Long term portfolio.

Hmm... I don't buy that. You buy 15 000 of PNC shares and suddenly the SP drops by 50%. And youre not worried? Thats a bodyblow mate.Right in the gut.

No my good man. PNC is but a small percentage of my portfolio compared to CML, MTA and OMN. I have not yet held PNC for 3 years so it is still seen as a Trade by SARS. So 100% of my loss from the purchase price can be deducted from my other income. Not too bad but I will hold on and see what happens tomorrow after the new SENS.

On a more serious note, expect PNC to come up with some BS statement today in order to calm the markets. Might see a bit of a bounce on that. That would be the time to sell. The story is far from over.

Right...this is what I was referring to earlier today. The inevitable and predictable BS statement to calm the markets. Note the line about them receiving requests to BUY PNC shares! lol

Tomorrow I suspect you will see what is likely a dead-cat bounce..

Could catch a quick ride up if you go long first thing but sell on the first plateau or use a trailing stop.

If you have long term shares then that might also be a good time to off load. Unless you have the strong stomach for the next few weeks of volatility!

Guys are scrambling now, sens released again:

Pinnacle Holdings Limited
(Previously Pinnacle Technology Holdings Limited)
Registration number 1986/000334/06
Share Code: PNC
ISIN: ZAE000184149
(“Pinnacle” or “the Company”)

UPDATE ANNOUNCEMENT

Shareholders are referred to the previous SENS Announcement dated 25 March 2014 (“the SENS
Announcement”) in which it was announced that an executive director, Mr Takalani Tshivhase, had
been charged with an offence relating to alleged attempted bribery. In response to public interest, the
Company can now further address certain aspects of the matter.

Timing of the SENS Announcement

The Company, acting on legal advice, made the announcement immediately that a charge was
formally made against Mr Tshivhase. The making of the charge on Monday, 24 March 2014, was the
moment at which criminal proceedings were initiated and was the first appropriate time for the
Company to report thereon. Prior to the bringing of the charge, it was a matter of speculation whether
any charge would, indeed, be brought.

Sale of shares in the Company prior to the SENS Announcement

Prior to the SENS Announcement the following sales had been reported on SENS:

*Sale by Carmen Fourie Family Trust of 1.2 million shares;
*Sale by Mr Tshivhase of 200,000 shares; and
*Sale by Mr George Wiehahn of 80,000 shares.

These sales occurred prior to the bringing of any charge against Mr Tshivhase and therefore prior to
the SENS Announcement. Further, it is to be noted in regard to these transactions, that:

*in regard to the first said transaction, same was occasioned by the exercise of an option
by a bank (as referred to in a SENS announcement of 14 December 2012) and was
therefore a forced sale on the part of the Family Trust of the CEO of the Company;

*in regard to the sale by Mr Tshivhase, permission to trade had been requested on 27
January 2014 but on the basis that the trade would only occur after the closed period,
which permission was then granted on 10 March 2014, and that sale represents a very
small percentage of Mr Tshivhase’s holdings and was related to the need to fund a
specific transaction of a personal nature; and

*in regard to the sale by Mr Wiehahn he obtained permission in the normal course.

Purchase of shares in the Company following the SENS Announcement

The Company has received requests from various of its directors to purchase shares in the Company
and has granted permission for such purchases.

The position of Mr Tshivhase in the Company

In the light of the bringing of the charge, Mr Tshivhase has requested the Company, and the
Company has agreed, to grant Mr Tshivhase leave of absence with immediate effect until the criminal
proceedings have been concluded at which time Mr Tshivhase’s association with the Company can
be reviewed.
2



Comment on the likely outcome of any prosecution

The Company has previously noted that on the evidence thus far available to it, it has no reason to
doubt the veracity of Mr Tshivhase’s denial of the allegations of any impropriety. The matter is now
sub judice and the Company has been advised that it would not be proper to elaborate further on this
aspect of the matter.

Edited by Goliath, 26 March 2014 - 06:22 PM.

