Rubicon

[Balance]

That's usually the million dollar question.......

watching

Indeed it is!

If I were the shareholder, I would be inclined to stop selling and wait for what happens when Clearwood is sold by Tenon.

But these big international funds usually could not give a stuff about small million dollar holdings - a change in fund manager usually sees the new one get rid of all non performing stocks and blame on the previous one.

But with Tenon now at $2.50, it is naive to keep selling at 22c.

[Sgt Pepper]

Indeed it is!

If I were the shareholder, I would be inclined to stop selling and wait for what happens when Clearwood is sold by Tenon.

But these big international funds usually could not give a stuff about small million dollar holdings - a change in fund manager usually sees the new one get rid of all non performing stocks and blame on the previous one.

But with Tenon now at $2.50, it is naive to keep selling at 22c.


Could someone enlighten me
If Tenon buy out the other two shareholders in Arborgen and they float Arbborgen on the US sharemarket what happpens to the NZ shareholders in Tenon whose only remaining asset is domiciled in the USA and floated there??

[ari]

Could someone enlighten me
If Tenon buy out the other two shareholders in Arborgen and they float Arbborgen on the US sharemarket what happpens to the NZ shareholders in Tenon whose only remaining asset is domiciled in the USA and floated there??

Would that be the same as when Fletcher Energy had Capstone Energy which was listed in states...think we were given some shares then later there was a total buyback.....

[Balance]

Could someone enlighten me
If Tenon buy out the other two shareholders in Arborgen and they float Arbborgen on the US sharemarket what happpens to the NZ shareholders in Tenon whose only remaining asset is domiciled in the USA and floated there??

Assume you mean Rubicon instead of Tenon.

Presumably the proceeds from the IPO of Aborgen will be paid to Rubicon shareholders - just as the sale of Tenon USA resulted in a capital return for Tenon shareholders.

[ari]

Old news, but I would be certainly happy with this.....nothing like a bit of ramping, Christ it needs it! http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11185247

[beetills]

Please let it be true.
Based on it's current price it coud be x3.
Fingers crossed.

[Balance]

Old news, but I would be certainly happy with this.....nothing like a bit of ramping, Christ it needs it! http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11185247

The Aborgen IPO (which would have reflected value back to RBC) was derailed in part by the employee dispute which in the end proved to be a non-event. Now the complication is that Aborgen is not a significant enough investment for its other two shareholders so RBC is going to have to find a way to drive the Aborgen potential forward by itself.

[winner69]

The Aborgen IPO (which would have reflected value back to RBC) was derailed in part by the employee dispute which in the end proved to be a non-event. Now the complication is that Aborgen is not a significant enough investment for its other two shareholders so RBC is going to have to find a way to drive the Aborgen potential forward by itself.

Could always get David Darling back to finish the job he started years ago. I'm told he is bit bored in his present job.

[Balance]

Could always get David Darling back to finish the job he started years ago. I'm told he is bit bored in his present job.

Back to the future?

:D

[Balance]

Yes curiouser and curiouser. Either the market is asleep with Rubicon and at 22cps is the best value on the sharemarket or ???

26c bid so that's 18% share price increase in 3 weeks so must make RBC one of the best values in the market at that time?

Looks like the one big seller (alerted to by directors at the ASM) has withdrawn for the moment?

No luck getting hold of stock now for those who missed the opportunity to load up when the seller was keeping a lid on the sp.

[Balance]

Old news, but I would be certainly happy with this.....nothing like a bit of ramping, Christ it needs it! http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11185247

Another blast from the past to understand sp action :

10 Feb 2014 :

"International investor, Libra Fund II (Luxembourg) ("Libra"), has agreed to subscribe for 29.3 million new ordinary Rubicon shares, which will rank paripassu with Rubicon's existing issued shares. The issue price will be NZ41.29cents per share, which is the volume weighted average Rubicon share price over the last 10 trading days on the NZX."

Would assess that Libra put money into RBC (to fund Aborgen) on expectations that Aborgen IPO would give a huge boost to RBC's sp. When the IPO did not happen, they decided to start selling.

As at 14 Aug 2015, Libra had sold down to below 5% (20.44m shares) and presumably, continued to sell until they either have finished or have decided to stop selling.

Looking at volume of stock sold over the last 2 years - looks to me like they have finished selling.

Blue skies ahead?

[Leftfield]

Interesting Post Balance. Going to be interesting to watch. Must confess I'm pretty new to RBC and TEN and not burdened by past SP history so I've taken some of my TEN capital repayment and placed it with RBC as I like the chart prospects.

[Balance]

Interesting Post Balance. Going to be interesting to watch. Must confess I'm pretty new to RBC and TEN and not burdened by past SP history so I've taken some of my TEN capital repayment and placed it with RBC as I like the chart prospects.

One potential outcome from a Clearwood sale by Tenon and capital repaymemt to RBC could be RBC using the funds to take out one or both of the other shareholders in Aborgen.

That could be seen as a negative by the market (and some shareholders) but could very well open the way for RBC to then IPO Aborgen and reflect value back to RBC.

[Sgt Pepper]

One potential outcome from a Clearwood sale by Tenon and capital repaymemt to RBC could be RBC using the funds to take out one or both of the other shareholders in Aborgen.

That could be seen as a negative by the market (and some shareholders) but could very well open the way for RBC to then IPO Aborgen and reflect value back to RBC.


The frustrated chant of the long suffering Rubicon shareholder

" Why are we waiting .....why are we waiting......"

I know the phrase extolling the virtues of patience that good things come to those who wait, but this is getting ridiculous.

[ari]

Down a little in first trades...perhaps Trump affect...soon will not be able to get funds out........

[beetills]

I may have this wrong but it appears RBC are to be part of a consortium to buy Clearwood.

[winner69]

I may have this wrong but it appears RBC are to be part of a consortium to buy Clearwood.

Yes - about 50%

[biker]

OVERVIEW
ANNOUNCEMENTS
RBC / ANNOUNCEMENTS
Tenon to sell Clearwood – Rubicon in acquisition consortium
5:13pm, 14 Feb 2017 | GENERAL
Tenon to sell Clearwood – Rubicon to participate in Acquisition Consortium

February 14, 2017 - Rubicon’s 60% owned subsidiary, Tenon Limited, today announced that it had entered into an Agreement to sell its Clearwood operating business to a group of investors (the Consortium) - please refer attached full announcement from Tenon.

The Consortium, a Limited Partnership, comprises a group of private NZ and US investors, and Rubicon. Rubicon will retain a 50% (approximately) interest in the Consortium. Hugh Fletcher, the Chair of the independent committee of the Rubicon Board dealing with the transaction, said: “Rubicon is involved in the Consortium for several reasons. Firstly, to ensure that Tenon’s Strategic Review is completed successfully, with an appropriate outcome for all shareholders. Secondly, we have indirectly managed the Clearwood business for a long time and know it well. We are a comfortable owner, but would rather own our Clearwood investment directly through a private vehicle, than via a public entity. In this respect, the structure of the Consortium vehicle is such that it allows full flexibility as to future ownership changes for its investors. Finally, Rubicon’s cash position will improve by some US$10 million as a result of this transaction – from the receipt of our share of the subsequent US$43 million (second) capital return that Tenon independent directors are proposing, and also through the sell-down to a 50% shareholding position (currently ≈60% through Tenon).

The transaction is obviously conditional on Tenon shareholder approval, however all things going to plan it is scheduled to close on 28 April, 2017.”
EOF

TENON RELEASE:

Tenon signs Sale & Purchase Agreement over Clearwood business
February 14, 2017 - Tenon today announced that it had entered into a sale and purchase agreement over its NZ-based Clearwood manufacturing and global sales operations (Clearwood). The purchaser is Tenon Clearwood LP, which comprises a group of US and NZ private investors, and Rubicon (circa 50%) (the Consortium).
The purchase price is US$55 million payable in cash and is conditional on, amongst other things, shareholders approving the sale at a Special Shareholders’ Meeting to be held on 20 March 2017 (refer attached appendix for key terms).
At the same meeting, Tenon will be proposing that (subject to the sale being approved by shareholders) a (second) pro-rata capital return of US$43 million be made to shareholders on closing. It is also proposed that Tenon will seek de-listing from the NZX Main Board and then for the Company to proceed to undertake a voluntary liquidation and return of all residual surplus funds (currently estimated to be a further US$5.8 million approximately) to shareholders. The capital return will be conducted by way of a court approved process, as was the case with the capital return following the sale of Tenon’s US business operations in December 2016.
The indicative timetable is for transaction closing and payment of the (second) capital return to Tenon shareholders to occur on 28 April, 2017, and for the subsequent liquidation of the Tenon Group to be commenced six months later (once the period for warranty claims under the sale and purchase agreement has expired).
Given Rubicon is a member of the Consortium, the Consortium Offer has been considered and negotiated by a sub-committee of the Tenon Board, comprising only the Tenon Independent Directors (Messrs Eglinton and Walker). The Rubicon Directors on the Tenon Board (Messrs Kasnet, Karaplis, and Moriarty) have had no involvement in the Company’s evaluation, consideration, or negotiation of the Consortium Offer and did not vote on any matter in relation to the Offer.
Deutsche-Craigs ran an exhaustive sales process for Tenon, generating expressions of interest from eight parties, domestic and international. Each was fully assessed and the Sub-Committee is comfortable that the Consortium Offer provides the best price, terms and certainty of completion that could have been negotiated with any of those parties.
In assessing these offers, the Sub-Committee took into account an estimated US$6 million (net of cash) in transaction, wind-up and liquidation costs1. Approximately half of these costs have been or will be incurred, regardless of whether this sale proceeds, as they relate to the final Blue Wolf transaction closing or to the ‘right-sizing’ of Tenon under a continuing business scenario, with a management structure appropriate for a smaller, Clearwood-only, Tenon business (a process already underway with the elimination of the Asia-Pacific President and Group CFO roles).
Grant Samuel has been appointed by the Sub-Committee as Independent Advisor to Tenon shareholders (other than Rubicon) on the transaction. Inclusive of costs1, they have valued Clearwood (under a sale and subsequent liquidation of Tenon), at US$45.8 – US$56.3 million, or NZ$1.99 - NZ$2.45 per share.
Assuming the above US$6 million estimated costs and no material Tenon bank debt to be repaid, the total cash to be returned to Tenon shareholders under the sale of Clearwood and the subsequent liquidation of the Tenon Group, will be approximately US$48.8 million, comprising US$43 million by way of (second) capital return, with an additional (estimated) US$5.8 million in a subsequent distribution once Tenon is liquidated.
Grant Samuel was also asked to value Tenon on a continuing basis, assuming no sale of Clearwood. Under that scenario, they assumed that Tenon would re-leverage the Company and make an immediate US$15 million pro-rata capital return to shareholders and determined that the value on a continuing business basis in a range of NZ$1.74 – NZ$2.08 per share. This valuation includes a 15% trading discount for the relative illiquidity of Tenon shares, on-going corporate costs to continue the public entity, as well as US$3 million of one-off costs to right-size the continuing Tenon business
On 23 December 2016, Tenon announced that it had entered into exclusive negotiations with one party with the intent of concluding a sale and purchase agreement over the Clearwood business. The volume weighted average share price for the 4-month period prior to that announcement was NZ$2.02 per share, and the share price on the day immediately prior to that announcement was NZ$2.12. Given the Consortium Offer, which equates to NZ$2.12 net of costs (NZ$2.39 per share before costs) is within Grant Samuel’s recommended sale and liquidation range and exceeds the top end of the value range for a continuing Tenon business, and also given an extensive investment bank-led process has been run, Tenon’s Independent Directors have accepted the Consortium’s Offer and signed the sale and purchase agreement as being in the best interests of Tenon shareholders.
Tenon said that all documentation (which would include a Notice of Meeting with full explanatory notes and a detailed transaction and shareholder timeline, and a Grant Samuel Report) would be distributed to shareholders in early March.
1 These costs include advisors’ fees relating to the sale, shareholder meeting materials, court fees, the termination of all Tenon corporate staff, ‘run-off’ insurance, the appointment of liquidators, and the disposal and liquidation of all remaining assets and liabilities
2 This valuation is ‘current’, in that it has been updated for fx rates, current log prices, and related Clearwood earnings movements (refer Tenon release of 3 February 2017). 

Tenon Summary of Key Consortium Transaction Terms
1. Business being disposed of
Tenon’s NZ-based Clearwood manufacturing and related global distribution operations, comprising the net assets (including working capital) of Tenon Manufacturing Limited and the shares in Taupo Wood Solutions LLC, in a debt free transaction.

