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Aveng (AEG)...free lunch?!

Aveng AEG small cap construction

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#1 SB45

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Posted 09 November 2019 - 10:30 AM

Positive update Skeez, share consolidation to be on par with similar peers and profitability...then some upward movement is coming....provided no nasty surprises from these guys, somehow they find a way to stuff things up
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#2 skeez

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Posted 08 November 2019 - 07:16 PM

Hi
What would be your reasoning there? There are already to many shares available...

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#3 andi222

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Posted 08 November 2019 - 05:43 PM

Good update released from Aveng.

 

Bought back in today. Saw that Atom has reduced their stake. I think as soon as they are out we will see a nice runner up.


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#4 SB45

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Posted 07 November 2019 - 08:17 PM

https://www.iol.co.z...profit-36777025


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#5 vishalsur

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Posted 15 October 2019 - 04:10 PM

anyone read this article this morning 

https://www.iol.co.z...he-jse-34904413


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#6 skeez

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Posted 12 October 2019 - 11:45 AM

These guys just need to make a profit now. Moolmans has to be positive in the balance sheet. My call this time next year i think 20cent would be a fair price comsidering the ongoing disposals.

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#7 Blackobar

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Posted 12 October 2019 - 09:45 AM

Almost everyday you see 600+million aeg shares on OFFER & 400+million bids , showing that as much as there are big sellers , the buyers are also there and buying big. It's going to stay at these 1c-3c levels for a while.

Disclosure : I HOLD AEG shares.
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#8 andi222

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Posted 11 October 2019 - 11:00 AM

There needs to be a capitalization. Maybe 1 to 1000. Then they would only have 190 million shares in issue.

Currently the bond holders want to get out. So I think there wont be much movement for the next few months.

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#9 Trader001

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Posted 10 October 2019 - 05:16 PM

Yes me too.. I am a bit worried about this long term investment and whether I would at least, IN A COUPLE OF YEARS, salvage my total investment in thistock...I got interested in Aveng when there was the overtone by M&R that it was going to  buy  Aveng, just for Aton to put a spanner in that works. As we all know Aton was then stopped to buy M&R by the competition board but in the meantime I was buying here and there...for the long term. So I hope this share can turn around. Perhaps one should even buy more at if it gets to 1c as some has suggested and perhaps this penny stock will deliver some day? 

 

regards

The amazing thing in this country is that .....now construction has ground to a complete standstill. Where is this Gov's proposed injection of billions into local construction to stimulate growth, and through it creating much needed jobs. It's a shame. In 2008 to 2009 for Soccer World cup all the local construction companies were doing very well but now every one is virtually bankrupt.  A real horror story  


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#10 Trader001

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Posted 10 October 2019 - 05:05 PM

I am bleeding here Trader. If I look at SA companies competing outside of SA.....no hope...most came back badly bruised with the tails between their legs. Well and good that they will have bulk of their revenue offshore(because our economy has cut them off) but can they compete profitably and sustainably...I doubt very much

Yes me too.. I am a bit worried about this long term investment and whether I would at least, IN A COUPLE OF YEARS, salvage my total investment in thistock...I got interested in Aveng when there was the overtone by M&R that it was going to  buy  Aveng, just for Aton to put a spanner in that works. As we all know Aton was then stopped to buy M&R by the competition board but in the meantime I was buying here and there...for the long term. So I hope this share can turn around. Perhaps one should even buy more at if it gets to 1c as some has suggested and perhaps this penny stock will deliver some day? 

 

regards


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#11 SB45

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Posted 09 October 2019 - 08:08 PM

I am bleeding here Trader. If I look at SA companies competing outside of SA.....no hope...most came back badly bruised with the tails between their legs. Well and good that they will have bulk of their revenue offshore(because our economy has cut them off) but can they compete profitably and sustainably...I doubt very much
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#12 Trader001

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Posted 09 October 2019 - 06:17 PM

Andi provided me an answer to this before. Oversupply and funds wanting to get out. He actually correctly predicted we would see 1c of which we have. I do not see why Aveng would want to remain listed beyond the disposals. Therefore a depressed share price sets a good base for a cheap buy for whoever may take it private.

Thanks, information very much appreciated. 