I repeat, PNC is a mess right now... those holding on should really be willing to be in a decade long wait for recovery!

Not realy worried. Disappointed yes. A 1% gain in my CML negates a 25% drop in PNC. Plus the capital loss is an asset.

that's really suspect too..why would they do that???

don't they have to put this type of stuff in weeks in advance and it is just "coincidence" it happened on this very date? Can't dodge a smoking gun though...

Got to Arnold Fourie's door and saw this.  Shoot.jpg   33.78KB   28 downloads

I heard Orca is planning to put a cricket bat to Fourie.

 

Personally I would shoot him through the door and be done with it

Yep, allowing the director to sell his shares before the announcement = if that is not suspect then I don't know what is! And Fourie's comments doesn't do much to inspire confidence, I'm with you on this one gamma!

Note that the SENS contains two parts - increases investment on 19th to 5.1241% and then decreases stake on 20th to 4.8312%.

Thx! Missed that....very strange.

Not realy worried. Disappointed yes. A 1% gain in my CML negates a 25% drop in PNC. Plus the capital loss is an asset.

going to be an interesting investigation..all partners/dealings will be under scrutiny.  how deep does this rabbit hole go? we'll hear soon enough no doubt

Note that the SENS contains two parts - increases investment on 19th to 5.1241% and then decreases stake on 20th to 4.8312%.

that's really suspect too..why would they do that???

Just seen the sens. Oh cr?p! They must be livid about this. 

Note that the SENS contains two parts - increases investment on 19th to 5.1241% and then decreases stake on 20th to 4.8312%.

investec is also in the pnc mix

Just seen the sens. Oh cr?p! They must be livid about this. 

What if I put it to you, that this Fourie dude now requires the services of Barry Roux.

 

Harde to everyone who holds shares ... Regardless of what anyone says, this was one of those events that no one can predict... You just sell, take a hit and move on with life.

I heard Orca is planning to put a cricket bat to Fourie.

Personally I would shoot him through the door and be done with it

investec is also in the pnc mix

And Datacentrix (which I own) which also took a hit (but not as big as PNC) yesterday.......

Now Fourie says He was aware of Takalani looking to sell the shares long before the bribe allegation, yea right, damage control taking the public for idiots, so now CEO lying to cover asses, this is degenerating into a proper mess, feel sorry for shareholders and employees having been screwed nicely by these directors.

What if I put it to you, that this Fourie dude now requires the services of Barry Roux.

Harde to everyone who holds shares ... Regardless of what anyone says, this was one of those events that no one can predict... You just sell, take a hit and move on with life.

Agreed 100%..

 

My first PC bought in around 1998 was a Proline...and this company started as proline...shares were around 50c and it was always in cash flow problems...around 2008 was trading around R2.00 and then the good results started..Price doubled to R4.00 within a month and just carried on going north since then...As you basically said....too good to be true!!! from 50c to R25.00 in 16 yrs was awesome returns but now at a very very big cost!!!

 

Gamma you think Aspen in same boat boet???         

 

At least I got hopes and vision...hehe

I know your post is tongue in cheek but I'll respond anyway.

On Aspen...I doubt it. I'm in pharma myself and while it is always possible to bribe anyone anywhere it is very difficult to do what PNC has done in healthcare due to very heavy regulatory control. Drug prices are controlled through a mechanism called single exit prices - determined by the government. Manufacturers do not control price. Secondly, the reason Aspen gets a lot of business is not because they are cheaper (or more expensive as PNC is to the government) but because they are local, they are a generics company, they are a high quality FDA approved manufacturer etc. In the healthcare business you need uninterrupted supply of quality generic medicines.

APN only has one other competitor that meets all of these criteria (but not as well) - Adcock.

But while the APN story still has some legs in SA due to coming NHI (long way away still), the real bet is on ex-SA growth. Sure they may fail and then you may see your 180, but if they succeed you are likely to see the share price move on a Naspers-like trajectory. Time will tell..

investec is also in the pnc mix