Today I caught up with Matt Lofgran to talk about his recent appointment to the board of Paternoster Resources,
PRS is an aim listed investment company with a history of vision, having had the foresight to flip £400,000 to £2.8m within 6 weeks (a few years ago) along with a chunky return from its Quadrise investment via the 7.5p placing scaling back at multiples (40p plus). More recently Nick Lee the chairman took the brave challenge of cleaning up and rebranding a number of shell companies leaving PRS with a decent exposure to a number of highly popular and liquid assets in the small cap sector.
Paternosters become the forgotten mother, brother or now distancing cousin to Metal Tiger, Plutus Powergen and Mx Oil. With this in mind along with the knowledge that the (new money) subscribers from today’s placement will look to recreate some of the bullish momentum felt throughout aim during autumn we at Valuethemarkets believe Paternoster is the model to an ever changing fashion.
PRS has a number of net profit positions unrealised in MTR,MXO & PPG
The company holds a significant slug of North American Petroleum, Elephant Oil, Andiamo (OTC invested) and Shumba Coal.
Paternoster holds open a basket case of large cap (blue chip) liquid assets giving PRS a strong balance sheet against unrealised tangible returns
In 3 years the company has done 1 placing for £500,000 prior to today with a low cash burn rate.
After commenting on Paternoster for a number of years I feel the company is now poised for a decent move forward as the newly formed board share a more approachable and aesthetically aligned feel in today’s market. For those looking to mitigate the risk of holding an out and out one dimensional play. PRS offers a diverse exposure to one or all of the above, I have it on good account that deal flow, interaction and a more public presence is very much apart of the strategy for 2015.