - there seems to be too many bells & whistles on this pony, so there's enough appeal with lithium & gold to keep interest building. Still doesn't mean the lithium is extractable and saleable tomorrow though does it, which is my worry and my rationale for wanting the gold processing at Morila to be nailed before anything else happens. I guess we'll know soon enough.
Take a look at our registry size and market cap compared to our ASX peer's though, BGS has a lot of room to move yet to get even close to their MC's and we have a current indicated deposit on par with nearly all of them + a better grade + the Gold. BGS is still under the radar, once more people get an inkling of what is on offer share price will lift off, add another good acquisition, some drill results and a deal at Morila and current holders will need neck braces. Most of the new shares will be going into strong hands and any that do go up for sale will be quickly eaten up, we might see a short term drop similar to the X date but it will climb back again and go further just as fast.
Blimey - look at that close today - smashed through 22c-23c and legged it up to 28c... Quite remarkable.
See the action after close ? Over a 1/4 mill went down for .28c after the bell. One good announcement and BOOOM !!!!
Guys I can't see it dropping back much at all, the amount that was gobbled up today was incredible and as Southern cross says this thing is still under the radar ,,just.How many people are waiting for the drop, plenty, anything that is up for sale will get soaked up quick smart.Agree Southern C, any sort of good announcement and good bye low entry price....and hello early retirement for those of us who have been in this for a while.
another consideration is we are 100% owned.. as opposed to our ASX peers who are on multiples of our market cap. nice day for BGS but i think we're only at hor d'oeuvres people.
