900 replies to this topic

[Staghorn]

I think ADW is going to keep us hanging for a while still. They are changing their business from loans to venture capital, surely it must take time to align internal process, goals, objectives etc in the bigger company?! I reckon it would take a year or longer...

 

We have been in for the past few years, I reckon a few more won't hurt (too much  )

[ponzi]

Rights Issue, Knife Capital deal, anticipated sale of unsecured lending business - lots of corporate activities.The underwrites of the Rights Issue are seemingly positive enough to put money behind the vision and strategy. I expect some more news in the next few months.  

[Goliath]

What are the current thoughts with this one?

Price dropped to 7c today

 Pure punt at this stage..

[Queen B]

What are the current thoughts with this one?

Price dropped to 7c today

[OreoRaider]

ADW 201401230002A
Section 122 notice

African Dawn Limited
Incorporated in the Republic of South Africa
(Registration Number:1998/020520/06 )
JSE share code: ADW
ISIN:ZAE000060703
(“African Dawn” or the “company")




SECTION 122 NOTICE


Shareholders are referred to the SENS announcement released on
17 September 2013 wherein it was announced that Vaal Mac
Investments Proprietary Limited (“Vaal Mac”) had not acquired
a 7.87% beneficial interest in African Dawn (“the
transaction”) due to a dispute regarding the terms of the
transaction.


Shareholders are now advised that the dispute has been
resolved with the result that Signal Futures Proprietary
Limited has acquired a 5.62% shareholding in African Dawn.


23 January 2014

[ponzi]

Getting money is one thing, investing another. I guess 3 new investments coming through the Knife Capital structures and other also other revenue streams such as the UCT and the Microsoft deals. Once they achieve traction this will be a great play.

I will up my shareholding to make a killing........     

[Staghorn]

Although "mixed feelings" I am going to take up the rights offer and double my holdings. I think that will bring my cost down to about 10c a share...(I bought my first lot on 100c!) it is a chance, but if they make it work...well, the reward will be sweet and the wait well worth it!

[battleship]

Dear LWVi

I agree 100% with what you say.I do have good expectations but believe things will start moving around April,not before.It would have been so much better to have had our money on an old faithful like SAB for the last 2 years and bought into adwawn in March.Thats how life goes.

[Staghorn]

I’ve got mixed feelings about this share. I think a turnaround will take many months if not years, even if they do get in a whole lot of cash with this transaction…

I have been sitting with these shares for 5+ years and I am still not prepared to take a loss…but I reckon that’s my own doing.

 

At least something is happening now and that’s enough to keep the optimism (however small) alive.

Edited by LWVi, 21 January 2014 - 04:39 PM.

[battleship]

Dear Lionsden

As I see it the announcement says that the net tangible assetvshare value before the KC deal is 11,7c and after the deal goes to 9,6 to 8,7c per share.Though this is not telling the full storey it makes sense for them to trade at 8c which is happening.They are making the rights offer at 8c look silly when its the market value.Existing shareholders have no advantage to the man in the street.

Lets hope todays meeting went well

[ponzi]

Well it seems that the KC transaction will support revenue as well as bringing additional capabilities and investment opportunities to the company. With at least R35 million coming in from rights issue plus the possible sale of the unsecured lending business the company can most probably do at least three investments over the next period. Shareholders must today vote on the issue of additional shares to facilitate the rights offer. The timeline for the rights offer seems to be aiming at money in the bank by end March?   

[Queen B]

What are the thoughts and consensus on todays SENS announcement?

[Staghorn]

Not sure of I didn't read the circular properly, but what is the timelines regarding this rights offer?

[battleship]

Dear Lionsden

I hear what you say and believe you are correct.Remember that for every afdawn share you hold you can purchase another for 8c in the RO.If you buy more afdawn now I assume you want to own a decent chunk

[ponzi]

Hi battleship,

As I see it they (KC shareholders) won't get money but shares - 100 million. Say Afdawn can raise R 40 million from the rights offer (direct take up and underwriting) and sell Elite for R 40 million (loan included) then the company should have R 60 to R 70 million available for investments? 

I think after the RO there will be a new shareholder dispensation - possibly three major shareholders with each about 12% and the KC group with 10%. Somebody is going to underwrite 200 million plus shares - one can only guess.

The share price should in the next few months move from NAV based to opportunity driven. I am going to buy some more now that we know that the plans are real. 

[ponzi]

Hi battleship,

As I see it they (KC shareholders) won't get money but shares - 100 million. Say Afdawn can raise R 40 million from the rights offer (direct take up and underwriting) and sell Elite for R 40 million (loan included) then the company should have R 60 to R 70 million available for investments? 

I think after the RO there will be a new shareholder dispensation - possibly three major shareholders with each about 12% and the KC group with 10%. Somebody is going to underwrite 200 million plus shares - one can only guess.

The share price should in the next few months move from NAV based to opportunity driven. I am going to buy some more now that we know that the plans are real. 

[battleship]

Dear Lionsden

As iI see it the 100m shares to the 3 Knife directors  is a purchase as they have a value of 10c.They will get R3,3m  each and KC will become the first purchase.The remaining R30m odd will purchase further assets/companies/shares.The sale of the microlending business is very important but I believe will be a lot less than R70m.Kc when fully operational should be able to turn a buck quickly due to the nature of its business.Perhaps the R30m will do directly to KC as it will be 100% owned by Afdawn and the three directors have shares in afdawn.     What confuses me is where MVDM fits in?

[ponzi]

Very interesting thoughts. As I see it the KC deal is a share transaction (100 million new shares) that will leave the capital from the rights issue available to acquire investments using the KC pipeline and tool sets, Should Afdawn sell the Elite business and some of the other old non-core assets they may have in excess of R 70 million available to re-invest.  

I guess that the shareholding will change with individuals underwriting the share offer? It seems that at least 40% must be underwritten - MvdM and others? More information on the rights issue should soon become available.       

[battleship]

A few questions on the latest SENS announcement must be raised.

1   Raising R40m in a rights offer to all afdawn stockholders at 8c appears good news.of this R10m goes to the 3 main directors of knife  who get 33.3m afdawn shares each.What happens to the other R30m raised?

2   Mac vdm appears to own very few shares?

3   If knife bought in at 10c per afdawn and rights offer shares will cost 8c,I expected Afdawn to trade at 12c on Friday but it never moved.

 

Does anyone have any comments on these issues?

[ponzi]

Can't wait to see them getting rid of the unsecured lending business. The the focus can be on new investments.