Thank you for the response. I'm not sure of the exact terms of these warrants, so please excuse my ignorance on that one, but if the warrants were granted to the directors, and they exercised them, and then sold the shares, I would have thought that would have been announced to the market, so we would have seen exactly which directors were selling, and how many shares they sold. When I look at the recent RNS feed, I see that people are exercising warrants, and I see some directors buying, but I don't see any director sales (unless I missed them). In any case, there are limitations on when directors can sell shares, and it would be a risky strategy for a company director to try and talk up a share for the sole reason of being able to pump up the price before dumping lots of stock (it is not something that anyone would be able to pull of on a regular basis that's for sure).
As for a better explanation, I'm not sure I do have one, but my thoughts would be along the following lines:
1) This is a small company with a small market cap that is operating in a high risk sector. This can lead to quite a lot of volatility in the share price at times.
2) The exercising of warrants will add to the volatility as current shareholders are being diluted at a lower price to the current market price.
3) Generally I would view the fact that the directors are buying as a positive sign. At the very least it shows that they have some confidence in how things are going. Whether private investors choose to share that confidence when they don't have the same visibility is another question altogether.
HI , I was asking a while back if they had to keep the cheap shares that they aquire for any length of time so they dont just buy and then dump them. Since then we decided that they can sell straight away. What Im saying is that they buy them cheap 1.9p, talk the share up, sell at 4p (sending price back down) and then buy back at 3p ish
The good news is that the shares they are awarded have now gone up for them to buy (setting a floor of about 3p, I hope) and at least they are buying them back so they must have some confidence.
I was saying I wish I was brave enough to follow what they are doing but the time I try it will keep going up!
Have you got a better explanation for the share going up 25% and the back down within a day after what was good news?
Maybe the Non-Executive Director purchase of a small number of shares (250,000 at 3.10 pence) will stop the downward drift of the price that has followed the RNS of the Kapunda Copper Resource. I think some people think the grades was too low, but I think this is incorrect as they are using a low cost leaching processes which need lower grades to remove most of the copper and 119,000 tonnes of contained copper should be welcomed for a small AIM mining PLC. Or maybe people just sold on news after a good run. Either way I had a small top-up at 3.088p. fingers crossed and good luck everyone
300% up over a few weeks, then a wee bit of settling back. Don't panic Capt Mainwaring! The trend is good. 3.25p looks like the new floor. Proven resources, cash in the bank to see us through this year and next. Metal Tiger putting their money where their mouth is. Contracted royalty stream. Incentivised board. DAS is quite happy to hold, wait and see. Steady as she goes...
The market is up, the news is good, the sun is shining (on the South Coast at least!), but Thor is down with a massive spread. Time for nerves of steel ladies & gents. Keep the faith and all will be well. When fear and greed rule the roost, Logic has nothing to do with it!
The Kapunda numbers are looking good, hopefully the resource upgrade will be reflected in our share price when the London market opens today. It's time to dig and sell Mr Billing, dig and sell! Good luck all, DAS.
So it could be good or bad. Personally if MTR have bought in at such volume and paid a premium last month (they bought at 3p when the spread was 2.5-2.7) I somehow feel they had an insight into the potential of THOR and news so IMHO good news awaits.
Just a thought
ASX over the past week or so have been about 20% up
on London markets.
So by close on Friday we are up roughly 20% on todays
price could that be the reason for the suspension on ASX
All square Friday and off we go together on the Monday?????
THOR MINING PLC
Trading Halt on the Australian Securities Exchange ("ASX")
Thor Mining Plc advises that its shares have been placed in a trading halt on the ASX, requested by the Company pending the release of an announcement in relation to a resource announcement on the Kapunda copper project in which the Company can earn up to a 45% interest. Thor has been advised that Terramin Australia Limited (ASX:TZN) will shortly be announcing a JORC 2012 inferred resource for that part of the deposit which is amenable to in-situ recovery methods that is larger than the 1992 Mineral Resource Estimate.
