Russia to cancel France ship building contract (1.5 Bil US dollars) , Now to be built in Russia, Going to need alot of Mechel Steel for this and Railroad projects.
I guess Credit Suisse doesn't read your messages, as they have accumulated 17,942,833 shares or 5% of outstanding stock.
volume is increasing, money managers will be adding MTL to their portfolio as debt concern becomes muted and MTL is considered stable. The more money flows in and price appreciation continues, the more managers will chase big returns here and put capital to work in MTL and Russia.
All the lenders are coming into agreements with Mechel. VTB says they have agreed on terms and Mechel is paying its debts. It looks like well have final announcements by end of June for all debt to be pushed out till 2018
Jim Justice announced the reopening of Bluestone mines, It ll employ 200 union workers. Mechel to receive royalty payments from Bluestone based upon its output. Justice is also running for 2016 race for Governor.
Preferred dividend just announced, 5 kopeks per share. Don't get to excited its like .001 per share. ADR fee could be avoided by going to over the counter trading like Gazprom has always been and Bank of Ireland just did. I think that would be great, but that's up to the co. Look at it this way, if you get a .30 dividend in ten years, it'll cover the fee. If you wait to buy, when dividend covers at least the fee, stock will be 10x the price of today. Pay to play or wait then pay much more?
Deutsche Bank upgrades MTL from sell to hold, Short interest drops by 1.6% , but still 10,547,874 shares still short, that will need to cover if more favorable deals are announced on debt restructuring. Investors starting to see MTL in a more positive view as agreements with lenders are coming together. Volume is at all time low, making it almost impossible for shorts to cover without a explosion in price. Option channel check shows the most that could be hedged is 800k shares, verifying over 9.7 mil short shares are naked,uncovered and venerable to major squeeze.
China port 65.41 per ton. Mechel is one of the worlds lowest cost producer with Elga deposit @ 18.75 ^ per ton.
Russia mtlr is 67 rubles conv to USD = $1.26 preferred mtlrp is 46 rubles conv to USD = .87 divided by 2 = .435 per adr. , looks like US adr is now trading at a discount to Russian sec.
looks like both parties are looking to mend severed relations with trip to Sochi by John Kerry. I believe sanctions will expire soon and not be renewed because of resistance from EU partners. Will be a huge positive for Russian economy and companies.
Its the potential that's what Banks and Investors are looking at here, Elga being the lowest cost producer with huge reserves will be a huge cash generator for years to come.
Maybe Mechel and Serbank bank will come to a solution over the weekend, We see Gazprom Bank is in agreement and word is VTB bank have agreement just Serbank hold out.