Let's Explore (LON: LETS) is up, by one reading, by 64% this morning. By a slightly more rational reading of the price it's up a percentage point or two but no more. And yes, both these things can be true at the same time. The share price is up 2%, maybe, and also 64% at the same time.
The background here is that a month back Let's Explore said it was going to reduce its capital base. That is, buy in 65% of the company as Treasury shares and then cancel them. As discussed here: “Let's Explore Group PLC on Tuesday said it was launching a tender offer for up to 65% of its share capital following the decision to return up to GBP12.5 million to shareholders after the sale of its location-based entertainment business. Let's Explore is a Nottingham, England-based entertainment company that changed its name from Immotion Group at the start of March after selling its LBE business. Let's Explore launched the offer to buy back up to 283.0 million shares, about 65% of its total share capital, at 4.75 pence per share.”
OK, that's lovely, but how does this explain this?
Let's Explore share price from London Stock Exchange
Well, the explanation is here:
So, everyone who was selling their stock into the tender offer has already done so. But at some point that's all got to go through the stock exchange machines to keep them updated. And there it is, those tendered shares being registered as having been bought/sold. Ut this doesn't mean that we can go and buy and or sell at that price of 4.75. The bid offer for trades today is still 2.80 to 3.10.
That's how the LETS price can be up 64% and not up 64% at the same time - the Schroedinger's Cat of share prices.