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They stated in an rns about 12 months ago that collecting money owed was a problem.
Your probably correct Tony. Receiving money owed will probably be the next drama.
Ooooops, Just re-read my BB. Don't get me wrong, I do not see bad debts as a problem. What I am saying is the seeking of contracts is now a lot easier as CC's reputation is growing for service, speed and security. So the next priority is getting paid. UK will probably be automatic but a close eye needs to be kept elsewhere.
DYOR
Hello Ted.. Please make your way to the looser corner, LOL.
I think that CC has established enough contracts now to, break-even shortly, progress rapidly, achieve that 15p SP that everybody is talking about as starters and getting itself a strong worldwide reputation.
It would be interesting to know how many other companies can match CC, Omni, price, speed. Of course Colour would know all that but it would be handy to know.
I think our problem now is not contracts but overseeing bad debts, making sure advances arrival before handing over product, making sure the technical's are not leaked. A very close eye needs to be kept on this and of course exchange rates. Product placing is dealt with and it now revolves round money. CC is in a good position.
All my own thoughts, DYOR.
Maybe you could order up some 15p ties, or even pen by hand a 1 on the stockpile from the last round of predictive madness.
Hi LTI
Good luck to you too.
Hello Inthetin,
I try to steer away from predictions. But as I have already mentioned, I try to contribute on occasions. But if you are bored, I am happy to leave it where it is.
By the way, good luck with your investment.
LTI.
Hi LTI
Of course, crack on with you predictions.
For some reason, you're quite often referring to my posts and misquoting. The 15p was only mentioned to let people know what DJP's average price was - nothing more, nothing less. It wasn't described as anyone's target.
I certainly would be happy to take 15p (or less). After all, that is four times today's SP.
Perhaps we could just leave this now, as it's a tad boring.
Hello Inthetin,
If you look back to your post on Saturday, 6th June, at 13:10, it was you who started the 15p David Johns-Powell connection, coupled with the " I would be happy with a take-over well below that price."
Tonyj put forward various options, which I posted a reply too.
CB posted as though your 15p was a general acceptance to share-holders ( a least to me ) and posted an alternative, which I found more acceptable and agreed with. So posted my agreement.
So it is alright for you to have your opinion on the share-price, but no-one else? Others seem to mention the share price quite regularly. I generally leave it up to them, as there is nothing that share-holders can do about it.
But not " obsessing." Just contributing. If that is alright with you.
LTI.
Hi LTI
Why are you having such trouble with this one?
DJP needs 15p to break even - that's all that has been said.
It seems a bit strange to have you obsessing over the SP, you usually shy away from the topic or is that only when its in free fall.
I agree with you CB, rarely I know, but on this occasion a " ....... 50% premium to consolidation ...... " is a far better target than Inthetins' 15p ( for David Johns-Powell ) or lower price.
But everyone has there own opinion and share strategy.
LTI.
Hello you three.. Hope your keeping social distancing between all of you. Who decides who goes first.
JC got a good response to RNS and that was an older contract he waited on to come to life.
So now we have Indore already expanding, Mysore doing the same, the unnamed Southern India customer, the 2 expanding contracts in Thailand both new.. Even I could create a lot of interest with that sort of material.
Give up you three, recognise a progressing company. Its taken its time but it is there and will hopefully produce good returns for AGM. DYOR.
15p is now almost being seen as a real result for holders. Consolidation price is a distant memory, how so many can now lower their sights and expectations to such an extent is bewildering. An exit price at 50% premium to consolidation should be the absolute minimum you should be hoping for. Anything under, again, should be seen as complete failure in the company.
Good morning tonyj,
I totally agree with the " I would prefer to carry on expansion ...... " part of your 17:38 post, yesterday.
LTI.
Morning TonyJ
Re: The Champions technology Platform ou mentoned last week.
Looks like a system to handle grievance resolution for small company's at this particular time and help them grow into Champions!
https://ibgnews.com/2020/06/01/pm-modi-launches-champions-technology-platform-to-empower-msmes/
Good afternoon Inthetin.
I don't believe I put the 15p share-price and the take-over together. What I said was " But you have stated that you think a take-over will happen. ( Not an MBO as has been banded around this bb before ) and you have given a 15p share-price. Would you care to give a time-line on when you think these events might be achieved?"
You confirmed you would be extremely happy with a take-over price well below 15p. As I have mentioned, I am confident you will get more for your shares, than the " ...... below that price ...... " you would be happy with, dependent on how long you want to keep the shares, that is. That would be entirely up to you.
A " ...... 6-12 months ....... " timeline should hopefully put CyanConnode in a far more viable position, than at the moment. Although I do think that CyanConnode is in a better position, product-wise and getting to a more viable position finance-wise, than they have been in for a few years.