2. Consideration
US$55 million payable in cash. A future cash payment or receipt may occur if net working capital on closing diverges from US$11 million by more than a US$250,000 band, in which case the adjustment will be the amount outside the band.

3. Key conditions
The sale is subject to the satisfaction or waiver of certain conditions, including –
ú The passing of Tenon shareholder resolutions approving the transaction
ú Staff and contract transfers
ú No material adverse change occurring in the Clearwood business prior to settlement

The conditions must be satisfied by 3 April 2017 (other than the material adverse change condition which runs to settlement).

If the conditions are satisfied, settlement is set down for 28 April 2017.

4. Potential termination events
In addition to the conditions, the Consortium can also terminate the transaction if –
ú The Tenon Board withdraws its recommendation
ú Tenon breaches its obligations in relation to non-solicitation of alternative transactions
ú There is extensive damage to the Taupo plant after signing.

Tenon can also terminate the transaction if it is entering into an unsolicited alternative transaction as a result of the Tenon Board determining that it is required to do so in order to comply with its fiduciary duties.

Tenon must pay a termination fee of US$1.65 million if –
ú It terminates the Sale and Purchase Agreement in order to enter into an alternative transaction, or
ú The Consortium terminates the Sale and Purchase Agreement because the Tenon Board has withdrawn its recommendation of the sale

Tenon must reimburse the Consortium’s costs and expenses in the amount of US$500,000 if Tenon shareholders vote against the sale.

5. Representations and warranties
The Sale and Purchase Agreement contains a typical set of representations and warranties concerning Clearwood. Any and all claims must be brought within six months of closing. Other than for breaches of fundamental representations (e.g. title to assets), all claims under the Sale and Purchase Agreement are capped at an aggregate US$1 million.
Ends

FORWARD-LOOKING STATEMENTS
There are forward-looking statements included in this document. As forward-looking statements are predictive in nature, they are subject to a number of risks and uncertainties relating to Tenon, its operations, the markets in which it competes and other factors (some of which are beyond the control of Tenon and Rubicon). As a result, actual results and conditions may differ materially from those expressed or implied by such statements. In particular, Tenon's operations and results are significantly influenced by the level of activity in the various sectors of the economies in which it competes, particularly in New Zealand, Europe, and North America. Fluctuations in industrial output, commercial and residential construction activity, capital availability, housing turnover and pricing, levels of repairs, remodelling and additions to existing homes, new housing starts, relative exchange rates, interest rates and profitability of customers, can each have a substantial impact on Tenon's results of operations and financial condition. Other risks include competitor product development, product demand and pricing, input costs and customer concentration risk.

Attachments
Tenon to sell Clearwood – Rubicon to participate in acquisition Consortium
Attachments are available on nzx.com for six months from the date of release. NZX offers professional products for searching historic company announcements. Please email data@nzx.com for a free trial.

[ari]

None the wiser as to RBC.....$10m more in the coffers, so at the end of the day where to now for RBC share price?????? Certainly not the golden egg I've been in for some 12+ years!

[ari]

Even made the Herald.....http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11800618

[biker]

None the wiser as to RBC.....$10m more in the coffers, so at the end of the day where to now for RBC share price?????? Certainly not the golden egg I've been in for some 12+ years!

Good for RBC shareholders. Not so good for TEN shareholders. Especially at current prices of each.
Another step on the long tortuous road to a value event for RBC.
Management attention can now focus on ArborGen and the consortium has some interesting possibilities.
Although not a smash hit, from Rubicon's perspective I think it is quite a clever deal.
I think it is an endorsement of the potential and intention to revalue RBC.

[Balance]

Good for RBC shareholders. Not so good for TEN shareholders. Especially at current prices of each.
Another step on the long tortuous road to a value event for RBC.
Management attention can now focus on ArborGen and the consortium has some interesting possibilities.
Although not a smash hit, from Rubicon's perspective I think it is quite a clever deal.
I think it is an endorsement of the potential and intention to revalue RBC.

Assuming that Clearwood utilizes 100% of the BNZ U$25m working capital capacity to fund its operations, the price paid of US$55m implies RBC and consortium have bought Clearwood on an enterprise multiple of 7.6 times - a cashflow return of 13.1%.

Can see the logic of RBC deciding to retain its stake in 'Tenon' (ie. Clearwood).

[beetills]

What should we expect in regards of RBCs share price.

[beetills]

Its latest review says that there will be more clarity to Rubicons value path before 30/06/17.

[SilverBack]

So does that mean instead of swimming in a swamp of algae and duckweed, investors will be able to see something like an eel or alligator approaching? Share price? I calculated earlier that based on the Tenon sale of the USA assets, the RBC price of 20c at the time meant that ArborGen had no value in the share price. I have not bothered to repeat the calculation for Tenon's more recent agreement to sell Clearwood. Not long ago this company was selling for 40c or so. In the meantime the TEN market value went up considerably while RBC's went down. I bought in twice, as a speculative investment, at much lower prices, thinking the underlying value has to come out at some stage but am becoming increasingly disllusioned about this company.

[ari]

......... thinking the underlying value has to come out at some stage but am becoming increasingly disllusioned about this company.
disillusioned......I have been for many years, one of my early parcels cost .91c a share. Can't see my .44c breakeven getting close any day soon!

[beetills]

If ABORGEN is ever listed will there be any reasons for RBC to continue breathing especially if they can flick off Clearwood which i believe will suck RBC dry.

[Sgt Pepper]

If ABORGEN is ever listed will there be any reasons for RBC to continue breathing especially if they can flick off Clearwood which i believe will suck RBC dry.


I feel rather embarrassed in my confident prediction to a friend that Rubicon would be the star performer on the NZX in 2017 and that very patient shareholders, like myself, would be rewarded.
Have not quite hoisted the white flag of surrender yet,
but getting close. Darn it. Is there no foreseeable hope that the true value of Arborgen will be realised and 23cps per share Rubicon Shares will be a dollar??

[t.rexjr]

I feel rather embarrassed in my confident prediction to a friend that Rubicon would be the star performer on the NZX in 2017 and that very patient shareholders, like myself, would be rewarded.
Have not quite hoisted the white flag of surrender yet,
but getting close. Darn it. Is there no foreseeable hope that the true value of Arborgen will be realised and 23cps per share Rubicon Shares will be a dollar??

Looks like a Mexican stand off to me. Mainly small investors exiting keeping the price down while larger holders collect as much as they can without forcing price up. Company is now debt free or close to it and making profit. June will be very interesting as Arbogen changed their reporting period to align with their selling season. Essentially meaning Rubicon had nothing to report in December. You'd be bonkers to cash in now I'd reckon...

[silverblizzard888]

Rubicon for a while couldn't get its value recognised since it was a holding company, but I think with the Tenon transaction it will benefit from owning the business directly, while Arborgen still remains a silent asset that no one knows when it'll be recognised. Hate to dampen spirits but I think we're at least another 6 months away from seeing this share price do well, but when it does you'll be skipping to the bank.

[biker]

I feel rather embarrassed in my confident prediction to a friend that Rubicon would be the star performer on the NZX in 2017 and that very patient shareholders, like myself, would be rewarded.
Have not quite hoisted the white flag of surrender yet,
but getting close. Darn it. Is there no foreseeable hope that the true value of Arborgen will be realised and 23cps per share Rubicon Shares will be a dollar??

The following is from the interim report:-

Rubicon
Our very immediate objectives are to –
• See a positive conclusion to the Tenon Strategic Review and Clearwood sales process; and
• Reach agreement with our ArborGen partners as to the appropriate funding and value extraction plan going forward.
Once those two matters are behind us, the value path for Rubicon will be much clearer for shareholders. We would expect this clarity will emerge prior to 30 June this year.

[t.rexjr]

Looks like the one big seller (alerted to by directors at the ASM) has withdrawn for the moment?

No luck getting hold of stock now for those who missed the opportunity to load up when the seller was keeping a lid on the sp.

Nope, still selling...

[Sgt Pepper]

Nope, still selling...

Just read a report from Sandell Asset Management from 2011 concerning Tenon Rubicon and Arborgen. Back then it valued Rubicon between 1.35 (nz) and 1.65 once an IPO of Arborgen is completed; and/or a reverse takeover occurs.
Now wouldnt THAT be a nice reward for RBC shareholders, Heres hoping.

[ari]

Just read a report from Sandell Asset Management from 2011 concerning Tenon Rubicon and Arborgen. Back then it valued Rubicon between 1.35 (nz) and 1.65 once an IPO of Arborgen is completed; and/or a reverse takeover occurs.
Now wouldnt THAT be a nice reward for RBC shareholders, Heres hoping.

I have often referred back to that article.........and dreamed.

[beetills]

I'M thinking that should the SP ever rise above 40c there will be a mad rush to get out.

[t.rexjr]

I'M thinking that should the SP ever rise above 40c there will be a mad rush to get out.

I'm sure that will be the case.

The SP at the moment barely covers the value of Clearwood.

Waiting, waiting, waiting...

[Leftfield]

I consider RBC as worth a rather risky punt and recently started to nibble away at a small holding..... for better or worse.

Last year I did well out of the Tenon sale process and have reinvested some of my gains in RBC as a pure punt.

It may well be that RBC needs to be revalued when you consider;

1.) RBC used the proceeds of the Tenon sale return to repay $20 mill of bank debt and at end Dec 2016 only had $7 mill unsecured debt outstanding. In addition, at end Dec it reportedly held $20 mill in cash.

2.) RBC are on record as saying "their investment in ArborGen is to be re-evaluated and likely to reach EBITDA breakeven this financial year" and RBC's goal is to "reach agreement with our ArborGen partners re appropriate funding and value extraction."

I'm looking forward to some news from this company re its future direction before I invest further or discard.

[Puriri Pete]

So tomorrow Tenon's patient shareholders will receive their latest capital repayment from the sale of Clearwood. It will be interesting to see if any of those funds find their way into RBC. If so it might help to mop up the present overhang and provide positive direction to the share price.

It's definitely one to hang onto awhile longer.

[ari]

Interesting details for failed Arborgen IPO 7 years ago http://www.nasdaq.com/markets/ipos/company/arborgen-inc-838281-65315 alot of water has gone under the bridge (pun unintended) since then, surely it has to be a go, if only to see what it's true value is.

[biker]

Have I just bought the last RBC shares ever to be sold as low as 22.5c ?

Disclosure 1. Wishful thinking.
Disclosure 2. A RBC shareholder with LOTS of patience.
Disclosure 3. Waiting for the second coming (of RBC)
Disclosure 4. Believing the pending sale of TEN will be the spark
to set RBC alight

Obviously not! Can't resist these at 22c so have bought more.

[biker]

I still believe these have the potential to at least double in price from these levels if not triple and more, but then I have thought that for a very long time.

[SilverBack]

Until the share register opens up with fewer dominant shareholders so that institutions find a place and until there is some indication of external interest in ArborGen, it is hard to see the share price reflecting underlying value.

[Puriri Pete]

Good buying biker, rewards are coming for those who position themselves as contrarians. The way I look at it the guys running this show aren't getting any younger and will want to produce the promised "liquidity event" before they're completely knackered.

[biker]

Hahaha PP. Hadn't quite seen it that way but they do have quite a bit of 'skin in the game'

[ari]

Good buying biker, rewards are coming for those who position themselves as contrarians. The way I look at it the guys running this show aren't getting any younger and will want to produce the promised "liquidity event" before they're completely knackered.

My sentiments exactly. Didn't RBC say that there should be something to report by end of June?

[beetills]

They certainly did,so not many sleeps until we will be a lot wiser and possibly wealthier.

[Leftfield]

They certainly did,so not many sleeps until we will be a lot wiser and possibly wealthier.

Interesting to see there still is life over in TEN. Whats with that? Awaiting a market update with interest and happy to be in such esteemed company!

[Puriri Pete]

Aside from the Arborgen prospect it will be interesting to see whether Rubicon directors are able to squeeze out a wee dividend. Clearwood must be humming along sweetly so it would be feasible to pass along some of those profits. It wouldn't take too much to turn RBC into a decent dividend yield stock at current SP!

[Puriri Pete]

Rubicon in its wisdom changes balance date from June to September.

https://nzx.com/companies/RBC/announcements/301928

No hint of reason given for the change. Presumably shareholders are not worthy of such explanation.

[Balance]

Rubicon in its wisdom changes balance date from June to September.

https://nzx.com/companies/RBC/announcements/301928

No hint of reason given for the change. Presumably shareholders are not worthy of such explanation.

Bizarre.

Normally associated with trying to hide bad things - Equiticorp changed its balance date 3 times to avoid reporting before it went broke.

[t.rexjr]

Bizarre.

