Utilico Insights - Jacqueline Broers assesses why Vietnam could be the darling of Asia for investors. Watch the full video here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
It’s not quite as they have presented the numbers. They have held back releasing the £2m payment from DHSC at the half year point. Meaning the cost of all was expensed with none of the benefit offsetting. Still a loss but narrower. If at the year end they still have that in the balance sheet that will be of interest as why they still believe they have a credit to be taken across all future tests manufactured for the DHSC. I still think all eggs in one basket.
Dam health is the certainty here and this could be the big boost for the SP - just waiting on approvals. May other possibilities now also due to omicron - unfortunately. In my view a good time to buy but DYOR.
I just don’t understand, as a business, why you’d allow an organisation to take up all of your time operationally, to increase your losses….seems absolutely crazy from the BoD, to me.
Situation is either
- yes, it has expired and ODX are confident it won’t be renewed
or
- it has expired and now they want to play by the book in relation to comms having previously been rather flippant with facts
Could you imagine if the 6 monthly they said all was fine, but then a week later have to say it was cancelled and expired previous to the 25th Nov - now that would not be a great look ??
My guess, we can use the govt machinery and if/when Mologic/ Visitect tests gets approved, the govt start buying.
SneakySimon - Technically expired yes but obviously the government can renew the contract if both parties want to. The gov have invested money in setting up the infrastructure and installing the equipment, it's all there to be used if they need it. Before Omicron it was looking like they may not need it but I suspect things will change now.
Either way, demand for testing (both LFD and PCR) is undoubtedly going to increase and either ODX will use the government equipment themselves or the government will open up a new contract / renew the old one imo ... expecting a surge in testing stocks again.
would be great for us shareholders if that came to pass.
would also make HMG look like absolute idiots, which we all already knew.
But they have not renaiged on the contrat
- it was extened (maybe muliple times?)
- extension has ended, ODX asked if DHSC would extend - they wouldn’t confirm yes or no
- odx decided therefore contract expired and ended
Maybe their is more conversation going on, but the expiry of the contract is Omega’s take on it - maybe their is more to this that would indicate it was ended?
Jimi £4.5m cash not £6m ,and who wants to use an overdraft facility
The CFO is confident he can increase their overdraft facility to £8m and that's on top of the £6m cash they have. Zero chance of a placing happening, people trying to spread fear as usual lol.
It wouldn't surprise me one bit if the government renew the DHSC contract now, this is exactly why they haven't taken their equipment back... keeping their options open incase of emergency.
"Sajid Javid, UK health secretary, said there would be a surge in testing capacity in affected areas and new travel restrictions, which from Sunday will apply to a further four African countries."
agree bigbangs
the government reneged on a contract, causing massive damage to Omega Diagnostics. you basically just treat the government as a non paying customer now and offer them a few home truths.
you tell them they have the machines back at their deinstallation cost, you also use the machines as a dumping ground ( if you get my meaning) for the few weeks prior to deinstallation.
its not businesslike , but it gets the sentiment over to the duplicitous w***ers that are HMG.
with regards a placing, i believe a new CEO may get one away if required, however CK does not have a credibility balance left for it to succeed.
odx have said they do not need a placing. i think they will get the equipment cheap but not just yet. i suspect the gov will try to keep hold of it on odx property should they ever need the reserve of their lft capacity. however hiring at a suitable price should be possible if colin can drive a decent contract. he should be cut throat with the gov now as there is nothing to lose. if they don't threaten to dump it in the car park....next to the big shadow smelling of tenants super strength.....lol
the only possibility of a placing would be to pay for lft self test in usa. they clearly do not have enough cash at the moment or it will make the purse too empty - very risky - especially with the limitations on dam contract due to lack of approvals.
however by the time they do a feasilibilty study and then apply for self test - the usa market will be swamped. so i think they should forget it as they missed the boat on that one. the pro use approval was another waste of time in my mind - i have been saying for ages
in hindsight another AIM ceo would have pumped the sp when the contract was first announced - got a placing out - and had enough cash for any applications / marketing etc they needed.
a placing is not necessarily bad news if the proceeds will be used to expand the company....i have just loaded up in another company after they have done a placing but it is a game changer.....now bought in at less than the very big boys..so quite happy on that one
I was just replying to a post odx does not need equipment or a placing everything is in place ofcourse we need orders and they will come in due course, it's up to the management now to get the company producing
Don't think you'll get people falling for a placing
Sileng:
On your point of requiring a placing for acquiring equipment . The normal for acquisition of capital equipment is to take a bank loan and amortised over 4 - 5 years. Absolutely no need for placing
Ok thanks
Well, if we do not already have formal acceptance to use the machinery, which we may and as the tweet suggests (I know, no need to remind me) then when we actually need to use it to fulfil an actual order, I am sure we will get it - it can only be a matter of agreeing a price.
That doesn't read right at the beginning
It's in the contract thtat they permission I believe (from memory). However I don't know if the contract states that if the contract expires we can then use it. My view is (unless I've missed something) that we still need permission to use it. The RNS last night that "have access to govt backed machinery" isn't clear if this is confirming permission - and I have already drafted an email to wallybrook asking for what that term actually means. Thanks.
Likewise is it on a RNS that the machine can't be used ?
Thanks Chris, certainly many of us had read and had a good general understanding of the contract and perhaps it was simply an excess of hubris that allowed us to believe that HMG who had issued the contract, stated that they wanted to develop the UK diagnostics industry, named ODX as one of the chosen then paid Mitsubishi £1m to calibrate the £17m equipment delivered to the site adding a cheque for £2.5 million to cover ODX’s costs that had led us to believe, whatever the specific contract terms may be, that they were serious? Having had the chance to calm down a little from the poorly handled RNS and the car crash of a presentation I am actually not too disturbed that the HMG contract may have, in my belief, temporarily, fallen away, the opportunities for ODX utilising the machinery for commercial purposes are strong once the approvals land which they should. Glad that you remain invested and appreciate you insights.
Hi Maninpink - do we have a source for that please? I haven't seen it in an RNS unless I've missed it . . .
Thanks.
Flash I belive omega have got permission to use the loan equipment
Possession is 9 tenths of the law. Lets just use it. HMG complain about what- "we lent UK diagnostics some equipment to make UK LFTs. We promised them 375m contract and then we ignored them and purchased inaccurate Chinese rubbish. We did not pay ADBDX a member of the UKRTC for the tests they supplied and they had to make UK employees redundant. We need LFTs as there is a shortage and people are dying as covid spreads.....You couldn't really make it up
Odx aquaring govt equipment at a huge discount, if that is the case at a later date then expect a placing to cover the cost as odx are not paying for anything but the share holder will be one way or other
ODX need permission to use them I think. Cheers.