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Hargreaves Service - Tungsten West IPO leads to 6% upgrade

November 2021

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • HSP
  • Price:
  • 450p
Since my write up in July, Hargreaves’ share price has been as high as 580p but the shares have retraced on profit taking. This month brought further good news with the IPO of Tungsten West (TUN; 83p) where after the failure of the previous owner of the mine, Hargreaves stepped in to acquire certain assets from the administrators, including mining rights.Tungsten has just raised £39m before expenses at a price of 60p per share. The proceeds together with £36m of project financing, means it is fully funded to bring the Hemerdon tungsten mine (the world’s fourth largest tungsten resource) back into commercial production.It means Hargreaves is now set to receive a £1m royalty for eight years (first ...

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