Normally associated with trying to hide bad things - Equiticorp changed its balance date 3 times to avoid reporting before it went broke.

I suspect it's to align with Arbogens. I read it once. Can't remember where... I wonder if there will still be a market update prior to June 30?

[Balance]

I suspect it's to align with Arbogens. I read it once. Can't remember where... I wonder if there will still be a market update prior to June 30?

Simple enough thing to explain to shareholders then?

The arrogance of this remnant of the once proud and mighty Fletcher Challenge group beggars belief - especially when one considers that Hugh Fletcher is still on the board, the very same CEO who ran the group into financial stress and eventual breakup.

[Sgt Pepper]

Simple enough thing to explain to shareholders then?

The arrogance of this remnant of the once proud and mighty Fletcher Challenge group beggars belief - especially when one considers that Hugh Fletcher is still on the board, the very same CEO who ran the group into financial stress and eventual breakup.

Hopefully my cautious optimism for Rubicon is not misplaced with this latest announcement. They have committed to an announcement to the future direction concerning Arborgen by June 30th, to not do so would be extremely unwise. I await the market reaction, still tempted to buy more.

[Puriri Pete]

I suspect it's to align with Arbogens. I read it once. Can't remember where... I wonder if there will still be a market update prior to June 30?

Arborgen's balance date is 31 March according to the latest Rubicon annual report. It's possible that may have changed too to better match their sales and collection cycle which would be understandable.

I'm sure we'll have a market update, probably on the deadline date, if only to say everyone is very busy and consultants have been engaged!

[Xerof]

Simple enough thing to explain to shareholders then?

The arrogance of this remnant of the once proud and mighty Fletcher Challenge group beggars belief - especially when one considers that Hugh Fletcher is still on the board, the very same CEO who ran the group into financial stress and eventual breakup.

Gee Balance, it wasn't too long ago you were ramping this up to glory. What's changed your mind, other than the fall in the share price?

[Balance]

Gee Balance, it wasn't too long ago you were ramping this up to glory. What's changed your mind, other than the fall in the share price?

Still got them, Xerof and still a believer in the fundamental value to be ultimately realised.

Not blind however to when they are arrogant.

[Xerof]

fairy nuff

[ari]

History shows, going back to Fletcher days there has never been huge windfalls for share holders on sell off's. The longer this goes on the less confident I am....perhaps they will sell Arborgen on an equivalent Grant Samuel valuation too....I mean 'what share holders'.....

[t.rexjr]

I'm I the only one that thinks a sell off would defeat the purpose of nurturing this beast? Quite keen on keeping my share of a company that dominates a world industry. Money does grow on trees!

Or will...

Soon...

hopefully...

[Puriri Pete]

We have a new director, one David Knott Jr, who according to the Companies Office website was appointed on 24 Feb 2017. New blood at last. I hope he's bright. Now there are seven directors so the chance of deadlock is reduced.

Did I miss the NZX announcement?

[beetills]

We have a new director, one David Knott Jr, who according to the Companies Office website was appointed on 24 Feb 2017. New blood at last. I hope he's bright. Now there are seven directors so the chance of deadlock is reduced.

Did I miss the NZX announcement?
Is David Knott jr any relation to the David Knott who is already on the board who with associated entities is Rubicons largest shareholder.
Haven't see any other notices regarding a new board director but then i may have missed it myself.

[Puriri Pete]

I think that is the case however we should really wait for the company to explain.

Also, over the past year Accident Compensation Corporation has reduced its holding from 17.33m to 12.57m shares. Not exactly a ringing endorsement of Rubicon's performance prospects. Perhaps they got wind of the board expansion and decided seven directors was over the top for a sub-$100m cap company? It's a shame they're heading for the exit as it will weaken the position of loyal NZ shareholders as US muscles gets flexed.

[ari]

I think that is the case however we should really wait for the company to explain.

Also, over the past year Accident Compensation Corporation has reduced its holding from 17.33m to 12.57m shares. Not exactly a ringing endorsement of Rubicon's performance prospects. Perhaps they got wind of the board expansion and decided seven directors was over the top for a sub-$100m cap company? It's a shame they're heading for the exit as it will weaken the position of loyal NZ shareholders as US muscles gets flexed.

But there still has to be a buyer???

[Puriri Pete]

But there still has to be a buyer???

I can't argue with that although I'm unsure what your point is. She'll be right?

I think NZ shareholders are pretty vulnerable to be taken to the cleaners on this one. I hope I'm wrong but seeing a well-resourced institution moving on means warning bells to me.

Cheers.

[ari]

I can't argue with that although I'm unsure what your point is. She'll be right?

I think NZ shareholders are pretty vulnerable to be taken to the cleaners on this one. I hope I'm wrong but seeing a well-resourced institution moving on means warning bells to me.

Cheers.

My point is, I would like to know what has motivated purchaser when all we see is doom and gloom. The further down the road it goes the less faith I have in a positive outcome..........

[t.rexjr]

My point is, I would like to know what has motivated purchaser when all we see is doom and gloom. The further down the road it goes the less faith I have in a positive outcome..........

Doom and gloom? I find the lack of ongoing information on this company quite frustrating. Management help the situation none by keeping shtum. None the less, I have followed this company for a very long time, only recently buying in. Loss of faith due to loss of patience is the only real doom and gloom story here as far as I see. The 'Rubicon has been crossed' and I suspect things are poised.
I'm very interested in the effect the change in reporting date will have in the next Annual Review as this should now include full turnover from the latest selling season.
Cleerwood was picked up rather cheaply as far as I can make out. Although it's not a great turnover it should provide a bit of feed for the winter months.
The question will be, now that the cake is mixed will it need a cash injection to get it baking? With the loss of faith in the company that may be difficult...

Still, I think it is not 'if' but 'when' with this one. Now that I've thrown some change at it I'm hoping in the next year or two rather than 10...

[ari]

That said t.rexjr....what are your thoughts on Arborgen? I might add I have held shares since 04' and currently hold in excess of 200,000, so I am very keen to see a tidy profitable exit.

[t.rexjr]

That said t.rexjr....what are your thoughts on Arborgen? I might add I have held shares since 04' and currently hold in excess of 200,000, so I am very keen to see a tidy profitable exit.

My thoughts on Arborgen?

It's all very vague isn't it. It has stupendous potential that may never be realised. I do like this excerpt from Decembers Interim Review though...


ArborGen should remain on track to meet its EBITDA break-even target (including the full expensing of all product research costs) in this current fiscal year. Although it has takena "little longer" than we would have hoped, this is an important milestone in ArborGen’s life. It has built the leading technology and global commercialisation platform in the industry. It is now producing in excess of 340 million seedlings, per annum, globally, and has firmly established a new core commercialisation arena in Brazil. It has also largely passed through the heavy product development spend phase, and past EBITDA losses,which peaked at circa US$18 million per annum, are well behind it.

I think many people didn't stop to ponder that this industry is a long term industry. 15 years to grow a tree. It was never going to be booming over night.

Ask me in two years time...

[Puriri Pete]

My point is, I would like to know what has motivated purchaser when all we see is doom and gloom. The further down the road it goes the less faith I have in a positive outcome..........

Your comment understood now, thanks.

I find poking around their website eg http://www.arborgen.com/about-arborgen/ it's quite easy to believe in the Arborgen story. Lots of bright committed folk leading the business and we can't argue with the worth of their science. So while I have some misgivings about Rubicon's governance I have been accumulating RBC lately although unfortunately not in such scale to soak up ACC's unwanted stock. Keep the faith.

[Sgt Pepper]

Your comment understood now, thanks.

I find poking around their website eg http://www.arborgen.com/about-arborgen/ it's quite easy to believe in the Arborgen story. Lots of bright committed folk leading the business and we can't argue with the worth of their science. So while I have some misgivings about Rubicon's governance I have been accumulating RBC lately although unfortunately not in such scale to soak up ACC's unwanted stock. Keep the faith.

Is a scenario of a reverse takeover by Arborgen of Rubicon possible?. I think the Grant Samuel report of 2011 speculated on this, if I recall correctly.

[SilverBack]

The lack of communication by this company to its shareholders condemns it. Lack of information concerning its strategy and absence of any response in share price following purchase of Tenon's NZ assets speak for themselves. One cannot help but think that management are acting for their own interests!
The Tenon price appreciated over the past two years plus payment of dividend while RBC steadily deteriorated even while Aborgen supposedly improved its position.
So is the Tenon asset so bad that the RBC price should subsequently decrease, or is it Aborgen's performance? Who would know (other than the directors of course) because there is never any market update. This company behaves like it is a private company and not a public one (apart from observing the NZX's minimum requirements).

[silverblizzard888]

I'm in it for the assets.

Capital returns (71 (first capital return) +43 (second capital return)+ 5 (yet to be paid) = 119 x 0.6) = $71.4 USD - 20USD debt repaid earlier. 51.4 USD left, equals 71.5 NZD in Rubicons bank account.

Clearwood valued at $55 US, 50% equal 27.5 USD or 38.25 NZD.

= Cash 71.5 + Clearwood 38.25 - $26 (50% kept interest) = 83 million or 20.5 cents per share, not even counting arborgen.

Conservative Arborgen value. I've looked at Sygenta, Monsanto and Dupont
They all seedlings producers (though do produce other stuff too) and all trade at least 3 times sales. Arborgen's current sales are 40 million USD, given RBC own a third it would be worth 40 million to them and is equal to 55million NZD. I think this valuation is conservative enough.

Add 55 to 83 and we have 138 million valueNo matter how you look at it RBC is undervalued.

[ari]

I'm in it for the assets.

Capital returns (71 (first capital return) +43 (second capital return)+ 5 (yet to be paid) = 119 x 0.6) = $71.4 USD - 20USD debt repaid earlier. 51.4 USD left, equals 71.5 NZD in Rubicons bank account.

Clearwood valued at $55 US, 50% equal 27.5 USD or 38.25 NZD.

= Cash 71.5 + Clearwood 38.25 = 109.5 or 26.76 cents per share, not even counting arborgen.

Conservative Arborgen value. I've looked at Sygenta, Monsanto and Dupont
They all seedlings producers (though do produce other stuff too) and all trade at least 3 times sales. Arborgen's current sales are 40 million USD, given RBC own a third it would be worth 40 million to them and is equal to 55million NZD. I think this valuation is conservative enough.

Add 55 to 109.5 and we have 164.5 million value or 40 cents per share.

No matter how you look at it RBC is undervalued.

Certainly way short of Edison's report some time ago ie. conservative value 64c and bullish value $1.06.

[silverblizzard888]

Certainly way short of Edison's report some time ago ie. conservative value 64c and bullish value $1.06.

The arborgen value I prescribed is just a conservative approach and I do believe it to be worth much more, though with barely any info to go on its hard to value them. The point of the exercise was to point out even with a management team thats not responsive to shareholders we can be assured that the company is safe in that its back by its assets.

[ari]

The arborgen value I prescribed is just a conservative approach and I do believe it to be worth much more, though with barely any info to go on its hard to value them. The point of the exercise was to point out even with a management team thats not responsive to shareholders we can be assured that the company is safe in that its back by its assets.

Point taken........do you see an IPO in the future as this appears to be only way true value can be realised.....

[Xerof]

SilverB, I think your starting cash is too high but I agree with your point. (did you deduct what R have to pay for the share of C? Somewhere I read the net effect is $10m, not $43)

This appears to be similarly run to the Perth mining lifestyle companies (directors lifestyle, not the shareholders)

[t.rexjr]

SilverB, I think your starting cash is too high but I agree with your point. (did you deduct what R have to pay for the share of C? Somewhere I read the net effect is $10m, not $43)

This appears to be similarly run to the Perth mining lifestyle companies (directors lifestyle, not the shareholders)

Yeah we're a bit off in those workings:

At 31 December the Group held cash of $24 million (Rubicon $22 million, Tenon $2 million), bank debt of $2 million (Tenon) and outstanding subordinated Notes of $7 million (Rubicon).

Clearwood sale was supposed to be a net profit of $10 million

This would mean current cash would be around $25 million
50% of Clearwood value ($55) $27.5 million
And whatever value you want to place on Arborgen…

[silverblizzard888]

SilverB, I think your starting cash is too high but I agree with your point. (did you deduct what R have to pay for the share of C? Somewhere I read the net effect is $10m, not $43)

This appears to be similarly run to the Perth mining lifestyle companies (directors lifestyle, not the shareholders)

The Clearwood settlement was that the consortium would purchase the whole business for $55 million as noted in the statement: "purchase price is US$55 million payable in cash", from that arrangement RBC will get 50% of the purchase and I assume an arrangement to pay the loan made to arrange the financing before they got the capital returned. The net effect would make them $10millon US.

