GO to the website use there contact position and just TELL them..
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can I just clarify something here please.
Has this company now entered the SX50 because it issued a huge number of shares which although barely above penny-dreadful status make its capitalisation large enough to qualify?
And because of this some passive index funds , perhaps KiwiSaver funds too depending on their model and strategy, will now be obliged to own this company.
If true - oh dear.
it isnt even offered on CMC so cant long or short it there.
not that I would be wanting to short it either.... this (imo farcical) situation gives the share some reasonable chance of support
imagine if the share price does go up it might get into the top 10 :confused:
Hi Peat,
As posted on previous page, ALF go into the 50 on 22 Feb.
If I go off the mcaps for the 50 I posted on the "How will the Allied Farmers deal work" thread, ALF has about a market cap of 200 -220m. This puts it around the same free float value as PRC or PPL.
If we look at one of the index funds they hold around $210k PRC & $310k PPL.
So ALF is included in two tranches, so one index fund come monday that tracks the 50 will be looking to buy $100k -$150k ALF, or about 1.3m shares in ALF.
Times that by about 10 funds across NZ doing the same, some may underweight it, so maybe up to 10m ALF shares.
With 1.9b shares on issue, the funds will not own a whole lot, in my view.
That may be true SL, but meanwhile even just 10m on the bid side (after many Hanover-based share recipients and other sellers have already sold out their holdings) puts a lot of upward pressure on the sp...until at least the 3rd week of March...IMHO.
I'm holding, and if it slips under 11c again may buy some more (for a short-term play). This dog is back on its legs.
Most Hanover holders have sold their shares? I think that is quite incorrect.
ALF issued 1,914,598,153 shares to Hanover holders. Only 68,806,003 shares have traded since the 21 December issuance date.
That leaves over 1.84 billion shares or 94% of the company still owned by Hanover holders.
Read my post, SL. I did state "many" not "most". Hanover shareholders of ALF have had two months to sell out, and I'm suggesting that most holders who wanted to sell would have done so by now (as evidenced by the solid support base at 10c and now at 11c).
BTW, ALF is @ 11.5c and climbing - 13% above the price it was when I posted a recommended buy just a couple of days ago. Ride the wave whilst it's growing and it's almost certain you'll be in the money.
Discl: still holding.
I agree all those desperate to get out all ready have.
I doubt most of the other holders watch the share price closely, many may not realise it has gone up for a week or two.
Many Hanover shareholders are likely to be waiting for the share price to get up to 20cents, but that’s just my speculation.
Crisp - the sp has only been rising this week. Check out its graph. It's not too late to buy into this one - you could wait for some weakness but I'm not expecting that to show until at least 13c, and I doubt that will last long - there's too much upward pressure due to what's required of Passive Fund managers up to March 22.