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ANIC shares made a low of £8.90 on 23/10/23 and made a higher low on 22/12/23 at £9.35. The stock hit a high of £11 on 22/11/23 and the high so far today is £11.50. So a higher low and now a higher high. We could finally be seeing a change in trend.
Nano,
thanks for your explanation.
But you've missed the point.
In the final accounts the 30/06/23 valuation has been raised from 15.8p to 16.94p a share
THEN there is are 2 uprounds at Meatable and Clean Food Group, post period, with ANIC gains of £3.9m and £5.37m, exactly as you say.
Yet we also know the NAV as at 30/09/23 is reported as 16.48p. (0.46p a share LESS than 30/06)
THEREFORE there is a drop not a rise in NAV per share.
I'll contact their investor relations to see if I can get any clarification.
"RNS 03/11/23 states the NAV per share as at 30/09/23 is 16.48p/share. And as at 30/06 was 15.80p"
Changes in the NAV happen when portfolio companies raise new capital at valuations that differ from the last time they raised capital. Between June and September of last year, Meatable raised £30m, which means Agronomics stake increased by £3.9m, and Clean Food Group raised £2.3m, resulting in an unrealised gain to Agronomics of £5.37m. This accounts for the jump in NAV between quarterly calculations in June and September.
Particularly that :
RNS 03/11/23 states the NAV per share as at 30/09/23 is 16.48p/share. And as at 30/06 was 15.80p
RN1 27/12/23 states NAV per share as at 30/06/23 was actually 16.94p/share.
So the NAV jumps 1.14p for 30/06 with no explanation. It also means the NAV/share drops in Q3, despite ANIC saying in interviews the NAV will be worth around "20p a share by the end of 2023" in I think interviews in November.
I'm feeling a bit irritated by what appears inconsistent/sloppy presentation of the numbers!
Hello,
I've been trying to reconcile the 30/06/23 report and particularly the valuations of holdings. There is a pie chart at the bottom of the Chairman's report on approximately page 4.
The problem I've got is either somehow holdings are magically revalued upwards by approximately the post period activity of the 30th June, or the pie chart is not as of 30/06/23.
Has anyone else realised this and can offer any perspective?
Thanks
the shellbay agreement is indeed very fishy and lacks transparenty in terms of what actually was delivered and for what service they charge. while it is written down in the contract, the actual value that is created stays a secret to the shareholders. the very fact that jim mellon is director or owner or both of either company such as agronomics, shellbay, and galloway comes on top of the huge amount of money transfered for 2023. not sure how to justify ~3 million pound while the average founding sounds rarely are above 1 million in the past months.
also, did anyone calculate whether the "high watermark threshold" as a reference level was correctly applied?
3 million while having barely more than 20 million in cash is actually really generous considering that this would be better invested in the existing company or share buy backs which actually have been announced and still not taken place yet - integrity where are you?
not feeling good about the accumulation of weird underdelivering companies, ****ty sp, taking net profits as a reason to celebrate themselves while shareholders see nothing, and the shellbay agreement.
what rights do have as shareholders with the shares we hold currently?
I dislike the terms of the Consultancy Agreement, where Shellbay is entitled to 15% of any increase in the NAV, especially because Shellbay is controlled by Jim Mellon, Chairman of the Board. It's difficult to say whether the NAV is correct as none of the companies Agronomics has invested in are publicly traded. The NAV gets adjusted to reflect the current valuation of an asset when a new funding round happens. That said, if its largest investment, Liberation Labs really will begin generating $25m in FCF a year from 2025 onwards, then I think the shares are significantly undervalued.
NT... On large buys!!
Get in!
If *
Thanks - I got confused by Stockopedia’s cash entry (which actually includes ‘short term investments). Not sure short term investments is the correct classification. Anyway, considering a punt here given discount to NAV. Question is, is the NAV correct? From what I can see the majority owner gets paid a few million of the NAV goes up - fishy
Agronomics has a little more than £18m of cash on the balance sheet, it has £170m in total assets, most of which is made up of its portfolio investments. It raised capital in the past by issuing equity not debt.
