eqh - slow and steady

EQH has now been listed for almost 2 months & we have finally been graced with its first proper report.

It seems as though they have methodically been going about their business on the ground in Congo Brazzaville. Obviously the shake-out in the iron ore market hasn’t helped general sentiment but I suspect will resolve itself sooner rather than later. Should SDL eventually be taken over, I would consider that to be a big positive for EQH.

From their recent report, it is apparent that there is iron ore in abundance, it is just a matter of finding the higher grade ore. I would also like to see the results of the helimag survey which have been a long time coming. I don’t know if they will come out or can come out with an exploration target from the helimag survey, but it would be a nice touch if they could.

On the corporate front, as I have stated in previous postings, it is apparent that EQH is very tightly held. Other than the dip below its issue price the other week when I presume one of the holders probably “broke ranks,” the only stock coming out has been spread related.

On the buy side, Colin Ikin has bought an additional 225,000 shares and the large HK holders, N.S. Hong have also bought more stock. Consequently, approximately 40% of the stock sold since listing has been acquired by these 2 holders. I know what I was taught about “insider” buying and stock going from the hands of small, uninformed holders to large, in the know holders.

EQH is still a rare beast – a recent IPO trading above its issue price. I suspect that with further news flow and the continued tightening of the register that EQH will continue to quietly and steadily continue its price appreciation.