There are some superb start-ups to be found on PLUS these days...
Pick the right companies and there are some fabulous gains to be made.
Just ask my colleague Tom Bulford, editor of Red Hot Penny Shares. He recently highlighted a company on PLUS which is doing very well indeed. Particularly since some noteworthy investors have just started taking a BIG interest in it.
PLUS is now much more transparent, bringing extra liquidity and in turn encouraging potential investors.
There are currently 182 companies quoted on PLUS. Imagine all those unearthed opportunities waiting to be discovered...
And if you didn’t know...
The PLUS market was formerly known as Ofex and is the main facility for trading shares in unlisted companies.
If you have the time and the patience to identify the golden opportunities you could be party to some real corkers when they get upgraded to AIM.
Picking the right company is the challenge you face. Why not make it easy for yourself..?
Now the company I mentioned yesterday has shot up even further on news that serial investors Nigel Wray and Stephen Hemsley have bought 10 million (yes – 10 million!) new shares at a price of 40p. And it's been disclosed that they'll also be granted warrants to subscribe for a further 7.5 million new shares at 40p.
Wray and Hemsley have backed numerous successful companies including another well-known franchise operation, Domino’s Pizza. The pair will now have a combined stake of 21%.
I expect these shares to receive a further boost from their move to AIM. Their annual results are due shortly and it'll be interesting to see what happens.
But it looks more than rosy so far! The shares have whizzed through my 50p buy limit, and my target of 100p is well within sight.
Hopefully, the next stage could be the move to ‘big boy’ status. Then all kinds of doors can start to open. The tadpole could eventually become a very handsome prince, and we can all live happily ever after! (I do have a little penchant for an investment fairy tale!)
And again, I really would love to disclose the actual stock I'm talking about, but it's a story we're tracking... if all goes to plan all will be revealed to Red Hot Penny Shares readers.
That's why truly hope you read the report I attached to yesterday's Penny Sleuth. If you didn't, here it is for you again.
I really would hate for you to miss out on anything we uncover!
In the meantime I'll be looking for the movers and shakers in the world of penny shares to help you on your way to profits.
But remember…
It’s a long and arduous journey to the top, fraught with danger and hidden enemies.
I know, it sounds dramatic. But that's what the exciting world of small caps is. And it really pays to have someone like Tom on your side.
When a company lists on PLUS, moves onto AIM and then onto MAIN, they really have made it. And so have your investments.
Planning what you'd do with the money is easy. But it's picking the stocks that shine out of the swathe of stinkers... that's the hard thing.
Until next time, have a great weekend.
Melissa Carroll
for The Penny Sleuth
P.S. If you want to follow the tales of a small company investor, and uncover the hidden gems of the stock market, then sign up for the Penny Sleuth e-letter. It won’t cost you a penny…