Out of the purchase price Tenon debt was repaid and $48.8 million left, of that "capital return of US$43 million be made to shareholders on closing....... return of all residual surplus funds (currently estimated to be a further US$5.8 million approximately) to shareholders. " 60% of 48.8 is $29.28 million US, - minus 18.8 of interest kept and fees then yeah about $10 million better off.
https://www.nzx.com/companies/RBC/announcements/296743

[Leftfield]

IMHO patience is needed with this one. RBC has always said that it's goal is to, "determine (a) risk adjusted path likely to close the share price value gap." (financial gobbledygook seeming to say they agree with SBuzzard that RBC's SP is too low.)

The recent aligning of RBC's FY balance date with Arbogen is no doubt part of this process, and RBC for obvious reasons is carefully crossing t's and dotting i's before it makes any announcement to the market re what lies ahead for holders.

I'm hoping for an announcement by late July and some clarity after that.

All holders can say at the moment is that they are 'well positioned" .

I note there has been some life in the TEN SP and find this interesting......anyone have any views on what may happen here?

[silverblizzard888]

Yeah we're a bit off in those workings:

At 31 December the Group held cash of $24 million (Rubicon $22 million, Tenon $2 million), bank debt of $2 million (Tenon) and outstanding subordinated Notes of $7 million (Rubicon).

Clearwood sale was supposed to be a net profit of $10 million

This would mean current cash would be around $25 million
50% of Clearwood value ($55) $27.5 million
And whatever value you want to place on Arborgen…

Actually I've made a error around the clearwood part, need to deduct $18.8 million for clearwood interest they have kept. Apologies.

To clarify summary:
Dec 31st postion: $22 million
Net effect of Clearwood: $10 miilion
Clearwood: $27.5
= USD 59.5 ($82.57 NZD) still relatively near market cap currently, not factoring in Arborgen

[silverblizzard888]

Morningstars Research report just updated yesterday states RBC's equity at $197 million or 49 cents per share.

http://quotes.morningstar.com/stockq/analysis-report?&t=XNZE:RBC&region=nzl&culture=en-US&ops=clear&version=RET&cur=&e=eyJlbmMiOiJBMTI4R0NNIiwiYWxnIjoiUlNBLU9BRVAifQ.z 3IU8FbEE7VES6bTGgmxt2vpJ604UD5SLGv20cZYoFDZ5-aXaejQBJC0UjCmHlrQh5SRFCnVDRyF_lIb4eage6DJyAOuntiW oyri4c6nevk_HZLIqXgFnjwSv1uAYYivYXhVTU1dRAsOEpx6k9 yhjTUA5BplsB1x5QULvoIPjZc.BLsVWS34Rt6ydRht.e2xsNRR Ii3t7mo1RHnIgmopY9JzQ85b9z5-ykdIR4edQLWLwuugEd2HslaXOqL39SUCKv5SZUdVckF3WRp5JS-d1puwQBeYxcO34CYLZ6-j5HTTPWqFu-jnTWOXP_A2kmlUQpibkF1CWEqrUEmwZVPQgABFBiOKccdhFMpM HYW7vgnYjXRpf2PxPKEJMGNUqTOa5cM3nF3Yq4vqu2WClJFuLH 8A2VXMkK2F81CY.xyZNoNfMnh-rQ7zu9_bHzQ

[beetills]

Obviously nobody has much faith in Morningstars report.
SP still hovering around 22c.
Me i had a small dabble.
Hopefully the wait for news that sets the sp on fire is not far away.

[winner69]

Morningstars Research report just updated yesterday states RBC's equity at $197 million or 49 cents per share.

http://quotes.morningstar.com/stockq/analysis-report?&t=XNZE:RBC®ion=nzl&culture=en-US&ops=clear&version=RET&cur=&e=eyJlbmMiOiJBMTI4R0NNIiwiYWxnIjoiUlNBLU9BRVAifQ.z 3IU8FbEE7VES6bTGgmxt2vpJ604UD5SLGv20cZYoFDZ5-aXaejQBJC0UjCmHlrQh5SRFCnVDRyF_lIb4eage6DJyAOuntiW oyri4c6nevk_HZLIqXgFnjwSv1uAYYivYXhVTU1dRAsOEpx6k9 yhjTUA5BplsB1x5QULvoIPjZc.BLsVWS34Rt6ydRht.e2xsNRR Ii3t7mo1RHnIgmopY9JzQ85b9z5-ykdIR4edQLWLwuugEd2HslaXOqL39SUCKv5SZUdVckF3WRp5JS-d1puwQBeYxcO34CYLZ6-j5HTTPWqFu-jnTWOXP_A2kmlUQpibkF1CWEqrUEmwZVPQgABFBiOKccdhFMpM HYW7vgnYjXRpf2PxPKEJMGNUqTOa5cM3nF3Yq4vqu2WClJFuLH 8A2VXMkK2F81CY.xyZNoNfMnh-rQ7zu9_bHzQ

It was last accounts (Dec 16) but hasn't a lot happened since?

[silverblizzard888]

It was last accounts (Dec 16) but hasn't a lot happened since?

Even though there was a sale of Tenon assets, the assets were sold for expected ranges, if not more, so Morningstars figure will likely have been less than actual amount that RBC is worth.

[ari]

I suspect it's to align with Arbogens. I read it once. Can't remember where... I wonder if there will still be a market update prior to June 30?

Will we get our answer?.......not alot of time left. Will be pissed off if it's not till Sept, but that's par for the course with this lot!

[Sgt Pepper]

Will we get our answer?.......not alot of time left. Will be pissed off if it's not till Sept, but that's par for the course with this lot!

Not a lot of time indeed. They committed, in December to inform we, very patient, shareholders of future direction by June 3oth. This undertaking was made in December. Not impressed.

[silverblizzard888]

Should be interesting to see if they do keep their promise to the market.

[Balance]

Not a lot of time indeed. They committed, in December to inform we, very patient, shareholders of future direction by June 3oth. This undertaking was made in December. Not impressed.

2 more days

[Puriri Pete]

I suspect they may be dusting off Tenon's announcement of a year ago when they too had promised an update by 30 June on their strategic review:



STRATEGIC REVIEW UPDATE



30 June 2016 - By way of market update, Tenon said today that it anticipated



it would be making an announcement in respect of the outcome of its Strategic



Review process either in conjunction with, or prior to, the release of the



Company's 30 June 2016 financial results.





After all when there's a ready made template what more is needed?

Incidentally, still waiting for a market announcement on the appointment of the new director, Mr Knott Jr.

[silverblizzard888]

Rubicon acquires US-based ArborGen Inc

https://www.nzx.com/files/attachments/260809.pdf

-thats a really good deal, practically a steal for RBC on its partners

[Puriri Pete]

Excellent news. Now we can look forward to some clear reporting and progress for RBC. Well done to directors and management for holding out for this deal.

[silverblizzard888]

22 cent wall has been demolished

[beetills]

Mr GORBACHEV...Tear down that wall.
This is just as momentus.(i hope)

[Leftfield]

Mr GORBACHEV...Tear down that wall.
This is just as momentus.(i hope)

Great to see the possibilities unfolding. Congrats to those who are well positioned!!

[t.rexjr]

Wow this is huge. Exactly what I was hoping for but was doubtful it was possible. Is it too early for a beer?

[silverblizzard888]

Wow this is huge. Exactly what I was hoping for but was doubtful it was possible. Is it too early for a beer?

One beer today, ten more to follow after?

[t.rexjr]

Crazy people selling for 23c. Wasn't planning on buying more... hmmm...

[Puriri Pete]

Crazy people selling for 23c. Wasn't planning on buying more... hmmm...

Presumably some fund or funds (ACC, Third Avenue) still wanting out which means there could be a few million more to clear yet before a new SP floor is established. It's a much clearer picture for investors now however so brokers might begin to give it a kick along. Best get in before that happens...

[ari]

Perhaps full impact of news has not filtered thru, but I would have thought more of a lift than 1.5 cents.......

[silverblizzard888]

Perhaps full impact of news has not filtered thru, but I would have thought more of a lift than 1.5 cents.......

Large sellers keep loading on, so until those sellers are gone then it'll take a bit of time to rise up.

[t.rexjr]

So yesterday:
Shares on issue 409,051,378
50% of Clearwood $27.5m ($55m)
31.7% of Arborgen 31.7m (random valuation of 100m)
$25m net cash equity
Total asset value $84.2m (USD)
0.2058 cps asset value (0.28 NZD)

Today:
Shares on issue 487,908,378
50% of Clearwood $27.5m ($55m)
100% of Arborgen 100m (random valuation of 100m)
$8.5m net cash equity ($25m less remaining 16.5m cash due for purchase)
Total asset value $136m (USD)
0.2787 cps asset value (0.38 NZD)

35% gain in asset value per share

This assumes that the remaining $16.5m not funded by share placement is to be bank loan (or even better paid in full from yet to be announced capital from the unreported 15 month period to Oct 17’)

Either way I like this

Asset values used are somewhat meaningless in my example. It’s very much educated guesswork. My interest is more with the % of asset gained per share.
I feel $29m USD purchase price of the remaining 68.3% is exceptional buying

Feel free to rain on my parade and point out flawed logic…

[Xerof]

Net cash movement for 30 June is 1.5m going out (14m for first tranche less 12.5 for share issue) with 15m left to pay in the other 2 tranches.

Not sure whether you have included the share issue cash anywhere? - is it in the 25m figure?

Will they now IPO Arborgen for 300m?

at 23 cents, they appear to be at 50% discount to underlying value on the numbers being bandied about

[Balance]

Perhaps full impact of news has not filtered thru, but I would have thought more of a lift than 1.5 cents.......

Will take the market (cynical as ever) a while to digest the fact that the announcement is a real game changer. I have been extremely critical as well of the way the Board has been communicating with minority shareholders regarding the change in balance date, but I do think that this goes some way to explaining why they changed the balance date without explanation at that time.

Those of us who attended the Tenon's AGM this year and listened in on the lengthy presentation by the Board of what Aborgen is about and where it is headed will be very comfortable with this move. RBC is on its way to realise the potential value of Aborgen.

A figure of US$100m was mentioned as conservative (from memory) so that's 33c per share plus Clearwood.

[t.rexjr]

Net cash movement for 30 June is 1.5m going out (14m for first tranche less 12.5 for share issue) with 15m left to pay in the other 2 tranches.

Not sure whether you have included the share issue cash anywhere? - is it in the 25m figure?

Will they now IPO Arborgen for 300m?

The 12.5m share issue cash is a zero balance as far as equity goes...

[Xerof]

Yep, I see how you've done it now.

still at a 50 % discount with the values bandied about for the 2 assets. As Balance says, conservative...

[silverblizzard888]

Rubicon must be SCISSORS.

There partners are called International PAPER
and WestROCK

So I guess next time you play paper, scissors, rock......choose scissors!
Cause they really know how to cut a deal.

[Leftfield]

This from Rubicon's last report (Dec 2016) re ArborGen

Despite the flat US production performance noted above, the expectation is that total ArborGen’s revenuewill lift by 12.5%+ year-on-year, to over US$40 million, aided by the growth achieved in Brazil and the increasein average sales price to be recorded in the US.
The end result of the above is that ArborGen should remain on track to meet its EBITDA break-even target(including the full expensing of all product research costs) in this current fiscal year. Although it has takena little longer than we would have hoped, this is an important milestone in ArborGen’s life. It has built theleading technology and global commercialisation platform in the industry. It is now producing in excess of340 million seedlings, per annum, globally, and has firmly established a new core commercialisation arena inBrazil. It has also largely passed through the heavy product development spend phase, and past EBITDA losses,which peaked at circa US$18 million per annum, are well behind it.





It will be good to see a market update soon.

[ari]

Brian Gaynor said last year that Rubicon should be liquidated.....even more so now!

[t.rexjr]

Brian Gaynor said last year that Rubicon should be liquidated.....even more so now!

Couldn't disagree more...

[ari]

Couldn't disagree more...

Why retain Rubicon, what purpose will it serve? Just more Directors fees?

[Xerof]

Couldn't disagree more... Young Marc Bolan, in a sense they are liquidating it - only 50% of Clearwood (structured to exit their share as and when opportune), and now 100% of Arborgen to (perhaps) float off for billions, at their whim.

[t.rexjr]

Young Marc Bolan, in a sense they are liquidating it - only 50% of Clearwood (structured to exit their share as and when opportune), and now 100% of Arborgen to (perhaps) float off for billions, at their whim.