The trading halt on the ASX is expected to be lifted at the earlier of an announcement to the market or at commencement of trading on the ASX on 12 February 2018 and a further announcement will be made at that time.
Trading in the Company's ordinary shares will continue on AIM during this period
Thanks for that, it was much easier to understand than info I read, seems to be good news as we have held our own in all the market turbulence. I got really badly burnt with a company called xcite and although I havent got so much in this share Im hoping for good things, had too much red wine and cant sleep hence the late post, thanks again elsgly
Hi elsgly, sorry I didn't reply to this yesterday. It's been an, ahem, 'interesting' week so far!
When someone decides to invest in your business, warrants can be issued in order to sweeten the deal. The investor acquires some newly created shares in your company in return for their cash, and they usually pay a premium to the current market price. This gives your business a boost.
Part of the investors potential return on their investment is deferred by giving them the option to buy further shares at a fixed price at some point in future. The warrants will usually have an expiry date such that if they haven't been exercised by the agreed date, they lapse.
The dilution occurs at the point when the warrants are exercised, and you need to create more new shares (assuming you don't have any unallocated shares held in treasury)
Whether the person exercising the warrants decides to keep their new shares or sell them immediately for a quick profit doesn't depress the share price any further. The shares exist, and someone owns them. It doesn't matter who that someone is.
In the world according to DAS, exercising warrants is a bit like getting a tax bill.
No one likes them, but you don't get a tax bill unless you have made a profit, or earned some income, so the bill is actually a sign that you're doing OK.
Warrants won't be exercised by the holder unless the fixed price is lower than the market price, so the fact that the holder wants to exercise at all is a sign that you're doing OK.
If your business is doing well (and hopefully the injection of new cash a while back means it should be, if you spent it wisely and had your fair share of luck) the warrants will be exercised and existing shareholders experience some small dilution. But remember that the share price went up a good bit first, and now it's being diluted a little bit, so everybody is happy overall.
Just been trying to read up on warrants as no one seems to know or be interested! Looks like (from my understanding) they are not particular good news for us, it increases the shares in the company diluting value and they can be sold at anytime which will, I assume, bring the share price down. Lets hope they hold them till 17p.
When warrents are exercised at low prices is there a time limit on when they can be sold for instance they buy today at 1.25 can the sell immediately at current price? Money going into company is good but, will they sell and bring our share price down?
Two or three generally "red" days across the market of late, but THR seems to be holding steady around the 3.75p level, even when other miners have taken a hit. The markets recognition of intrinsic value may still be some way off, but hopefully the days of bumping along the bottom are behind us now, and we can gradually return to the dizzy heights of the 5-year chart. At this stage I'll settle for standing still. Steady as she goes... Good luck to all THORites, DAS.
Important message from the Financial Conduct Authority:
Posting inside information that is not public knowledge, or information that is false or misleading, may constitute market abuse.
This could lead to an unlimited fine and up to seven years in prison.
If you have any information, concerns or queries about market abuse, click here.
The content of the messages posted represents the opinions of the author, and does not represent the opinions of Interactive Investor Trading Limited or its affiliates and has not been approved or issued by Interactive Investor Trading Limited.
You should be aware that the other participants of the above discussion group are strangers to you and may make statements which may be misleading, deceptive or wrong.
Please remember that the value of investments or income from them may go down as well as up and that the past performance of an investment is not a guide to its performance in the future.
The discussion boards on this site are intended to be an information sharing forum and is not intended to address your particular requirements.
Whilst information provided on them can help with your investment research you need to consider carefully whether you should make (or refraining from making) investment or other decisions based on what you see without doing further research on investments you are interested in.
Participating in this forum cannot be a substitute for obtaining advice from an appropriate expert independent adviser who takes into account your circumstances and specific investment needs in selected investments that are appropriate for you.