Apologies I’m being a little lazy with my research here but how/why does the company have 170m of cash on its balance sheet and no debt? Thanks
@RWT2: Some of the companies have indeed overpromised and underdelivered. Here is a quote from Blue Nalu's press release in 2021, announcing the acquisition of $60 million in convertible funding:
"BlueNalu plans to introduce a wide variety of cell-based seafood products from its pilot production facility in San Diego. The company anticipates starting with the launch of mahi mahi later this year, followed by the launch of a premium bluefin tuna thereafter. "
More than two years later, no product has been brought to market. The plans to launch with mahi mahi have been scrapped. Is it just regulatory challenges or something else? I don't even know if or when they have filed for approval.
Adding to this, Eat Just have been selling cultivated meat in Singapore for more than two years, but there has been no scale up in quantity or improvement in cost or quality as far as I know. I believe they are selling at a loss.
I remain a believer, but it would be nice to see some more products to market. Perhaps Metaly can burst into 2024 like a wild stallion fresh out of the starting gate, triumphantly delivering vast quantities of pet food that will revolutionize the world for the better. Maybe Formo's new eggs, promised for the end of 2023, will hit the stores and make a splash. Or perhaps Blue Nalu will finally get their act together and start selling some of that Bluefin Tuna. This may be the year when cultivated meat and precision fermentation have their big breakthroughs at scale!
Having just read the September RNs and noted that the shares in issue are the same as today I would like to think that new year tick up and tipsters tips point to an imminent RNs showing a reduction in shares of 1.5million!
10.22 / 10.36
Great, it's not NT today.
When it's NT I want to sell,
When it's not I don't!
I'm in profit!!
... And breathe
My first delve into agronomics was in early 2021. Never thought this would be less than eight to ten wait for a meaningful return. I am still of the same opinion. Continue to add modestly on lows.
As far as the 31p option goes I will stop buying before it is reached.
I think this is a big part of the share price problem that most of the portfolio companies have consistently overpromised and underdelivered. They now lack credibility.
Even potty Scotty from Stockopedia is contemplating sticking a toe in here, that’s without having conducted much research into the actual holdings by the sound of it. He didn’t like the fact 5hT the profit booked is all from the rise in value of the holdings which he thinks is probably generous even though the company maintains the values are conservative. Who knows, the are worth whatever someone is prepared to pay. Should be a little clearing when refunding is required. There is the possibility of a public offering from at least one holding and maybe a couple more getting product to market. If that happens and the shares recover enough for people to exercise their warrants they shouldn’t need another fundraise. A bit if. A question I put to Anic without reply. Even if they were unable to answer, a reply would have been courteous. A shareholder says he had a meeting with the directors and was impressed. Directors usually are impressive, that’s how they get the job. Time to start delivering. Where is Meatly launch we were promised by end of last year?
Mail on Sunday's Midas column has included ANIC as one of its share tips for 2024 - schroll to end of article.
https://www.thisismoney.co.uk/money/investing/article-12912237/amp/MIDAS-SPECIAL-Joanne-Harts-tips-shares-showing-mettle-2024.html
PD
I have a feeling something significant will eventually move the SP up, whether its Liberty Labs completion or a Portfolio Company going public or announcing a breakthrough. The Economist article did not help confidence. This may be a slow burn.
Profits, nav etc double,
And trades go NT!
Hopefully in 2 weeks the sp will go vertical
Still waiting on the launch of ‘Meatly’ scheduled to be in uk pet shops by end of year. Main concern is will they be able to supply and keep up with demand. They talk about wanting to satisfy pets and pet parents. Sounds like they might be looking at the gourmet end of the pet food market. Hoping this could go global
Yes, I was wondering about the share buyback too. Could it be that they never intended to go through with it, and just mentioned the possibility to shore up the share price? Otherwise, the report looks promising and I think we can look forward to an exciting new year, 2024.
Strange still no mention of the share buy back. Will they even bother now and forget they ever mentioned it !!