On the AIM Cesspit unusual share price movements ahead of statements are par for the course. Of course nothing is ever awry. This is a market where a company can issue a statement that it is completely untrue and face no sanction (Verdes – see here) and indeed do a placing 24 hours after issue an untrue RNS (Sefton on March 6th see here) and again there is no sanction. There are no rules on the Cesspit. And that brings me to Arian Silver (AGQ).
Its shares raced ahead in the two sessions prior to lunchtime today gaining some 35% to 6.25p. And then it issued dismal quarterlies with a dire warning that worse may be to come and the shares fell sharply back to 5.5p. Why did the shares move so sharply ahead of the numbers? Who was buying? On what information? As it is an irregular price movement no doubt it is being investigated but clearly nothing was wrong (it never is on the Cesspit) and so nothing will happen.
But let’s not get distracted from the numbers and the accompanying statement. The former are utterly dismal. The latter even worse.
In the first quarter to March 31st the company had a bit of a disagreement with the chappy who processes its silver on a toll basis. And thus revenues were nil. Helped by $700,000 of PLC costs the company racked up a net loss of $935,000. How the xxxx
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