Market's view on Ironveld
Published on April 2024
- Concerns are raised about the potential for JW to demand repayment of his £125k, which could jeopardize the company and himself, though there is hope that he can push through a solution.
- The terms of JW’s £500k loan include immediate repayment upon securing any replacement institutional debt or equity placement, posing difficulties without raising substantial additional funds.
- Doubts expressed about the company’s viability and transparency, particularly after misleading information about Grosvenor.
- Discussions on how the current cash position of £500k might suffice short-term, especially with an additional £125k, though extensive share issuance would be required.
- Speculations on behind-the-scenes financing keeping the share price stable at 0.10 despite significant selling.
- Recognition of the majority of current liabilities as soft, with a substantial portion owed for the smelter purchase, highlighting the dire financial situation.
- Acknowledgment of past optimism about the company’s prospects, contrasting with current challenges and regulatory disillusionment, pointing towards potential total loss for investors.
- Detailed discussion on the company’s precarious financial situation, emphasizing the necessity of substantial financing to address urgent creditor concerns and the unlikelihood of raising such funds through placings.
- Admission of historical engagement and investment in the company, reflecting on the evolution of its challenges and the disappointment with its leadership and financial management.
- A comprehensive look at the company’s ongoing struggle with financial viability, operational challenges, and investor disappointment, culminating in a bleak outlook unless significant capital is secured.