I wrote on 23rd March how I was far from impressed with Cape’s recent fund raising and how I sensed that management and the new broker (Collins Stewart) simply chose a good moment to raise additional funds without any real certainty of the core acquisition (PCH Group) ever happening.

As I feared, Cape has now announced that they have been ‘unable to have any meaningful engagement or constructive dialogue with PCH or its advisers on a price which could lead to a firm, recommended offer’.

Cape is continuing to pursue other potential acquisition opportunities, however, there are no current negotiations in respect of any of the alternative acquisition opportunities identified above and there is thus no certainty that any of these opportunities will be executed.

My view remains the same. What do they need all the cash for if nothing happens for several months or never at all-I would prefer my money put to good use rather than simply line the pockets of the broker.