The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
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Elrico, your update today is brilliant. I think i know where you are fishing. Wow!
Aquae,
Loved the snake oil joke. I'd forgotten that.
Ref CFO salary. You make the point I also laboured some time ago. IMHO, this will be evidenced in due course. I have gone on a fishing trip. I'll report back in due course. IMHO, there is another Croda in the offing! Wait, what!!
With the possible exception of two underwhelming videos, yesterday's presentation was excellent.
It was good to see SA clearly and firmly layout SBTX's strategic direction and upcoming deliverables at the same time as rebutting the negativity that has been much in evidence recently. His message was clear and to the naysayers a very direct., 'F*** off'!
Thanks bubsythecat for your post with TW's latest. It's the closest he'll ever get to an apology but I suppose a start in the right direction. As for our local trolls, e.g. Oleric and Belgrano, they've gone very quiet. Probably choking on humble pie!!
There is still a lot of negativity about Manprit. Agreed, he doesn't come across well in presentations but why should he? He's a bloody accountant not a marketeer. Given his background, he would have been all over the Dermatonics acquisition. A gem of a purchase and clearly an excellent fit for SBTX's strategy
The manner in which SBTX is developing, albeit slowly, IMO both SA and MR are perfectly entitled to their salaries. Even those before yesterday's announced reductions.
Chief, can't help remembering the old joke triggered by your name about the Red Indian Chief with terrible indigestion who sent his squaw to the Doctors for a remedy. The Doctor send her back with a tablet that would help the Chief break wind and alleviate the problem. Next morning the Squaw returns to the Doctor and says Big Chief no fart, so the Doctor doubles the medication and tells her tat should do the trick. Next morning the Squaw is back, Big Chief still no fart. The Doctor says it really should have cleared the problem but reluctantly doubles the dose again. Next morning the squaw is back at the Doctors. The Doctor says, don't tell me Big Chief still no fart. No shouts the Squaw hysterically. Big Fart no Chief!
Now I am not suggesting you take any dodgy tablets but you do need to cut the Board some slack now. Whilst the Axis figures are small in number, the retention rates are impressive and you need to consider that the figures were not aimed at pi's rather than multi-nationals where it screams out if you have a decent marketing budget for a relatively modest once off outlay you can attract a whole new Customer base that will remain loyal for years and take a generous share in future revenues in return. Also, Manprit was brought in for his "Company Acquisition" experience rather than his internal accounting skills and if the Umesh Modi deal which he would have been well aware of during the Dermatonics due diligence process proves as lucrative as I believe it will, and other acquisitions when finances permit, deliver the synergies promised, then he will be well worth his salary so let's see how things play out before judging too harshly.
Waggy, I do think you’ve got a fair point on the CLN, but I also take SA’s point that with barely any income the company didn’t have many options for the first acquisition. And how now we have the productive asset of Dermatonics other financing options are open to us. From the figures given, if conversions happen at the same rate the agreement will have worked out to be a cheap one, and although it may go on a while it does give investors that understand the situation properly the chance to squirrel away some shares that are being artificially held down. If SA converts the financing to a term loan or similar that wasn’t previously available then I would be very impressed with the agility. My overarching point is that although it has had a bad effect on sentiment, anyone with half a brain can see it was never a ‘death spiral’ and if it has all blown over this year it will be quickly forgotten about and we will have benefitted to the tune of a great business in Dermatonics.
I’m really pleased with the presentation and its contents. It’s not exactly been a transformation, apart from downwards, but I’m really encouraged by the clarification on the Croda doubts held by TWs sheep, the executive pay cut which I think is fair and necessary and the other minor updates mentioned. This business was valued at £100m on the hope of an Axis which launched well enough to break the company even. That did not happen though it remains a smaller and growing iron in the fire, but the combination of Croda commercialisation, on top of the Dermatonics sales and the Axis sales should get us to break even and remove us from the ‘jam tomorrow’ territory. I’m confident this will get us back to the 100m valuation. If the management team can sort the financing out and keep adding positives to the activities going on in the pillars then a 50p share price is realistic this year IMO. Much more if Croda goes down a storm.
Great news that a croda deal will happen and not a binary bet, but only a 13% rise on this news just reconfirms what a total f..k up the CLN is. I want to buy more but can’t bring myself to do so yet because we know that from the start of April the forward selling is highly likely again. I would expect yesterday’s rise will pull back and I will buy more then knowing that it could still go lower. If it doesn’t and I miss out then I have a big enough holding anyway. The fact it only went up 13% suggests many expect the same.
The main point I took from the presentation was that the Croda deal was happening, no doubt. SOH has said previously that if it went through then it’s worth £1 to share price. This is a no brainer.
How manprick could spend all that time on the retention etc numbers on a subscriber base of less than 550 is laugable- how can the guy do that with a straight face
Just watched the presentation - not bad and some potential good but one thing is still clear to me - MANPRIT IS A GIANT WASTE OF MONEY and despite how hyped up he was he came across to me pretty awfully
Brilliant analysis. When will the full update be ready?
It was very good to hear that the Croda deal does allow the company to produce own label goods, hence the second acquisition is for a wholesaler. I would expect a product to be also sold through Dermatonics as this fits with their ‘science based’ approach.
Tom Winnifrith Bonus Bearcast: Skinbiotherapeutics interims
There were good points. There were bad points. On balance we loyal shareholders should be cheered by this. But this is still nor risk free. I discuss in detail.
Looks like TW's scaremongering will cause his acolytes to miss out - my 9.1 average not looking too bad now... I wonder if he was buying whilst they were selling????
First class presentation. Very honest and upbeat about the prospects of Croda etc. Stuart’s comments that the staff have been buying this morning was very telling I thought.
A very encouraging presentation that confirmed the project with Croda is going ahead: https://www.investormeetcompany.com/meetings/interim-results-286
I haven’t had time to watch the investor meets presentation but the buys and share price indicates the vast importance of good communication with PI’s.
Likewise. I bought 43,000 this morning before the presentation. There was a clear explanation as to the different stages in the Sederma development and confirmation from them that they will complete this (this year) in five years rather than the norm of seven. Also indicates how difficult it will be for a competitor to enter the market.
Has greatly calmed the nerves. For me everything still on track and thankyou to all those that caused trouble and the sp drop as I have bought more.
No SP target set but SA reinforces that he and MA are incentivised to hit their 80 and 50p targets. Also comments that they intend to buy more shares but are prevented from doing so whilst the current acquisition is ongoing.
Agreement expected with Winclove to reduce the retail price of Axisbiotix.
A clear rebuttal in the presentation to those saying the Sederma deal is binary. It is now in the very final stages and the launch will take place this year.
SA provides a clear rebuttal to those that say
Thechief, waggy makes a very good point regarding the Croda risk being when not if, a point I have made on several occasions to TW who was calling it a binary bet over whether it went ahead at all, so that is a real positive. I would also not to be so quick to dismiss the Axis Ps product, you are right to point out the dismal sales to date by Skin's own limited team, but the acquisition of Dermatonics with their experienced team and the appointment of World Products to grow sales on Amazon could be a game changer. Axis PS Customers are over 80% retained for life so once off spends to introduce to new Customers could well result in a much larger Customer base going forward. Finally, I would like some more info on the Umesh Modi forecasts, hopefully greater clarity will be provided at the Inv Meets
“ Clinical studies well progressed and set to conclude in early summer which will be immediately followed by finalisation of the manufacturing process and commercialisation which will run concurrently”
Not sure how to take the above paragraph from rns. It’s written as if croda is a done deal, no comments like “if successful.”Wonder if SA will clarify today.