Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the 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.
I topped up with 600,000 shares at about 10.30am this morning.
The slide has been worrying and I’m averaging down.
The spread means it takes very little movement for us to be underwater or nicely in positive territory.
GLA.
Getting silly here now, I reckon lots of stops being hit as lots of puddly trades.
Have traded TRX this year between 0.5 and 0.7 as took the view this would not be the transformational year in terms of share price. Have come back in today with a small position of £5k at 0.488 and will look to add if the price moves down towards 0.4 which is possible. Believe a move back to 0.7 will be achieved in the next 3-6 months and of course much more potential further down the path. GLA
Removalman - Having spent most of this year in the blue, this was not the finish I was anticipating.
The slide continues and a complete silence from management.
Lack of any news is starting to be a worry.
Who else is underwater?
Jeez what a barrel of fun you guys are. You have no idea whats going on so why speculate with your doom and gloom? The wider market is the same , chill out.
Have to look at Dec/Jan/Feb as now being the low season ...just hope Texas doesnt have a repeat of that crazy power situation of last Feb
I agree..this winter shouldnt be as bad as last...last winter private hospitals were full of COVID patients too..which hopefully wont be the case this winter..if the new varient kills off the Delta one and isnt as bad
And given that sales were sustained over 2020-1 with a small increase in overall profit shows that TRX can weather the storm. This winter will be nowhere near as bad as last for operations etc. So TRX's sales should be better than last year and I'm confident in the new management team. Smith and Nephew and Intuitive Surgical all operate in the US and report quarterly. They show a mixed picture for Q3 2021 but generally an upward path for number of operations.
The SP is certainly being pushed back by Omicron and the fall out from Covid in general, as the whole market feels the volatility in different ways that actually make little sense. Add to that the way all small caps trade on AIM and all you get is misleading confusion by following the SP.
But what matters is how TRX is trading in the real world and all the evidence is that with hospitals getting back up to full speed, and beyond, after the lockdowns that they are very likely battling like everyone else connected with health care to keep up with the demand.
My concern is, that whilst I have great faith in the product, it's the circumstances we find ourselves in that could do the real damage. TRX has weathered many storms, but can it bounce back from this?
I know people say that we probably won't hear anything significant until February - maybe it's my impatience, but surely they could say something remotely positive now?
Sorry to sound glum. COVID backlogs etc are bound to affect the SP, we just have to wait and see whether or not this is another storm that TRX can battle
GLALTH
the whole sector has been suffering recently but especially today. In tonight's LSE email you may have seen the following already:
Cellular Goods (CBX) 6.85 -5.52%
Verici Dx (VRCI) 52.50 -5.41%
Anpario (ANP) 675.00 -4.93%
Gunsynd (GUN) 0.975 -4.88%
N4 Pharma Plc (N4P) 7.80 -4.29%
so although it's not great the sp is falling it's most certainly not company specific. Could be a bit of manipulation but i think negative-covid sentiment has crept into the sector and has yet to be lifted.
The SP has fallen about 25% in 3 months - but on tiny volumes of sales and purchases (except for 4 October).
With its specialised treatments I think it reasonable to assume that sales growth will take some time - even with the easing of US Covid restrictions.
I'm under water but happy to hold this very speculative share until some firm news is received.
DYOR
@Ginandmilk same here, don't like the tone, but the pattern is there so who knows... let's hope it's true and we get a nice Christmas present.
I think someone asked whether he had inside knowledge and there was no response.
Bendis, I know who you're referring to, they posted more or less the same comment on the 3rd. I've always found their posts to be a bit rampy if you like, but to be fair I haven't noticed a pattern between what they say and what TRX does.
I really hope you're right.
Hope you are right mate! It would be good to get more regular communication and updates. Its been too quiet from CEO.