We're yet to see the set up but I'm assuming Rubicon board would be the only board. Effectively 100% of Arborgen was floated today. I'm willing to wait for the market to figure out exactly what that means. Personally I feel a few years in this structure can only benefit due to the transitional status Arborgen is currently in. More will come to light come the end of the reporting period but I'm perfectly happy with current structure. I was born to boogie and gonna ride this white swan with the other children of the revolution!

[Xerof]

Yes, presumably IP and Westrock had reps on the Board of A, along with Moriarty and Burton from R, so we should see a reshuffle. Explains why Knott jnr was appointed too I guess.

Time to 'get it on'

[Puriri Pete]

This is a much better outcome than I had been hoping for, even better than I had feared. To have reached an outcome which satisfies not just one but both of the other partners in one swift manoeuver is very sweet indeed. This is something that has been in the offing for a long time and I'm pleased that patience and perseverance have been rewarded.

I hope that control can be retained by Rubicon as an NZ domiciled company with Arborgen managed by local board as at present. Inevitably control will move to the US to satisfy new investors when an IPO is planned. In the meantime I too am content to see this truck along for another few years before going for the big payday.

[beetills]

A couple of more years,say what.
Zimmer frame and spectacles will have become the norm by then.No more hair left to pull out.

[ari]

A couple of more years,say what.
Zimmer frame and spectacles will have become the norm by then.No more hair left to pull out.
Not the best investment I've ever made, 13 years of watch'n n wait'n! Even on todays low interset rates I would have doubled my investment, even chasing it down over the years still leaves me with 44c to break even!

[winner69]

Young Marc Bolan, in a sense they are liquidating it - only 50% of Clearwood (structured to exit their share as and when opportune), and now 100% of Arborgen to (perhaps) float off for billions, at their whim.

Billions sounds good

David Darling always said it was worth billions

[Balance]

That's it - SELL!

[Xerof]

Billions sounds good

David Darling always said it was worth billions

Hmmm, maybe I should have said tens of thousands

[winner69]

Hmmm, maybe I should have said tens of thousands

No no, hundreds of thousands xerof

But seeing David was involved with Arborgen through Fletcher Forests last century we need to add a decent dose of inflation to anything he said

Jeez - last century, commercialisation takes a while eh

But David will be pleased

[Balance]

No no, hundreds of thousands xerof

But seeing David was involved with Arborgen through Fletcher Forests last century we need to add a decent dose of inflation to anything he said

Jeez - last century, commercialisation takes a while eh

But David will be pleased

Wonder if PEB shareholders know what is in store for them!

Maybe another 10 years before they see a return! At least Aborgen had a few deep pocketed shareholders.

[winner69]

Wonder if PEB shareholders know what is in store for them!

Maybe another 10 years before they see a return! At least Aborgen had a few deep pocketed shareholders.

....who have jsut given the company away

[winner69]

So yesterday:
Shares on issue 409,051,378
50% of Clearwood $27.5m ($55m)
31.7% of Arborgen 31.7m (random valuation of 100m)
$25m net cash equity
Total asset value $84.2m (USD)
0.2058 cps asset value (0.28 NZD)

Today:
Shares on issue 487,908,378
50% of Clearwood $27.5m ($55m)
100% of Arborgen 100m (random valuation of 100m)
$8.5m net cash equity ($25m less remaining 16.5m cash due for purchase)
Total asset value $136m (USD)
0.2787 cps asset value (0.38 NZD)

35% gain in asset value per share

This assumes that the remaining $16.5m not funded by share placement is to be bank loan (or even better paid in full from yet to be announced capital from the unreported 15 month period to Oct 17’)

Either way I like this

Asset values used are somewhat meaningless in my example. It’s very much educated guesswork. My interest is more with the % of asset gained per share.
I feel $29m USD purchase price of the remaining 68.3% is exceptional buying

Feel free to rain on my parade and point out flawed logic…



Allowing for Arborgen debt?

[t.rexjr]

Allowing for Arborgen debt?

Any idea what that is? It's never reported.

So short answer no...

[Puriri Pete]

Any idea what that is? It's never reported.

So short answer no...

2016 report:

New Debt facilities put in place
• A new 20-year term loan facility of $13 million, was established with AgSouth
• The existing NBSC bank relationship has been extended out to August 2017, with a $15 million working
capital line
• Funding lines of $28 million are now available to ArborGen in North America
• Australasian operations are funded by a NZ$4.5 million facility, expiring in 2018

[t.rexjr]

2016 report:

New Debt facilities put in place
• A new 20-year term loan facility of $13 million, was established with AgSouth
• The existing NBSC bank relationship has been extended out to August 2017, with a $15 million working
capital line
• Funding lines of $28 million are now available to ArborGen in North America
• Australasian operations are funded by a NZ$4.5 million facility, expiring in 2018

So 34.5m fascilies but do we have actual debt?
Potentially covered by a conservative Arborgen valuation.

Looking forward to knowing more...

[Topagent]

Hi everyone,

first time poster but I've been lurking for a few weeks. Have made one purchase back in February of Atm and now have another small injection of available funds and have found this share interesting. I've read the thread from the first page but have no real understanding as have just started this journey. This money is completely expendable and I'm not risk adverse and I know you have to dyor but would any of you or have you had another dabble at the current sp.

thanks in advance

[Puriri Pete]

So 34.5m fascilies but do we have actual debt?
Potentially covered by a conservative Arborgen valuation.

Looking forward to knowing more...

Elsewhere in the same report there is text which states

" During the year, AgSouth was brought in as a
new relationship bank, with a 20-year $13 million term loan."

So that seems clear long term debt. Their other facilities will be being utilised according seasonal needs.

[winner69]

So 34.5m fascilies but do we have actual debt?
Potentially covered by a conservative Arborgen valuation.

Looking forward to knowing more...

Extract - The Company said that there are warrants and options outstanding representing approximately 10% of ArborGen’s share capital. “Grossing-up the purchase price for those, and for ArborGen’s normalized debt position, implies an enterprise value of circa US$100 million,” he said.

So $29m for the 70% odd not owned and EV of $100m sort of implies debt of about $50m (taking into account warrants etc)

That's how I see it

[silverblizzard888]

Extract - The Company said that there are warrants and options outstanding representing approximately 10% of ArborGen’s share capital. “Grossing-up the purchase price for those, and for ArborGen’s normalized debt position, implies an enterprise value of circa US$100 million,” he said.

So $29m for the 70% odd not owned and EV of $100m sort of implies debt of about $50m (taking into account warrants etc)

That's how I see it

Yeah Enterprise value is calculated as the "market capitalization plus debt, minority interest and preferred shares, minus total cash and cash equivalents."

Anyone see the weird 7 transactions of 721 shares at 3pm? Must be morse code.

[JBmurc]

Decided to join you guys @ 23c .... be great to see the Buying pressure push towards my swing trade sell

T/A looks positive through 30-60 MA

[Valuegrowth]

I was following Rubicon in the past and didn’t follow much lately. Do they have a strong case for a turnaround situation? Thanks.

[JBmurc]

I was following Rubicon in the past and didn’t follow much lately. Do they have a strong case for a turnaround situation? Thanks.

I think so ...as I'm planning on a ST trade T/A is much more important (will need the funds for other purchase next month)

As others have stated the latest news is very positive ...being able to raise a good chunk of cash close to SP is always a bullish sign IMHO ....

As we can see from the "depth chart" the Bids far outway what's left on market to buy >>>

8953


Personal think this will move to the upper band of the 1yr trading range 20c-26c (and have fixed my sell order to suit)

[Valuegrowth]

Picking attractive individual stocks separated from the broader market can give good returns specially market likes today.

I think so ...as I'm planning on a ST trade T/A is much more important (will need the funds for other purchase next month)

As others have stated the latest news is very positive ...being able to raise a good chunk of cash close to SP is always a bullish sign IMHO ....

As we can see from the "depth chart" the Bids far outway what's left on market to buy >>>

8953


Personal think this will move to the upper band of the 1yr trading range 20c-26c (and have fixed my sell order to suit)

[Topagent]

Anyone have thoughts on the allocation of new shares today?

[Balance]

Anyone have thoughts on the allocation of new shares today?

https://www.nzx.com/companies/RBC/announcements/303321

[Puriri Pete]

https://www.nzx.com/companies/RBC/announcements/303321

The larger of these two investments came from Libra Fund LP, now holding 17.64% of RBC, which is owned by Mr Ranjan Tandon. He recently donated $US100m to New York University and is worth a google search.

Presumably he's not supporting Rubicon for philanthropic reasons and can see value in Arborgen's business.

https://nzx.com/companies/RBC/announcements/303524

[Balance]

The larger of these two investments came from Libra Fund LP, now holding 17.64% of RBC, which is owned by Mr Ranjan Tandon. He recently donated $US100m to New York University and is worth a google search.

Presumably he's not supporting Rubicon for philanthropic reasons and can see value in Arborgen's business.

https://nzx.com/companies/RBC/announcements/303524

US$1.5 billion AUM so plenty of fire-power to buy more to take to 20%.

A hedge fund so with an investment like RBC, will be looking for several baggers at least from RBC.

[beetills]

Has any members got access to the NBR paid content.
Headline in there todays says
COMPLEX ACCOUNTING IN BIG VALUE GAP FOR RUBICON.
Rest of Arborgen acquired for US$167 mill below carring value.

[Puriri Pete]

Has any members got access to the NBR paid content.
Headline in there todays says
COMPLEX ACCOUNTING IN BIG VALUE GAP FOR RUBICON.
Rest of Arborgen acquired for US$167 mill below carring value.


In summary, Rubicon's 31.7% stake in Arborgen is in their books at USD91m yet they picked up the other 68.3% from the partners for only USD29m. This implies a disparity, however Rubicon says because they had pre-emptive purchase rights the transaction was not completed at open market value. Consequently RBC's accountants and auditors will now need to spend several months working on what new valuation should now be given to the business. Significantly Rubicon does not anticipate a material change in its accounting equity to occur.

[biker]

In summary, Rubicon's 31.7% stake in Arborgen is in their books at USD91m yet they picked up the other 68.3% from the partners for only USD29m. This implies a disparity, however Rubicon says because they had pre-emptive purchase rights the transaction was not completed at open market value. Consequently RBC's accountants and auditors will now need to spend several months working on what new valuation should now be given to the business. Significantly Rubicon does not anticipate a material change in its accounting equity to occur.

A positive confirmation that looking ahead past RBC balance date in September and Arbogen in March the RBC share price at around 23c is grossly undervalued.
The realisation of value in RBC has taken an awfully long time but it is now picking up momentum in the right direction. A way to go yet and more patience required but a clearer way forward is now more evident than ever.
The market doesn't want to know about it as yet but it eventually will.
At 23c the reward/risk ratio is a rapidly growing number.
All IMHO of course.

[JBmurc]

Buyers want on board but don't want to stump up another half a cent !!!! ..new valuation should be much higher than what the slow NZX seems to want to kick into gear.... No divi - No interest it seems ....Is NZ investors so yield focused ?

We kiwis certainly love nothing more than to leverage to the hilt into overvalued Negative geared property investments


8969

[t.rexjr]

Buyers want on board but don't want to stump up another half a cent !!!! ..new valuation should be much higher than what the slow NZX seems to want to kick into gear.... No divi - No interest it seems ....Is NZ investors so yield focused ?

We kiwis certainly love nothing more than to leverage to the hilt into overvalued Negative geared property investments

8969

Years of depleting sentiment + the likes of Third Ave dumping shares. Patience in the last year or so has seen the share price come to the buyer…

[mikeybycrikey]

Buyers want on board but don't want to stump up another half a cent !!!! ..new valuation should be much higher than what the slow NZX seems to want to kick into gear.... No divi - No interest it seems ....Is NZ investors so yield focused ?

I'd like to be excited by the purchase of Arborgen but given the lack of new information it's hard for me to see how RBC is actually undervalued.

Has anyone out there actually ever seen financial reports for Arborgen? All I've ever seen is the executive highlights in the annual report. And reporting date has been shifted out to September so that's 3 months longer to wait.

And we're supposed to believe that Arborgen (and hence Rubicon) is worth loads more than RBC just paid for Arborgen? This doesn't make sense to me. Am I missing something?

[silverblizzard888]

I'd like to be excited by the purchase of Arborgen but given the lack of new information it's hard for me to see how RBC is actually undervalued.

Has anyone out there actually ever seen financial reports for Arborgen? All I've ever seen is the executive highlights in the annual report. And reporting date has been shifted out to September so that's 3 months longer to wait.

And we're supposed to believe that Arborgen (and hence Rubicon) is worth loads more than RBC just paid for Arborgen? This doesn't make sense to me. Am I missing something?

