Thursday 15 August 2013

Silverdell updates the market, remains suspended

The latest Silverdell update to the market may sound like better news for shareholders with confirmation of banking facilities, but the shares remain suspended.

When the suspension is lifted it is most likely to include a fundraising at some point and at least one knowledgeable smaller company analyst has guessed that the share price upon lifting of the suspension could well be in the 4p-6p range, around 50-60% lower than the suspended price.

http://www.stockopedia.co.uk/content/small-cap-value-report-14-aug-sid-qpp-mur-pgb-you-eck-76200/

4p-6p is a lot better than nothing, but it does mean a hefty dilution of the share price for share holders. Despite all this there has been no mention from the company as to who is going to accept blame for what looks like a costly mistake that put part of the company into administration. You might expect that heads would roll. I mean, it is not unreasonable to ask whether the management really is good enough if no one wants to take responsibility for what happened. Who would want to invest in such a company?

No comments:

Post a Comment