 

Regards


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#13 SB45

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Posted 09 October 2019 - 04:23 PM

Andi provided me an answer to this before. Oversupply and funds wanting to get out. He actually correctly predicted we would see 1c of which we have. I do not see why Aveng would want to remain listed beyond the disposals. Therefore a depressed share price sets a good base for a cheap buy for whoever may take it private.
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#14 Trader001

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Posted 09 October 2019 - 03:18 PM

Thanks SB45. I agree, your comments make sense. The other aspect I cannot understand is the fact that Aveng is doing so well in getting rid of unprofitable business, such as the latetest one being Grinaker Aveng which was a money pit money pit yet the market is not responding positively to this news?? Aveng has sold virtually all it loss making operations and using that money to service debt yet we don't see the share price increase  not even by a cent or 2 

Have you perhaps got an idea what the reason/s could be?

 

Regards

 
63
SHARES
 
 

To substantiate the above post :

"Diack said all the disposals are expected to be completed by March next year.

Liquidity through disposals

“We are trying to create liquidity out of the disposal process and strengthen our balance sheet,” he said.

Aveng’s group revenue declined by 16% to R25.7 billion in the year to June from R30.6 billion in the previous year.

This was attributed primarily to the implementation of the strategic plan. Cash and bank balances, excluding bank overdrafts, decreased to R1.6 billion from R2.1 billion and the net debt position reduced to R540 million from R1.2 billion.

The order book for the group’s core assets grew by 36% to R17.7 billion at end-June.

Shares in Aveng dropped 33.3% on Thursday to close at 2c"

 

 

So according to Diack on 30/8:

The debt was more  than halved to R450 Mil and the order book grew by 36% yet the share price dropped to 2 c on that day?? ........Could this be due to the sheer volume of billions of share in the market and is it possible for Aveng to trim down its shares in future and become leaner with respect to its issued shares? What does it take to do it?

 

 


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#15 Trader001

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Posted 09 October 2019 - 02:05 PM

Also check the comment made by Orion why they went with Byrnecut for their Preiska mine....Technology and Technic. Moolmans could have done the job but lost out to Byrnecut

Thanks SB45. I agree, your comments make sense. The other aspect I cannot understand is the fact that Aveng is doing so well in getting rid of unprofitable business, such as the latetest one being Grinaker Aveng which was a money pit money pit yet the market is not responding positively to this news?? Aveng has sold virtually all it loss making operations and using that money to service debt yet we don't see the share price increase  not even by a cent or 2 

Have you perhaps got an idea what the reason/s could be?

 

Regards


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#16 SB45

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Posted 08 October 2019 - 07:38 PM

Also check the comment made by Orion why they went with Byrnecut for their Preiska mine....Technology and Technic. Moolmans could have done the job but lost out to Byrnecut
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#17 SB45

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Posted 08 October 2019 - 07:35 PM

"
Aveng has been restructuring as part of a two-year strategy to survive by lessening its exposure to the South African construction and engineering market and transforming into an international group involved in contract mining in sub-Saharan Africa and West Africa and construction in Australia, New Zealand and Southeast Asia."
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#18 SB45

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Posted 08 October 2019 - 07:34 PM

Check the paragraph about the restructuring in Aveng. On the African continent, where Moolmans has been strong before and mentioned that they have lost ground in the market. Byrnecut Offshore seems to have grown quite strong in these markets and hence I make a point that they are eating Aveng's lunch. Only expanded in 1999. At home in their backyard in NC Aveng lost to the same group Byrnecut Offshore on the Prieska Zinc/Copper mine. They are in the Vedanta Zinc mine not far from Prieska. I checked both their websites hence I concluded that the Ausies are really giving them a hard time amongst other players ofcourse. With the Moolmans losses for me Aveng suffers from bad execution of projects more than a bad market.
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#19 Trader001

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Posted 08 October 2019 - 06:25 PM

https://www.iol.co.z...better-31706291

We now know that Byrnecut Group has been having Moolmans' lunch in Africa

Hi SB 45,

Cannot find a connection between your comment and the article that you have posted? can you explain in more detail? Regards 


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#20 Lionelza1

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Posted 20 September 2019 - 11:07 AM

Yooohh back to 1c
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