Our live Investing Matters Podcast Special which took place at the Master Investor Show discussing 'How undervalued is the UK stock market?', has just been released. Listen 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.
I have been thinking about this over the last couple of days too.
I think the management have been in disarray but in some respects i am now a little bit more confident.
What strikes me though are the events around Jan 2021-March 2021, my view at the time was that the statements Yeo was making about financial close seemed completely illogical given there was no final planning permission in place for plot 10B and no indication when the approval would be received. So given that this was a significant unknown why would Peel commit to financial close which would trigger a very definite obligation on them with a clear termination date to inject their £10 million into Powerhouse. This is not John Whittaker's style.
Having listened to the HW interview I am now inclined to think Yeo definitely believed what he was spouting otherwise why were serious investors persuaded to part with £10 million.
So who lead who up the garden path?
Last Man out turn the lights off ??
Been mulling over the content of yesterdays RNS and listening to the interviews of HW and KR and have come to the conclusion that PHE senior management are in complete disarray, IMO.
To lose a recently appointed CEO (6 months) after an extended recruitment period suggests that there is considerable internal conflict within the company with regard to the strategic way forward, especially after the departure of DR and TY in relative quick succession. We could speculate what/who/why there is a lack of stability e.g. personalities, method of funding going forward, some individuals pulling too many strings etc. but there will be another period without a permanent CEO.
The two interviews, considering that they were a follow up to a significant RNS were, IMO, completely vacuous with no information on the detail going forward re: Protos, Ireland, GTIC, funding of such, etc.
For a senior member of a company to use phrases as "fill me boots" for me, completely beggars belief and just makes me run for the hills regarding any type of significant investment. Those interviews, albeit undertaken with very poor questions, were a complete lost opportunity with regard to giving clarity on the future plans of PHE, not even a mention of an AGM.
PHE are now attempting to move ahead on three main fronts - Protos, Ireland, GTIC project, just where is the money coming from ? ....................Oh, let me think !!!!
Too much smoke and mirrors here for my liking, which I thought PDD, with his 29/6 update, was in the process of sorting out but something / someone scuppered his chances. Very little confidence in how PHE is being managed now and it will need a mind boggling level of clarification for my confidence to return for a long term investment. Ill keep taking the 20% trading opportunities as and when.
HW won't lose a penny if the original intellectual property holders of DMG want to work with him. Obviously he isn't going to cry his eyes out all us to view.
HUI, appear to have the existing IP and already created distance between the original design by claiming the original design is under evaluation and improvement? However, nothing with either company be taken at face value that is proven. Always majority mystery, muddle, confusion and disorder.
Recall the Peel NRE, took a three mllion quid loan from PHE and far aware I couldn't find that loan in the company Peel NRE? I guess the loan to be converted exchange 50%? Wherever that loan may be?
PHE have by getting rid of more money losers saved themselves a fortune. Regardless of who pulls the strings or trigger today's news does hold a little bit of positivity? You join PHE, to bring in investment, no investor no job goodbye.
We now know, we are certain that there is no DMG until Match 2023 or later. The company is I estimate ten to fifteen million quid out to develop fully a successful sellable commercial DMG. Obviously I expect HUI, to acquire a lot of knowledge from this foak. Idea they should pay PHE this access?
HUI, appear to impress they be fully funded to bring V2 DMG to market and do I believe?
Ireland is dead unless HUI find an investor and first all that certification needs to be sought and for that require an operational DMG or whatever version they bring forward.
Note. Hw, brought AFC into the market from raising funds. This time around at this moment no white Knight has arrived and regardless who was the cornerstone investor today there are a lot of very rich people locked put out of funding UK companies and many more that are without a risk appetite. Maybe his luck has run out here? He may later ask was it wise to split his wealth that early into another company (HUI).
Time will tell.
Add. Most of you reading haven't seen DMG functional ? No one seen the protype many years three, four + years? No photos, no video, no news coverage the 3 ton a day machine no longer exists in the public this a serious credibility problem?
Thanks Doc,
And I do understand the 30% rule. However I understood that a Rule 9 waiver was part of the takeover for Waste t Tricity. Nether the less I withdraw the comment that a family member could purchase more shares as they could be deemed to be in concert with Howard and force through an offer. Which could be a breach of the restriction on detriment to other shareholders.
He will find a way round that.. he will make his move sooner or later..
I suspect it was his game plan right from the start.. he is playing a strategic game and don't think he has anyones interest other than his own for one minute. This won't end well.. IMHO
And finally,
Howards view on the changes. Well as he has 5 million reasons to be concerned yet is happy with the outcome. Then I for one, am all in still as well. I still didn’t see the point about his restriction on share purchases. As there is nothing to stop a member of his family increasing their shares. I could be wrong. But I understood that there is a restriction that he cannot use his position as a major shareholder to the detriment of all other shareholders. I fail to see how buying more shares fits that restriction.
MJA
Well, I have to say that it was not unexpected if you compared the audited accounts and reports since Keith Riley has been on the scene.
For information only, Myles holds 58 Director positions within the Peel Group including MD of Peel L&P Environmental and a seat on the main Peel BOD. So, I see no loss or gain keeping him on the board. He still remains a director on the SPV. As for Gill. She is still available for advice on her expertise. So once again no loss.
Extension of loan period. What is better being just a provider of loans with interest or a full partner in the build. That’s for individual investors to decide. Do I stay or go.
Statement by CEO.
It is the intention of the Board for the interim Chair and myself, to evaluate and re-assess the composition, scale and relevance of the Board ensuring its alignment with the strategy being created and deployed in this phase of the Company's evolution.