Well if you want to debate valuation heres 180 page case about it from the court proceedings at the end of 2015, all info from insiders of the company in a court of law.

http://globaljusticeecology.org/wp-content/uploads/ArborGen_workers-compensation-suit_decision1.pdf

There was this quotation
"Under Defendant Burton's analysis, an ArborGen valuation in 2010 of $420 million"
Valuation expert: "Mr. Pomerantz's opinion was that the worth or equity value of ArborGen as of June 1,2010, was $650,000,000"

"Rubicon's presentation to its shareholders in December 2013 represents the value of ArborGen to be $660 million."

[Balance]

Well if you want to debate valuation heres 180 page case about it from the court proceedings at the end of 2015, all info from insiders of the company in a court of law.

http://globaljusticeecology.org/wp-content/uploads/ArborGen_workers-compensation-suit_decision1.pdf

There was this quotation
"Under Defendant Burton's analysis, an ArborGen valuation in 2010 of $420 million"

"Rubicon's presentation to its shareholders in December 2013 represents the value of ArborGen to be $660 million."

Shhhhh sb888!

Have been happily accumulating at 22c to 23c for this potential 10 bagger!

[silverblizzard888]

Shhhhh sb888!

Have been happily accumulating at 22c to 23c for this potential 10 bagger!

Haha thats no problem, its like sticking gum under the table, few people checking under the table for now even though its pretty evident its there. Still massive wall of shares for sale and no sign of it letting down.

[t.rexjr]

Shhhhh sb888!

Have been happily accumulating at 22c to 23c for this potential 10 bagger!

Aw come on Balance, thats not going to help my cause. For a brief second there I was in the green. Pesky red arrow back again...

[Balance]

Aw come on Balance, thats not going to help my cause. For a brief second there I was in the green. Pesky red arrow back again...

I recall investing in Tenon at between $1.08 and $1.24, and same pesky sellers kept providing stock - sometimes right after I bought, they sent the stock down 5c!

So here's hoping same scenario is playing out.

[beetills]

Shhhhh sb888!

Have been happily accumulating at 22c to 23c for this potential 10 bagger!
I might be a bit thick however i gotta ask,whats a 10 bagger.
Two years in the fifth form can do that.

[JBmurc]

I might be a bit thick however i gotta ask,whats a 10 bagger.
Two years in the fifth form can do that.

1000% return on capital invested

[t.rexjr]

So different to a double bagger then...:laugh:

[t.rexjr]

https://www.nzx.com/markets/NZSX/securities/RBC

Third Ave claiming they're not selling

"Details of the transactions or other events requiring disclosure: The
change in percentage held was not caused by transactions initiated by TAM but rather
the change in issued share capital of the Company on July 7, 2017."

“For this disclosure,--
(a) total number held in class: 44,091,741
For last disclosure,--
(a) total number held in class: 45,641,558”

Disregard the 1.5m sell down accounting for 20% of the supply for that period.

[gmatt]

Are they still selling?

[Xerof]

https://www.nzx.com/markets/NZSX/securities/RBC

Third Ave claiming they're not selling

"Details of the transactions or other events requiring disclosure: The
change in percentage held was not caused by transactions initiated by TAM but rather
the change in issued share capital of the Company on July 7, 2017."

“For this disclosure,--
(a) total number held in class: 44,091,741
For last disclosure,--
(a) total number held in class: 45,641,558”

Disregard the 1.5m sell down accounting for 20% of the supply for that period.

I know what you are saying, but if RBC hadn't issued those shares, they would not have had to disclose their selling, i.e less than 1% movement would not yet require disclose

[beetills]

NBR headline this morning
RUBICON BIG SHAREHOLDERS JUMP THE QUEUE
Anyone know what this is about.

[biker]

NBR headline this morning
RUBICON BIG SHAREHOLDERS JUMP THE QUEUE
Anyone know what this is about.

Just Tim Hunter belatedly musing on the current situation and placement. Nothing we didn't already know or, if you follow or are invested in the company hadn't already considered.

[Balance]

Just Tim Hunter belatedly musing on the current situation and placement. Nothing we didn't already know or, if you follow or are invested in the company hadn't already considered.

I actually think this is a fair deal for all.

RBC can hardly go to shareholders with a rights issue without inviting severe criticism, and what better way for the big shareholders to show confidence and support than by pumping in the US$12.5m.

As to the placement price of 21.78c, hardly a huge discount to what is readily available to the market at 22.5c to 23c.

Meanwhile, Third Avenue continues to supply plenty of stock at 23c (1c above previous selling levels by them) so still plenty of opportunity for those who believe this can be a 10 bagger.

BTW, great to have Tim Hunter of NBR keep the spotlight on the directors and management - their track record of disclosures leaves a lot to be desired.

[biker]

I actually think this is a fair deal for all.

RBC can hardly go to shareholders with a rights issue without inviting severe criticism, and what better way for the big shareholders to show confidence and support than by pumping in the US$12.5m.

As to the placement price of 21.78c, hardly a huge discount to what is readily available to the market at 22.5c to 23c.

Meanwhile, Third Avenue continues to supply plenty of stock at 23c (1c above previous selling levels by them) so still plenty of opportunity for those who believe this can be a 10 bagger.

BTW, great to have Tim Hunter of NBR keep the spotlight on the directors and management - their track record of disclosures leaves a lot to be desired.

I agree and a rights issue would have been a disaster.
Libra did after all pay around 40c for their earlier shareholding. I think board and management have been judicious in the way they have raised capital over the last few years and I think their communication, especially around Arborgen has been constrained by the previous shareholder structure.
i'm hoping the Rubicon end of year results will give an indication of just how good this latest deal has been.

[Balance]

I agree and a rights issue would have been a disaster.
Libra did after all pay around 40c for their earlier shareholding. I think board and management have been judicious in the way they have raised capital over the last few years and I think their communication, especially around Arborgen has been constrained by the previous shareholder structure.
i'm hoping the Arborgen end of year results will give an indication of just how good this latest deal has been.

Interesting to note that Aborgen generated revenues of $11.1m in 2010 and loss of $14.2m (as disclosed in the IPO docs at that time) but latest RBC review expect revenues to increase to more than $40m, and for EBITDA to be breakeven.

Here's hoping that operating leverage will kick in and Aborgen starts making profits from 2018 - it has been a long long road for Fletcher shareholders.

[t.rexjr]

Interesting to note that Aborgen generated revenues of $11.1m in 2010 and loss of $14.2m (as disclosed in the IPO docs at that time) but latest RBC review expect revenues to increase to more than $40m, and for EBITDA to be breakeven.

Here's hoping that operating leverage will kick in and Aborgen starts making profits from 2018 - it has been a long long road for Fletcher shareholders.

Hindered by the 53m employment settlement and the storms that devastated 15' US crop and continued to effect the 16' germination...
There was talk of a land sell down and an end of the heavy development spending.
We should be at the start of a new future. The numbers off seedlings being sold and yet still we're only talking EBITDA break even has me pondering if the value of the product is the biggest hurdle

[beetills]

Hindered by the 53m employment settlement and the storms that devastated 15' US crop and continued to effect the 16' germination...
There was talk of a land sell down and an end of the heavy development spending.
We should be at the start of a new future. The numbers off seedlings being sold and yet still we're only talking EBITDA break even has me pondering if the value of the product is the biggest hurdle
From memory that 53m settlement was vacated in its entirety by the courts.

[Balance]

From memory that 53m settlement was vacated in its entirety by the courts.

t.rexjr referring to one of the reasons why the IPO was pulled?

Could very well prove to be a good thing - if the pulled IPO resulted in the other two shareholders losing interest, and have now sold to RBC under original shareholders' agreement.

[emveha]

Public opposition to ArborGen's GE eucalyptus: http://www.scoop.co.nz/stories/WO1707/S00062/usa-public-slam-nz-biotech-companys-ge-trees.htm

[t.rexjr]

Public opposition to ArborGen's GE eucalyptus: http://www.scoop.co.nz/stories/WO1707/S00062/usa-public-slam-nz-biotech-companys-ge-trees.htm

That explains a lot...

[t.rexjr]

Anti GE sentiment is spanner loose stuff though. I'm all for controlling deregulation and in this case it may or may not have merit. But what would you prefer. The human appetite is growing. Do we encourage farming that minimises impact or squash those attempts at improving sustainability and continue farming in a manor that has high impact. People fear GE simply because they don't understand it. It's easy to insight fear when attacking people's emotions. I see the rain forest club we're a major source of signatures. Happy to pull down more rainforest than come up with alternatives I guess.

(disclaimer: hippy at heart, just not dumb about it)

[silverblizzard888]

Why does it matter where the tree originates when the purpose is to chop it down anyway? There is meat made in a lab these days too, its all for practicality and needed if humanity are going to be able to cope with demand of more resources in the future.

[emveha]

What are the risks that the USDA doesn't approve ArborGen's deregulation demand?

[winner69]

Anti GE sentiment is spanner loose stuff though. I'm all for controlling deregulation and in this case it may or may not have merit. But what would you prefer. The human appetite is growing. Do we encourage farming that minimises impact or squash those attempts at improving sustainability and continue farming in a manor that has high impact. People fear GE simply because they don't understand it. It's easy to insight fear when attacking people's emotions. I see the rain forest club we're a major source of signatures. Happy to pull down more rainforest than come up with alternatives I guess.

(disclaimer: hippy at heart, just not dumb about it)

Honest disclosure

hippy at heart, just not dumb about it .....especially if there is a buck in for me

[Xerof]

What are the risks that the USDA doesn't approve ArborGen's deregulation demand?Wake the board members up by asking them directly for a response

[t.rexjr]

From the web site

'Other than certain eucalyptus products in Brazil, which will use transgenic techniques, none of its products on the market or under development require any regulatory review or approval.'

But yes, time to wake them up

[ari]

Anti GE sentiment is spanner loose stuff though. I'm all for controlling deregulation and in this case it may or may not have merit. But what would you prefer. The human appetite is growing. Do we encourage farming that minimises impact or squash those attempts at improving sustainability and continue farming in a manor that has high impact. People fear GE simply because they don't understand it. It's easy to insight fear when attacking people's emotions. I see the rain forest club we're a major source of signatures. Happy to pull down more rainforest than come up with alternatives I guess.

(disclaimer: hippy at heart, just not dumb about it)

Arborgen's partner Scion attacked a few years ago by the uneducated few.....http://www.stuff.co.nz/national/6735584/Hundreds-of-GM-trees-destroyed

[ari]

https://www.nzx.com/files/attachments/263512.pdf talk about improved forest yields....just now require improved yield for shareholders...

[biker]

https://www.nzx.com/files/attachments/263512.pdf talk about improved forest yields....just now require improved yield for shareholders...

And get TAM out of the sell queue.

[Puriri Pete]

The most significant aspect of the presentation is that the company is bothering to release it to the market for wider consumption, which not something they do routinely. Time will tell whether this indicates a switch to a pro-active investor relations approach or is simpler a one-off aberration.

[ari]

The most significant aspect of the presentation is that the company is bothering to release it to the market for wider consumption, which not something they do routinely. Time will tell whether this indicates a switch to a pro-active investor relations approach or is simpler a one-off aberration.

Or perhaps lining up market for much anticipated IPO

[t.rexjr]

Or perhaps lining up market for much anticipated IPO

This is strange logic? :confused:
Maybe I'm daft but isn't the company already listed on the NZX under Rubicon?

[beetills]

My thoughts also.

[winner69]

This is strange logic? :confused:
Maybe I'm daft but isn't the company already listed on the NZX under Rubicon?

Maybe referring to Arborgen

[silverblizzard888]

The most significant aspect of the presentation is that the company is bothering to release it to the market for wider consumption, which not something they do routinely. Time will tell whether this indicates a switch to a pro-active investor relations approach or is simpler a one-off aberration.

Well the company is now 100% owned so it makes more sense now to make these announcements to investors, also they would benefit from more awareness of investors regarding what they do, its one way to attract a new crowd.

There would be no point on a Arborgen IPO unless it was planned for the US as currently under Rubicon it is in more sense considered a public company already and all material disclosures would need to be made public. Heck its a question of why not just rename Rubicon and call it Arborgen, only part that wouldn't made sense is that they own 50% of the another company.

