Share distribution
I really thought I had made it clear in the last update that although all trading restrictions WILL expire on 30th June, investors will not receive their shares or be able to trade on 1st July because it is not administratively possible. Let me try to explain again:
The facts are:
SOM intends to hand over all shares to a nominated stockbroker just as soon as that can be arranged. The broker we had in mind is a bit slow and so others are being consulted too. Once contracts are in place, the actual handover of shares will also take administrative time.
The shares will continue to reflect a false value until the Mezzanine Funding has been obtained for equi8, the Das Vierte acquisition completed and SOM have commenced their marketing campaign. So even if you did have your shares earlier you could not currently sell them for a reasonable price.
Currently, there are so few buyers that virtually no sell orders would be filled. This will remain the case until the marketing campaign is in full swing.
The current real value of the shares based on earnings per share x P/E ratio is around €0.80.
The marketing campaign cannot begin until Mezzanine Funding has been obtained in the region of €5 to €10 million. Following that, a buyback will be commenced to relieve those investors who are desperate to sell.
A buyback is planned through the Nominated Broker to relieve selling pressure and allow the share price to rise.
Mezzanine Funding seems to be very close now. There is a great deal of interest and due diligence processes ongoing.
Once again, I cannot give a time when these things will happen. It depends on when we receive the Mezzanine Funding and when the nominated stockbroker is ready to sign contracts. We have no control over these things other than to offer incentives. So, when these events will happen, your guess is as good as mine. I do, however, think sooner rather than later.
As soon as we get our first major investment, I will let you know.
As soon as we have struck a deal with a nominated broker I will let you know.
Kind Regards,
Paul Miller.
UK Investor Relations Representative
Spirit on Media Group plc
Tel: +44 (0) 2392 470294
Email:
[email protected]
CAN YOU BELIEVE THIS LETTER. He is claiming that the company is witholding the rightful share owners certificates and arbitrarily handing them off to another broker without the shareholders approval. If they have a securities advocate, he/she should resign and go back to school. It seems they may have been sleeping during the part of the course that deals with Securities fraud. I will keep you posted