The outcome of these evaluations will include options for the Board to consider and implement where appropriate. It is intended that a permanent Chair will be recruited in quarter three of 2022.
Once this process is complete, the Board's focus will be on continuity, stability, cost, and effectiveness.
It looks like the evaluation; composition, scale and relevance has now taken effect. And been acted upon by all parties affected including the current CEO. Perhaps compared to KR he felt out of his depth. Anyway, no loss in my view as marketing director would be of more use.
Plot 10 B works. This is my own personal view.
To all who have asked when the build will commence. It has already and can continue onto the plot 10 B itself from September 1st.
I expect that SISK will carry out the groundwork's within the plot itself as they have all the necessary plant and labour in on the park already. It is also possible that the pet plant on Plot 13 will use SISK as well for some of their works.
They are more than capable of creating the concrete pad for the plant iron works, plus the circular road for HGV movements around those Iron works and even the building of the electrical plant room and management offices.
With luck the plant manufacturing side has either been awarded or is in the process of being awarded. September was mooted.
Exclusivity agreement.
My understanding is that the exclusivity agreement is for the 11 original proposed plants and only for municipal waste.
As municipal waste only represents 10% of the country’s waste output that leave 90% for industrial, commercial and construction waste.
Something that KR with his contacts at Veolia are fully aware off, I’m sure.
Section from Local Government review Dated June 2013
In fact, local authorities manage just over a tenth of the total amount of waste generated in the UK. Figure 2 shows where household waste fits into the larger picture. Nine-tenths of the country’s waste is generated by businesses, not householders. There is huge value in waste and as an economy.
MJA
I think this last round of news is sink or swim. Lets hope its the latter.
So to summarise, Keith decided to cut the crap, get rid of the ceo and non exec who have doen what exactly, take a 50% stake in the spv and basicly say FC in March? Does this mean the build time has been kicked down the road again?
And the MMs seem to be unfazed by it all.
GioingGoingGone.. Correct.
The real problems began when PHE got into bed with W2T
I don't go on about it.. there is no point.. however.. Howard Weiss runs this company now.. he appoints and gets rid of.. and the problem is.. he can't raise cash because nobody in the city will touch him.. this has been obvious to me for several years and why I've gradually sold down.
In the no opinion drop down there should be a category "God help us".
Hopefully whoever employed PDD and Yeo and many more on the board over the years have nothing to do with any future employments.
Thanks for the link Doc!
Certainly a lot happier now I've listened!
Howard stands to lose a lot more than me, so if he's ecstatic about things, I guess we all should be!
Just got to wait a little bit longer, but I do like his predictions of where the share price will be eventually!
The CEO is leaving boohoo. Big deal. Has anybody seen him or heard him? He was virtually non- existent. When I read his first communication with us as shareholders starting a sentence with “ I have been the CEO for 11 weeks or so” I knew it was bad news.
He came to the Board with his friend Russel who left after 3 months and Paul was left alone. What has he done in his glorious 6 months? A deal with HUI. Did he come up with a new location? A new partner outside of the U.K. Did he even try to communicate with the shareholders to tell them what his take on the technology is, what is the future of the Company. Nothing. How can you weep after a CEO who wasn’t there. We don’t know what exactly was he doing all day long. The AGM is coming and nobody wants to be publicly humiliated. So he left. Fantastic. One less mouth to feed
The woman there was simply because the companies are desperately trying to be politically correct. So she couldn’t handle it and she doesn’t want to be humiliated and voted off at the AGM either. What has she done ? Any help for the DMG?
The Peel Man, as I can only imagine is very busy. Let him focus on the SPV, why should he be on the main Board.
It’s a very positive RNS, the Company is dynamic. It rejects its spoil fruit quickly and effectively.
Existing Board is fantastic. That’s all that counts. The company has money in the bank to keep going forward.
I like his enthusiasm and belief. Let's hope he is right and Keith does indeed lead us to success and a sp many multiples from where it currently languishes.
I entirely agree Dr. Anomaly! Most of these moves are things that have been mentioned on these BBs as "wish list" items, and now we have it. PHE back in control. I just hope the they find a good CEO quickly, not like last time.
But I would have preferred to get rid of Peel's exclusivity option. I just don't see the point of it, and I hope it doesn't prevent PHE going into JVs with other companies and local authorities.
I see this as a positive move to take PHE and Protos forward. Too much procrastination and not enough action from the Board.
GB
Dr A I admire your optimistic analysis of the RNS and I hope you are correct about this being positive. The big question most shareholders still want an answer for is WHEN will the Protos DMG build actually start? I need someone to interpret the stuff about the non binding agreements regarding the SPV and March 23 etc.
I think you are basically correct although I suspect that HW's influence has made it difficult for the board to act fully independently. I think Kitchener found himself in a highly conflicted position and just had to choose. And as for Gill I never understood why she was there.
There is quite enough money in the bank to get this moving forwards and a 50% ownership to get a share of profits plus the license fees isn't a bad deal.
When the CEO leaves after being in post for five minutes and then another 2 neds efffectively resign, sends a very bad message about the company culture. I may be someone is stirring things up internally or there are some problems with delivering the promises of the technology. Time to reflect.
So, PDD standing down and others not standing for re-election. I'm 60% down on investment and am seriously now looking at selling out completely. This just seems to be a cluster**** of a company and share price is so far away from less than 2years ago when I first invested at 10p. Definitely one of my worst investment decisions it would appear. I hate crystallising losses however now may be time to bite bullet and take short term pain. It's getting embarrassing.
HW ?
Mass exodus? Wonder what is triggering so many people to resign/not stand for re-election.