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Want to see a big ruse from this. Funding sorted, operational issues getting sorted, order book full- massively undervalued. Let’s get this up to where it should be with the risks/issues built in - 5p - and then rise into double figures as the risks/issues are resolved.
Agreed - he's clearly got a grip on what the issues are - time will tell how effectively the team can sort them out.
I thought the Chairman was a liability, as others have said, he was straying into "financial / investment advice" territory, and I'd wager that if their Nomad was in the room he'd have been getting a good solid kick under the table. You just cannot say that as a board member of a listed PLC, I know he prefaced it with "I'm going to answer this as a shareholder, not as the Chairman" - sorry, you're not allowed to do that. What was the other one, "we've got loads of problems but raising cash for capex isn't one" - really? No wonder he's being put out to pasture.
Impressed by Steve yesterday but definitely not the Chairman Blundred. No real acceptance that he presided over a very operationally poorly run organisation to even get to this point. I sense this newer team and hopefully a far more insightful Chairman will hit their targets and if so the fundamentals are good for a solid ongoing business. Market leading product, high order book (I am amazed a few customers haven't walked away) and hopefully a more efficient operational performance
Yep it's on Interactive Investor, final decision date is 20/05. Think i'm going to take mine up, might as well, its only small beer to the amount i'm out. Here's hoping that its not 'scrap' money! ;)
I think you have until 17th. Call your brokers and they should be able to link it up to your account.
Morning All, has anyone received any communication yet from the platforms about the open offer? I hold SCE through HSBC Invest Direct, Hargreaves Lansdown and AJ Bell. So far only AJ Bell have any mention of it and only to say "it is coming".
I fear HSBC in particular will either not allow me to participate in the open offer (they didn't one one of the offers I recall) or, as I am often travelling and the timeframe is tight, it will happen while I am away.
Do we know the final date yet when we will need to subscribe to the open offer/ excess application.
GS (been royally shafted by the 40p/ 10p/ 1p placements)
And its gone blue
After yesterday’s presentation the buying is back. Positive news flow should continue.
I agree.
If you look at the sales volume it looks really exciting as we head through Q2-Q4 2024:
2023 - sales total £8m vs capacity £8m (100%)
Q1 - sales total £3m vs capacity £3m (100%)
Q2e - sales £4m vs capacity £7m (57%)
Q3e - sales £4.8m vs capacity £7m (69%)
Q4e - sales £5.8 vs capacity £9m (64%)
If they can manage to get sales to 100% capacity level (and bear in mind we’ve been told before that they can sell as many as they can make), then we’re at £26m for 2024.
If capacity levels are also at the lower end, who knows what we can get to?
Sorry that should be ‘tailwinds’
‘Total disconnect between share price and value’
The chairman should be more careful giving financial advice, stating that shareholder ‘will’ get a reward from here. All seems very confident. The figures are all based on worse case senarios. they are going for under promise and over deliver. Cash headroom calculations dont include open offer which is extra.
Key headwinds are EV uptake and upcoming legislation around brake dust pollution which I will have to look into. Order book is secure, we have a better product than the only competitor and operational issues being dealt with.
I anticipate more institutional investment coming in.
Management finally addressed shareholders' questions, concerns and anger although it took Bundred an hour into the presentation to acknowledge the anger and bitterness which many have expressed. On balance, it's less likely the company will become insolvent, which was my major concern and I have made a modest investment today having dumped my holdings nearly a month ago.
Just watching the presentation - the COO - Stephen Easton is impressive.
“Scrappage was 25% in 1Q24, well down from 2023, and SCE states the current quarter’s 17% expectation.”
Great progress 👍
Fairly well balanced. Key for me is:
The £390m order book and the environmental benefits are robust. The furnace maintenance issue reported last year, at the heart of the process, has been addressed. The cash-damaging scrappage problems have been reduced, as methodology has matured from a development-style process.
We have an in demand product with a strong margin. They will buy whatever we can produce. Ramping up production to meet demand was always going to be tricky and imo they tried to do too much too quickly buys it’s given a great opportunity to get in at the bottom of what will be a strong turnaround story.
I think we’ll see April’s sales at £2m, with stronger yield numbers, over 80%.
I also believe we’ll see a good reduction in scrappage.
Any sign of green shoots of positive progress and we’ll see 1.5-2p in a shot.
Agreed.
Expectations are low, at bankruptcy level essentially. We are almost worth less than the cash we have in the bank…
Anything that suggests survival will be soaked up like a parched sponge accepts water. And the sponge will spring into life.
Here’s hoping anyway!
And what about management change?
Think we will see sub 1p, but 0.75p might be the floor.
I can only see positives coming out of today’s presentation. Final furnace installation, reduction of scrap, contract pipeline, current manufacturing capacity, progress on loan access.. I have added my questions regarding these
Yeah, and with the level of dilution coming there’s going to be a number of TR-1s coming through, all of them looking at first glance like there’s a massive sell-off happening when their % of the total is the only thing that’s changed.
We need to be sure we’re not talking about holders selling out if it’s not actually the case 👍
I expect the Odd Investments 22M is a part of the 1p placing, not a market purchase. The 5% is also a fiction if it is 22M since there will be over 1Bn shares out there after it all settles. That will take Mr Odd back under 3%.
Oh yes that’s right, the Canaccord and director shares were issued yesterday.
The RNS states that it is due to “An event changing the breakdown of voting rights”.
They hold the same amount as they did back in 2022.
I think you are right. Looks like a disposal to fund the purchase of Open Offer shares.
After all if they had lost confidence and wanted out they could have emulated our friend the Livermore lookalike and dumped the lot.