[ari]

This is strange logic? :confused:
Maybe I'm daft but isn't the company already listed on the NZX under Rubicon? As I had made mention of posted news, should have been obvious I was referring to Arborgen. I always thought that listing Arborgen in USA would be the best way to realise true value. Just 1 owner now instead of 3 at time of failed IPO. Hugh Fletcher said ...
it is not a question of whether ArborGen can be IPO'd - unquestionably it can be. Rather it is a matter of choosing the mix of equity market conditions and business progress to execute an IPO of the company - to set an appropriate initial value of the company

[biker]

Or perhaps lining up market for much anticipated IPO

Quite possibly the start of the process.
When the market gets to see Arbogen is strongly cash flow positive and on a strong EBITDA growth path it will take notice.
Meanwhile with TAM still offloading, the share price may well continue to languish for some time yet.
I'm happy to hold and if I wasn't already overloaded would be buying.
I'm hoping an Insto or wealthy individual will see the potential value and take TAM out.
This alone would strengthen the share price.

[t.rexjr]

As I had made mention of posted news, should have been obvious I was referring to Arborgen. I always thought that listing Arborgen in USA would be the best way to realise true value. Just 1 owner now instead of 3 at time of failed IPO. Hugh Fletcher said ...
it is not a question of whether ArborGen can be IPO'd - unquestionably it can be. Rather it is a matter of choosing the mix of equity market conditions and business progress to execute an IPO of the company - to set an appropriate initial value of the company

Yeap I realized you were refering to Arborgen. Just fail to see what benefit this would have. Certainly in the near future anyway...

[biker]

Yeap I realized you were refering to Arborgen. Just fail to see what benefit this would have. Certainly in the near future anyway...

Arborgen has an IPO, then Rubicon shareholders own the majority of a US listed company and can do what they wish with the shares. Clearwood is sold and the proceeds returned to shareholders and Rubicon is no more.
If The Arbogen IPO is timed right and priced right and seen as an attractive growth stock to investors, the returns to RBC shareholders could be substantial.
Not your typical nzx listed company scenario but then sometimes good returns are to be made from situations where the market doesn't get it (until it's blatantly obvious) coupled with truckloads of patience.
I think the actual value is already there.
All IMHO.
As an aside, I see RBC in a similar share price situation to BRL, where the value exists, but the market hasn't fully realised it yet.

[Sgt Pepper]

Arborgen has an IPO, then Rubicon shareholders own the majority of a US listed company and can do what they wish with the shares. Clearwood is sold and the proceeds returned to shareholders and Rubicon is no more.
If The Arbogen IPO is timed right and priced right and seen as an attractive growth stock to investors, the returns to RBC shareholders could be substantial.
Not your typical nzx listed company scenario but then sometimes good returns are to be made from situations where the market doesn't get it (until it's blatantly obvious) coupled with truckloads of patience.
I think the actual value is already there.
All IMHO.
As an aside, I see RBC in a similar share price situation to BRL, where the value exists, but the market hasn't fully realised it yet.

If I recall from an announcement earlier this year that Arborgen and Rubicon will both report at the end of September. An early Christmas present for patient RBC shareholders?... fingers crossed

[t.rexjr]

If I recall from an announcement earlier this year that Arborgen and Rubicon will both report at the end of September. An early Christmas present for patient RBC shareholders?... fingers crossed

Balance date is 30 September so maybe a report November-December.

But surely, surely, surely there'd be some sort of guidance before that... Who knows, they can't even update their website.

[ari]

I think because of this statement from earlier Interim report prior to balance date change from 30/6....... "We would expect this clarity will emerge prior to 30 June this year." a lot of people assumed that we would hear some news end of Sept...may well do, who knows.....

[Puriri Pete]

I think because of this statement from earlier Interim report prior to balance date change from 30/6....... "We would expect this clarity will emerge prior to 30 June this year." a lot of people assumed that we would hear some news end of Sept...may well do, who knows.....

As I interpret things they appear to have largely ticked off the two matters for which "clarity will emerger prior to 30 June" was promised - namely the Tenon Clearwood transaction and the disposal of their partners in Arborgen. Admittedly the "value path" is still obscured but possibly the financial results for the 15 months to Sep 2017 will shine a light on that.

It will be disappointing (and a concern) if a market update is not provided by the end of this month.

[beetills]

Any body concerned with the current share price or am i too emotionally invested.

[t.rexjr]

Any body concerned with the current share price or am i too emotionally invested.

I'm not overly concerned. Price is beaten to hell. More concerned about the path of Irma. Though they expected EBITDA profit a couple of years ago with the area being hit then too.

Many un-answered questions. Might actually get my butt out of the office for the next shareholders meeting...

[ari]

Any body concerned with the current share price or am i too emotionally invested.
Been there before, but still does not make an easy look especially when I thought I had bagged the new low at 21.5 recently

[ari]

12/09/2017 08:30
GENERAL
NOT PRICE SENSITIVE
REL: 0830 HRS Rubicon Limited

GENERAL: RBC: Rubicon announces new Board appointment

September 12, 2017 - Rubicon announced today, that Mr Ranjan Tandon had been
appointed to its Board of Directors.

Mr Tandon is Founder and Managing Member of Libra Advisors LLC (Libra), a NY
hedge fund that holds a 17.6% interest in Rubicon. Libra had assets of US$2.5
billion and invested in domestic and emerging market equities prior to
conversion to a family office in 2012. Barron's had consistently ranked
Libra in the top 100 Hedge funds.

Mr Tandon is also a Board Member of the NYU Tandon Engineering School (5,500
students), the Carl Schurz Park Conservancy and has endowed Faculty Chairs at
the Harvard Business School and Yale University. He is also a Director of a
listed Stockholm Company, Vostok Emerging Finance, which invests in early and
growth stage fintech companies across emerging markets.

Mr Tandon graduated from the Harvard Business School and received a
Bachelor's degree from the Indian Institute of Technology, Kanpur, India.

Given Libra is a substantial security holder in Rubicon, Mr Tandon is not an
independent director under the NZX Listing Rules.

Lets hope some of this wealth can rub off onto long suffering RBC holders....https://www.insidephilanthropy.com/wall-street-donors/ranjan-tandon.html

[t.rexjr]

Back to all time lows...

It's actually quite laughable how sh*te the company has been at creating any hype whatsoever.

[beetills]

What percentage of shares is held by major shareholders?IMO thats where the trouble with the share price lies.
Stand to be corrected.

[t.rexjr]

What percentage of shares is held by major shareholders?IMO thats where the trouble with the share price lies.
Stand to be corrected.

Yes too many major shareholders for sure. Third Avenue Management have been selling down for a while which has been the big sting...

[t.rexjr]

What percentage of shares is held by major shareholders?IMO thats where the trouble with the share price lies.
Stand to be corrected.


Rubicons website says Knotts is 28.28%

sourced from FT

67.47%

Per cent of shares held by top holders




Holder
Shares
% Held


David M. Knott PartnershipAS OF 30 JUN 2016
113.04m
23.17%


Libra Advisors LLCAS OF 04 JUL 2017
86.11m
17.65%


Third Avenue Management LLCAS OF 11 JUL 2017
44.09m
9.04%


Perry Corp. (New York)AS OF 30 JUN 2016
39.34m
8.06%


Sandell Asset Management Corp.AS OF 11 SEP 2017
35.99m
7.38%


Norges Bank Investment ManagementAS OF 31 DEC 2016
5.98m
1.23%


Dimensional Fund Advisors LPAS OF 30 JUN 2017
4.45m
0.91%


Cougar Trading LLCAS OF 31 DEC 2016
150.00k
0.03%


Teton Advisors, Inc. (Investment Management)AS OF 31 DEC 2016
66.67k
0.01%

[ari]

Down 18% in 1 mth, pretty sure that 18c is a new low, havn't they done well?

[t.rexjr]

Down 18% in 1 mth, pretty sure that 18c is a new low, havn't they done well?

Not a single green arrow to be seen...

[t.rexjr]

Even our philanthropist mate Tandon is down a cool 2.1mil from his last placement.

Knott, well he must be used to it by now...

[beetills]

Would it be in RBC interest to delist from the NZX and list on another market under Arbor Gen once both companies future is sorted out.I was thinking the US market.

[t.rexjr]

Would it be in RBC interest to delist from the NZX and list on another market under Arbor Gen once both companies future is sorted out.I was thinking the US market.

There would have to be a serious re-rate on the NZX before any chance of a successful float elswhere I would have thought. Even more so now that Arborgen is 100% owned by Rubicon.

The buyback and the dividend payment we saw with Tenons' SP gain may not be possible or viable with Rubicon currently.Holding by major shareholders is already overweight. Any on market buyback would effectively increase that percenatge.

Buying out TAM with only $10m current share value may be an option. Place the shares in escrow to be used for a future PDP or even offer them to existing minor shareholders as an SPP (not sure if those options are actually plausable, just ponderering out loud). There is little chance of building confidence in share price growth with TAM in the mix, even if they have put a halt on selling. Maybe even TAM placing their shares in voluntary escrow if they intend is to remain holders?

First and foremost we need some sort of guidence on how this company is positioned and what the future holds. It's pure guesswork currently. Little surprise there is no interest. I have faith but unsure what I have faith in. Certainly not my 60k red arrow!

[ari]

First and foremost we need some sort of guidence on how this company is positioned and what the future holds. It's pure guesswork currently. Little surprise there is no interest. I have faith but unsure what I have faith in. Certainly not my 60k red arrow!
My patience is running out, can't see my $51k red arrow turning anytime soon either!

[beetills]

Iget the impression that the concerns of shareholders is not what concerns them.

[ari]

Iget the impression that the concerns of shareholders is not what concerns them.

I came to that conclusion along time ago, and try to convince myself that we can tag on behind the wealthy large share holders......but then perhaps they hold for totally difference reasons...?

[t.rexjr]

Only 34,502,835 SAM and 44,091,741 TAM shares to go...

[Balance]

Only 34,502,835 SAM and 44,091,741 TAM shares to go...

Suits the other big players to have the sp under pressure.

Somewhere along the line in the future, one suspects they will take this shareholder out at a bargain basement price.

[t.rexjr]

Suits the other big players to have the sp under pressure.

Somewhere along the line in the future, one suspects they will take this shareholder out at a bargain basement price.

It'd explain the lack of updates. I'm not too concerned with the shareprice currently, though I would like to have some clear number to crunch.

[beetills]

Anyone see any benefits for RBC after Winstons latest bottom line regarding forestry.

[biker]

Suits the other big players to have the sp under pressure.

Somewhere along the line in the future, one suspects they will take this shareholder out at a bargain basement price.

Makes sense. The market may in the very short term see action like that as very unfavourable ( depending on price) but it would indicate another positive move in the long game.
Apart from this scenario, I think the current shareprice is pretty meaningless.

[biker]

Anyone see any benefits for RBC after Winstons latest bottom line regarding forestry.

None, unless it generates increased discussion around forestry generally and Arborgen becomes part of that discussion and it creates greater awareness of the company and hence RBC's potential.
Unlikely IMO

[Elles]

Does anyone have an idea on when we can expect the annual results? The balance date was changed to 30 September, so presumably the results will be announced shortly?

[Xerof]

Does anyone have an idea on when we can expect the annual results? The balance date was changed to 30 September, so presumably the results will be announced shortly?

They have 3 months to publish accounts, and they will probably take all of that (but may issue a preliminary within 60 days - don't count on it)

today is ~ day 50

[t.rexjr]

None, unless it generates increased discussion around forestry generally and Arborgen becomes part of that discussion and it creates greater awareness of the company and hence RBC's potential.
Unlikely IMO

from an email enquiry...

"Rubicon will be making its annual results announcement late next month (November) and its Annual and Statutory Report will be sent to shareholders before the end of December."

[ari]

from an email enquiry...

"Rubicon will be making its annual results announcement late next month (November) and its Annual and Statutory Report will be sent to shareholders before the end of December."

Hope they have more to report than just 'annual results'.......not sure whether I'll be waiting another 13 years!

[ari]

NZF...• Forestry: Re-establish the New Zealand Forestry Service, and planting 100 million trees per year in a Billion Trees Planting Programme.

Can't be too bad with Arborgen in mind.

[biker]

NZF...• Forestry: Re-establish the New Zealand Forestry Service, and planting 100 million trees per year in a Billion Trees Planting Programme.

Can't be too bad with Arborgen in mind.

Have to agree ari.
Arborgen selling radiata seedlings ( the cheapest) at $65 per hundred. Other species for quite a bit more.
If they can spool up the production NZ could provide good regular cash flow.
A good share of a billion seedlings could be very profitable and should add impetus to a value event.
This could be a stock that receives a significant benefit from a change of Government.