There is a user on uk advfn forums who seems to have insider info and posts hints about upcoming news. I first thought it was just wishful thinking, but it's happened several times and it doesn't seem to be a coincidence... In any case, the respective user has just posted "TRX sales strong RNS soon."
Let's see if he/she is right again :)
Pokerchips is just bad timing with Covid 19 ; is the company viable yes
Problem is scale and cost of production , to compare like hiring a jumbo jet with only 20% seats booked but need 80% to break even.
Product top class ; long term investor at moment we are near the two year cash reserves which is a worry.
Surprised to see SP at this low level.....but guess emergence of omicron variant.....& focus of NHS on massive uplift if booster jabs.... hasn't been helpful. SP was regularly bouncing around between 64/70p....but dropping on daily basis at the moment....
pokerchips
I'm not to trying to start an argument, just saying what concerns me about this company's prospects.
Agreed, if covenants are OK, loan facility will continue. Whether it would be extended is another matter.
platoh
hummm
you have selectively picked bits from my post
...I did say " as long as the covenants are OK and payments are OK then I am sure the credit facility would continue/extend IMO " which you didn't add
......yes...whenever covenants fail then ...of course...the facility is reviewed ...common practice
@Pokerchips
"I have never heard of a lender who wants their money back if the debtor is up to date with payments"
But that is exactly what happened in 2019, TRX were in breach of their loan covenants, not failing to make repayments.
https://www.lse.co.uk/rns/TRX/update-in-relation-to-loan-facility-mzxim8cjxyt3cnf.html
That led to the fund raise and dilution of existing shareholders (except this who were lucky enough to buy in to the discounted new shares).
Just saying, it could happen again.
There have been some quite chunky sells today forcing the price down. Probably in response to the falling price and thus exacerbating and creating/justifying the very reason for their selling! There has been no news from the company and I prefer to assume that they are quietly working hard running the company and not running to the press release button trying to find something positive yet empty to announce. Hold fast until the Feb results and hopefully there will have been enough elective surgery to keep the ship afloat. From what little data there is it would appear that the US and UK are keeping elective surgery going. Fingers crossed as ever!
" and whether they will be extended/rolled over "
I have never heard of a lender who wants their money back if the debtor is up to date with payments ....it is their business to lend
so..as long as the covenants are OK and payments are OK then I am sure the credit facility would continue/extend IMO
Thanks, Pokerchips.
12 months is not a long time. If it's not cash generative then, another capital injection will be required.
The other worrying thing (for me) is when loan repayments are due, and whether they will be extended/rolled over. The company may live on, but in the hands of bondholders, with shareholders wiped out. That's the risk I see.
2020 annual report:
"Term Loan: 5 years to June 2024. $2m current facility. Interest maximum 6.75% above LIBOR RATE. Repayments of $167,000 per month from July 2023. Maturity analysis as detailed in note 15.
Revolving Credit: Repayable in full on June 2024 at the latest. $3m maximum drawing. Interest maximum 4.5% above LIBOR RATE.
... The MidCap debt facility is subject to revenue covenants."
My guess is that the company strategy is to develop the products/market and business to the point where one of the big boys with deep pockets wants to buy the company.
" I'm also a little concerned about cash burn "
H1
Cash position for the Group at 30 June 2021 was £6.6m
Cash and cash equivalents at start of period - £9,550,000
Cash and cash equivalents at end of period - £6,557,000
Administrative expenses before exceptional items - (£4,442,000)
The business at the moment is actually quite simple now that the expansion is complete.
In H1 the cash burn was about £0.5m a month , giving about 12 months of cash (at current revenue/expenses)
COVID restrictions have only really come into play just recently...so July/Aug/Sep/Oct ....may well have seen a better situation in Europe as vaccine levels have improved on H1 levels..as well as the generally better US area
Clearly the key winter period of Dec/Jan/Feb will no doubt hinder normal elective surgery operations as COVID becomes the issue once again.....although the new variant seems to be pushing more un-vaxed towards getting vaxed