I described earlier in the week the disgraceful tale of Astar Minerals (ASTA), a sorry saga of investors getting screwed by advisers and directors banking fees. It is the sort of tale that is all too common in the cesspit that is the bottom end of AIM. You can check out the story here but at the time Astar shares traded at 0.35p valuing it at £1 million. Ho. Ho. Ho.
Astar is, of course, worth nothing like £1 million. It has £200,000 cash and every day that goes by the parasites that are its advisors nibble away at that figure. I reckon that the costs of staying on Aim for a year will be c£100,000 meaning that as an investment company it will have to beat Warren Buffett’s long term batting average by more than four times just to maintain its net assets position.
on ShareProphets.com | Comments