ArborGen Australasia is the leading producer of improved genetics tree stocks for the forestry sector in New Zealand and is a market leader in south-eastern Australia. We produce and sell the most widely grown tree species in forestry, such as Radiata Pine, Douglas-fir and Eucalyptus, and a range of other species for shelterbelts and hedging, riparian planting and re-vegetation

[winner69]

Have to agree ari.
Arbogen selling radiate seedlings ( the cheapest) at $65 per hundred. Other species for quite a bit more.
If they can spool up the production NZ could provide good regular cash flow.
A good share of a billion seedlings could be very profitable and should add impetus to a value event.
This could be a stock that receives a significant benefit from a change of Government.


ArborGen Australasia is the leading producer of improved genetics tree stocks for the forestry sector in New Zealand and is a market leader in south-eastern Australia. We produce and sell the most widely grown tree species in forestry, such as Radiata Pine, Douglas-fir and Eucalyptus, and a range of other species for shelterbelts and hedging, riparian planting and re-vegetation

jeez ... even half of those 100 mill at $65/100 is over $32m a year

[biker]

jeez ... even half of those 100 mill at $65/100 is over $32m a year

For up to 10 years.............

Imagine if other countries ( eg. US or Brazil adopted a similar policy :-) ( maybe not in the US under Trump but he wont be around forever)

Trees - the answer to climate change. Who would have thought.

[t.rexjr]

jeez ... even half of those 100 mill at $65/100 is over $32m a year

$290/1000 so price drops considerably. Not sure if they offer the same product here as overseas but the varietals look to be far more profitable and better trees than the std seadlings. Controlled pollination product is $475/1000 if thats the same thing.

If you can be bothered figuring out how to navigate the .com site there's a series of really interesting videos outlining what they're all about.

[ari]

I found this vid interesting.......http://www.nzherald.co.nz/national-video/news/video.cfm?c_id=1503075&gal_cid=1503075&gallery_id=183875

[Leftfield]

I found this vid interesting.......http://www.nzherald.co.nz/national-video/news/video.cfm?c_id=1503075&gal_cid=1503075&gallery_id=183875

Thanks for posting. Can't help thinking RBC and Arbogen 'well positioned' for the NZ Govt's tree planting plans.
Waiting patiently for more info' on RBC's results and plans.

[beetills]

Karaplis and Hasler to leave board.
It is stated in the annual report that''George has over 35 years experience building and growing shareholder value value'''.
Could be that RBC was just a step to far even for him.
Fresh board members needed to take RBC to the next step.

[t.rexjr]

Karaplis and Hasler to leave board.
It is stated in the annual report that''George has over 35 years experience building and growing shareholder value value'''.
Could be that RBC was just a step to far even for him.
Fresh board members needed to take RBC to the next step.

The decrease in salary probably a reflection of SP 15 years down the track. Hoping it's not an ominous sign of impending disappointment.

[dubya]

Annual results and report.

https://www.nzx.com/announcements/310916

[ari]

Annual results and report.

https://www.nzx.com/announcements/310916

Not exactly what I was looking for......same old.....looks like bottom drawer and forget!

[GTM 3442]

Not exactly what I was looking for......same old.....looks like bottom drawer and forget!

I gave up on these earlier in the year. If anything ever happens I'll try and catch them on the way up.

[beetills]

Reviews and we will let you know later seem to be all they can say.
It's deja vu all over again.

[Elles]

The numbers seemed to be improving if you exclude the discontinued operations? The commentary also seemed positive and suggestive of change, but keen to hear what longer term holders or followers think.

[Balance]

The numbers seemed to be improving if you exclude the discontinued operations? The commentary also seemed positive and suggestive of change, but keen to hear what longer term holders or followers think.

My first reaction when RBC reported after market close on a Friday was negative - usually bad news.

A good read of the results and report however has changed my mind.

I can only suggest that others do the same.

I do believe that the company intended the annual results and report to be properly reported and digested - hence the release after market close.

Happy reading folks!

[t.rexjr]

My first reaction when RBC reported after market close on a Friday was negative - usually bad news.

A good read of the results and report however has changed my mind.

I can only suggest that others do the same.

I do believe that the company intended the annual results and report to be properly reported and digested - hence the release after market close.

Happy reading folks!

Agreed. Initial flick through I was looking for a bang which wasn’t there. A bit understated I would say. Doing what they said they’d do.

[Leftfield]

Like Balance I was concerned with the late Fri release of the latest results, and had hoped for better.

Pretty muted favourable SP response today, so it seems that like others I see some encouragement in the figures and consider this a marginal 'hold'. I've given my small holding a severe talking to, and hope for better things to come next year.

[Balance]

Like Balance I was concerned with the late Fri release of the latest results, and had hoped for better.

Pretty muted favourable SP response today, so it seems that like others I see some encouragement in the figures and consider this a marginal 'hold'. I've given my small holding a severe talking to, and hope for better things to come next year.

https://www.nbr.co.nz/article/rubicon-pays-bargain-price-arborgen-control-b-210449

And most important of all, per the Annual Report : "ArborGen recorded EBITDA of US$1.7 million, inclusive of full R&D expensing".

Anyone following Serko (as I have) will know the implications of a company which has been burning cash turning EBITDA positive, and then earnings positive.

[beetills]

Article in the NBR this morning (behind the paywall) saying that insiders are well positioned to take advantage of an event.Involves approx 4.999% of RBC market cap.
Any body able to help.

[ari]

Article in the NBR this morning (behind the paywall) saying that insiders are well positioned to take advantage of an event.Involves approx 4.999% of RBC market cap.
Any body able to help.

I hope 'insiders' also means shareholders?

[freddagg]

Article in the NBR this morning (behind the paywall) saying that insiders are well positioned to take advantage of an event.Involves approx 4.999% of RBC market cap.
Any body able to help.

Tim has been looking closely at their financials and he suspects curious, or worse, dealings by management.
Its all a bit complicated for my little farmer brain but concerned me enough to hit the Sell button.

[Balance]

Tim has been looking closely at their financials and he suspects curious, or worse, dealings by management.
Its all a bit complicated for my little farmer brain but concerned me enough to hit the Sell button.


Tim has been very dark on RBC and Tenon for quite a long time.

It is very good to have a journalist with strong analytical skills following the company and keeping the directors and management honest.

One thing is for sure - many of us made fantastic gains out of Tenon because of all the negativity.

There is a very critical event indeed to happen with RBC and if/once it happens, RBC sp will be at least 30c within 6 months imo.

You read it here first! :D

[ari]

Tim has been looking closely at their financials and he suspects curious, or worse, dealings by management.
Its all a bit complicated for my little farmer brain but concerned me enough to hit the Sell button.

Nothing would surprise me anymore with RBC......they have asked for more funds during my 14 years holding, and all I have had is a thankyou at the bottom of the reports....'As usual, I would like to thank all our stakeholders for their continued support – it is very much appreciated' or slight change....'On behalf of Board and management we would like to thank all our stakeholders for their continued support. As always, it is very much appreciated'......

[Balance]

Article in the NBR this morning (behind the paywall) saying that insiders are well positioned to take advantage of an event.Involves approx 4.999% of RBC market cap.
Any body able to help.

that is a comment from a poster? Not a comment from Tim's article.

[Food4Thought]

I bought and sold out RBC at a loss. Probably lost 25+%. If I kept them.... I'd currently have lost over 50% (bought over 40c and sold at 39 and 33. ) I hope it returns some money to those long time holders. On the outside it looked good (to me, at the time). Glad I got out when I did. Now I am wondering if I should put some money back in and see if I can reclaim that loss...

[Balance]

I bought and sold out RBC at a loss. Probably lost 25+%. If I kept them.... I'd currently have lost over 50% (bought over 40c and sold at 39 and 33. ) I hope it returns some money to those long time holders. On the outside it looked good (to me, at the time). Glad I got out when I did. Now I am wondering if I should put some money back in and see if I can reclaim that loss...

RBC has been a disaster - wealth destruction on a grand scale.

Just as Tenon was.

Question is - will the wealth destruction continue or like the turnaround stocks (Diligent, ATM, SKO to name 3) which went un-noticed when they were turning around until their sp rocket, RBC is already turning around but un-noticed?

Suggest you seriously DYOR by reading the latest results and report from RBC.

https://www.nzx.com/announcements/310916

[t.rexjr]

Arborgen: "the current expectation is that operating EBITDA will still more than double the $1.7 million recorded last year."

"TCLP recorded EBITDA of US$4.6 million for the 5 months through to 30 September 2017." "forecasting TCLP earnings for the 12 months to 31March 2018 (i.e. TCLP’s own fiscal year) of circa US$9.5 million (net of General Partner fees of US$250k).

So possibly we're looking at a conservative 12.9m EBITDA. 2.6cps. 14% @ current SP...

[Balance]

Arborgen: "the current expectation is that operating EBITDA will still more than double the $1.7 million recorded last year."

"TCLP recorded EBITDA of US$4.6 million for the 5 months through to 30 September 2017." "forecasting TCLP earnings for the 12 months to 31March 2018 (i.e. TCLP’s own fiscal year) of circa US$9.5 million (net of General Partner fees of US$250k).

So possibly we're looking at a conservative 12.9m EBITDA. 2.6cps. 14% @ current SP...

You are too helpful, t.rexjr!

I find it better always to let some posters do their own homework after giving them some pointers and directions. It was clear from some of the comments that some posters did not even bother to read the report!

[biker]

Almost 1.9million shares crossed today. I think we know who’s selling but nice to see a buyer (buyers) present even if it was at only 19c. Good chance of doubling their money in the medium term IMO.
A good start would be for someone to take out TAM.

[t.rexjr]

Almost 1.9million shares crossed today. I think we know who’s selling but nice to see a buyer (buyers) present even if it was at only 19c. Good chance of doubling their money in the medium term IMO.
A good start would be for someone to take out TAM.

Same again today. If this carries on that encumbrance will be dispensed in no time!

Sell side easing. Poised for a turning of the tide...

[Balance]

Same again today. If this carries on that encumbrance will be dispensed in no time!

Sell side easing. Poised for a turning of the tide...

Water dripping on sand-stone - just a matter of time.

[Balance]

Water dripping on sand-stone - just a matter of time.

Another 750k at 19c - a few more grains of sand washed off the stone.

Looks like seller(s) backing off.

[t.rexjr]

Arborgen: "the current expectation is that operating EBITDA will still more than double the $1.7 million recorded last year."

"TCLP recorded EBITDA of US$4.6 million for the 5 months through to 30 September 2017." "forecasting TCLP earnings for the 12 months to 31March 2018 (i.e. TCLP’s own fiscal year) of circa US$9.5 million (net of General Partner fees of US$250k).

So possibly we're looking at a conservative 12.9m EBITDA. 2.6cps. 14% @ current SP...

Of course if I'd been concentrating when doing that quick calc I would have halved the TCLP EBITDA which I didn't...

Nevermind as it seems it's being sold off now anyway... Where's Snoopy when you need him?

[Leftfield]

Further news for RBC holders.....

11 December 2017 – Today, Rubicon announced that it had entered into arrangements to sell its 44.88% ownership interest in the Tenon Clearwood Limited Partnership (TCLP), the vehicle that now owns the previous Tenon clearwood operations. The proposed transaction will be subject to shareholder approval, at a Meeting of Rubicon shareholders expected to be held in mid-January 2018.
The proposed Purchasers of Rubicon’s TCLP interest are –
- Dorset Management Corporation (Knott), as to 20.0%
- Libra Partners NZ LLC (Libra), as to 20.0%
- Existing TCLP Limited Partners as to 4.88%.
Under the governing TCLP Partnership Agreement, existing Limited Partners have pre-emptive rights should Partners wish to sell down their ownership interests. All existing Partners have formally agreed to waive their pre-emptive rights over the 40.0% (combined) that is to be sold to Knott and Libra, and will participate (or not) according to their pre-emptive rights over the 4.88% balance of Rubicon’s shareholding interest. Rubicon believes the 4.88% will be fully acquired by the existing TCLP Partners.
The negotiated price for the sale of the TCLP shareholding is US$14.2 million (the cost of Rubicon’s investment into TCLP, made earlier this year) plus Rubicon’s share of the reduction in TCLP’s net debt in the period from 28 April 2017 (the date of Rubicon’s investment into TCLP) through to 31 December 2017. As the net debt amount will not be known until early January 2018, the final Purchase Price can only be estimated at this stage, but it is expected to be circa $15.3 million (net of a $0.7 million TCLP dividend to be received by Rubicon in December 2017). Closing is set down to occur on 31 January 2018.

[beetills]

My RBC shareholding is in unfamiliar territory....the arrows colour is blue.
Xmas has arrived early.

[ari]

My RBC shareholding is in unfamiliar territory....the arrows colour is blue.
Xmas has arrived early.

Bit more needed for mine to turn blue but more than happy with $12.3k + ......