And both these positions, coupled with potential on-going contracts/revenue streams/support & maintenance contracts, should put CyanConnode in a far better position to negotiate any take-over, when/if it arises.
But thanks for your reply.
LTI.
Colour, got carried away you are entitled to your opinion.
LTI/ITT, of course there is always the chance of a buy-out. JC is good at this.
If it did happen I would be looking for an excellent cash offer of £1 plus, and could be a lot more, or a 50/50 share offer.
Logic tells me that if this should happen and it is seen as the ideal 'one off' product then a consortium of the 4 main interested parties could well be the case. That is the 3 Indian leaders and our new Thailand manufacturer, even plus BI.
If CC, with its building penetration and 12km land distance, is seen as the bung that keeps Smart afloat, with a good price product then who knows. In this case it could be a little acorn. DYOR.
An optimist, yes, but there is a lot of logic here. I would prefer to carry on expansion or at least be a minor part of new consortium.
Hi LTI
I didn't say the takeover price would be 15p, I said DJP would be in the black at above 15p (see below). I was responding to tonyj's assumption that management would be wanting a lot more (quite possibly they are). If DJP got 30p, he'd be making £4M'ish profit, which would be a reasonable return an investment that cost him £2.6M a few years ago.
"As you know, I think that a takeover is the most likely outcome here. Anything above 15p (company value of £27.5M) and Johns-Powell will be in the black, if my calculations are correct. I would be extremely happy with a takeover well below that price."
Of course, an MBO is also possible.
As far as when a takeover would happen, who knows (I don't). These guys aren't getting any younger and they will obviously want to exit at some point. If the SP goes on a good run, it wouldn't surprise me if something happened takeover-wise within 6-12 months.
Good afternoon Inthetin and all,
Personally, I am confident you will get more than 15p for your shares and I think you will achieve that, without a take-over. But that is not saying that a take-over will not happen at some time in the future. But who would it be?
But you have stated that you think a take-over will happen. ( Not an MBO as has been banded around on the bb before ) and you have given a 15p share price. Would you care to give a time-line on when you think these events might be achieved?
LTI.
Absolute rubbish Colour. I thought you did not pull figures out of the air. Once JC makes an analytical list of achievements as CC starts to expand around India, Thailand etc the ones that come in low will be looking to see the outcome, a good spread sheet. The long terms will not want to sell themselves short. It is only the likes you you who would like to see £20m just to crow about the £50m outlay. I feel CC now has a long way to go over next 2 years. Others will be interested in manufacturing for CC as volume increases and some will take up 'White Label' offer who need that last mile connection without admitting that they have not got it, big and small companies.
JC has done well so far to keep his 'golden goose' protected and trusting those around him.
Producing at a competitive rate, using local facilities and only having to provide the Key Element at very low cost will bounce CC into a high Mcap.
It will turn out to be a good company for its staff to work for.
DYOR
Itt, a takeover around mid £20 Millions will probably be a good outcome for most. JC et al, would likely crow that they achieved a successful exit plan. What they won't say is it cost in excess of £60 million to get it that far. It will be a huge corporate failure, ironically, much like Connode looked.
I think PM Modi is determined to get up and running again following Virus.
Launched a technology platform CHAMPIONS via MSME Ministry to assist them in challenging times.
A one stop shop.
DYOR
I nearly caught Woodford, could not be bothered applying for a new fund, good reputation from the industry, close call.
With CC you never know if another hurdle awaits but at the moment it seems clear to end of year and steadily rising.
From my view the main advantage is from now on if it gets a good turn-over it is a small company, to reach £1. it would only need to be valued at £182m. JC must be able to achieve at least £100m. of contracts in 12 months + by then goodwill
DYOR, I think we have done ours.
I did average down with a couple of buys circa 4 / 5p tonyj, however, I did not have the Balls / faith in this Share when the SP was sub 2p to purchase any as I honestly feared for the survivability of the Company.
Also, I had purchased shares when I thought the SP had bottomed out and it only continued to fall (Catching a falling knife!)
I'm more confident now in its future & hopefully myself and those long-term holders will be rewarded.
I will not buy any more shares though as I have already put too much into what is still a tiddler. My investments are now more boring (A Maxi ISA every year). Luckily I have kept clear of that clown / fraud Woodford.
Keep the faith my boy. Any that were around at consolidation would have been used to averaging and achieved down to 15p at least I would have thought.
In my mind our main player is going to be JST, I was not too keen on him originally but he is going to be a good agent, know's the area and dealings and is respected. He will get quality deals having a double interest.
DYOR