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Some more 'SPAC spec.'
Another potential energy storage RTO into ARA, to Superdielectrics, could be this impressive privately-held British battery tech company:-
"Power to make a difference.
Delivering a step change in energy density by creating class-leading battery materials to realise a more sustainable world.
Batteries are critical for meeting future energy demand, but what if we could use fewer of them?
More energy.
Less space.
Nexeon’s silicon anode material replaces graphite in traditional battery cells, dramatically increasing energy density."
https://www.nexeon.co.uk/
"Applications
Today's challenges require new solutions.
Electric Vehicles
Lithium-ion is the dominant battery technology for the electric vehicle market. Nexeon can help to produce lighter, cheaper and more powerful battery packs.
Wearable Devices
The wearables market continues to push the boundaries by delivering more features and performance in smaller devices. Nexeon can enable a significant increase in space and mass efficiency.
Medical Devices
Specialist batteries face even more stringent design constraints. Nexeon can help to improve the overall user experience and comfort for those reliant on these critical devices.
Consumer Electronics
Devices from cameras, power tools and drones to laptops and phones are in need of high power and high charge and discharge rate battery capability. Nexeon materials are compatible with high power applications."
https://www.nexeon.co.uk/
"Our Technology
The next generation of battery materials, ready for use today.
Our technology has unlocked the potential of silicon-based anodes, delivering a step change in energy-dense materials. Backed by over 170 patents and an extensive portfolio of industry-leading cell manufacturing and automotive partners, we are paving the way to a sustainable, electrified future.
Harnessing the power of silicon
Silicon has ten times higher specific capacity than graphite and is capable of holding more lithium in a given mass.
This means it has enormous scope to make cells with a higher energy density. Silicon is currently being adopted as a partial replacement for carbon in battery anodes, but problems arise from expansion and contraction when the cells are charged and discharged.
Nexeon's NSP1™ and NSP2™ flagship materials have overcome this hurdle, making silicon anodes a viable transformative technological solution at scale.
Introducing the era of Generation 2 battery materials."
https://www.nexeon.co.uk/technology
And interestingly, the company's website states that it is "perfectly positioned to scale our business" ... which suggests that it could be an ideal time to float:-
"About us
Nexeon is a global leader in the development and manufacturing of ground breaking silicon based anode materials, dramatically enhancing the performance of Lithium-Ion batteries.
Our leadership team boasts decades of experience in inventing and bringing new technologies to market across the chemical, battery and automotive industry. Our talented teams come from a wide range of industries and academia, including from leading companies of battery material chemistry, major cell manufacturers and Automotive OEMs.
With our HQ based in Oxfordshire, UK and a technical centre in Yokohama, Japan, our scientists armed with expertise in inorganic chemistry and synthesis, electronics, battery technology and process engineering, are perfectly positioned to scale our business and provide a strong base for supporting our partners and customers."
https://www.nexeon.co.uk/company
I recall you posting similar articles on (NZI). That went through the floor. Maybe you sold out there, and decided this was the next illiquid vehicle to take a stake in.
MrMagorium,
I never posted speculation about a specific potential RTO target for NZI.
But very soon after I started posting positively on the company (with my first posting be on 10th. May last year at 2.1p), it announced on 19th. May 2022 the planned RTO of Taylor Construction Plant Limited and Solar Highways Limited, so my general speculation that it could unveil an RTO deal soon was spot on.
Unfortunately, the deal was later aborted, with NZI saying this:-
"Due to market conditions, the Directors of NZI believed that they could not raise the funds required to complete this transaction."
That was a failure on the part of NZI, and can be contrasted with the approach of ARA:-
16th Jan 2023 7:00 am RNS Post Year End Operational Update
" ... The Company has actively and selectively reviewed potential international acquisition targets since listing and at the same time the Board has taken soundings from the investor community to seek to best fit investment appetite with the opportunities available. ..."
https://www.lse.co.uk/rns/ARA/post-year-end-operational-update-f1xlki1k79z5hfg.html
5th Apr 2023 7:00 am RNS Annual Results
" ... The Company continues to actively review potential acquisition targets at various stages of development and operating in a number of geographic regions, all of which have potential global relevance. We also continue to take soundings from the investor community to thereby best fit investment appetite with the opportunities available. ..."
https://www.lse.co.uk/rns/ARA/annual-results-sh8jczl4e5vp28l.html
I.e. ARA are making sure in advance that investors will back the deal, and the board looks very credible and well-connected for this purpose.
ARA also has wonderfully low cashburn - for better than NZI's - and is trading at a big discount to cash.
Here are some of the other shells I've posted positively about, ahead of them unveiling RTOs at much higher s.p.s:-
1. CRES.
Suspended at 3p: intended RTO 4.625p:-
https://www.lse.co.uk/rns/CRES/statement-re-suspension-wnqgwbqiqbdoda4.html
2. TMOR.
Suspended at 0.95p: intended RTO 2.25p:-
https://www.lse.co.uk/rns/TMOR/acquisition-megasteel-and-suspension-of-trading-ccsbb9s9yt991oi.html
3. ROC.
Suspended at 4.7p: intended RTO 7.86p.
https://www.lse.co.uk/rns/ROC/potential-reverse-takeover-suspension-of-listing-ryf9u6tg0kix1sg.html
I think that most investors in shells would settle for a three out of four success rate, don't you?
Hedgehog,
The tcp deal failure wasn’t NZI’s fault. The investors who had previously committed to the deal became spooked as a consequence of the rapidly deteriorating market conditions arising following the Truss/Kwarteng economic policy debacle. Whether or not those policies would ultimately have paid off or not is anyone’s guess, but the market reaction to them soooked a lot of people at the time u can’t hold NZI responsible for the choices made by 3rd parties, especially when they’re influenced by factors outside of NZI’s sphere of influence…
L
IMO hedgehog ramps any cash shells they can find to try and make a quick buck. When they see a company doing well they start advertising their own interests on the BB, whilst talking down the potential of the company that has naturally started to realise value. That's up to them, I just think it's slimy, because a good company speaks for itself. It says a lot about the integrity of a person when they follow that approach.
Agree with them though that this company has a better cashburn than NZI because the directors don't appear to be taking fees. So could be a good company. Haven't researched the directors backgrounds, or intended targets, but I like the fact the BOD aren't milking it.
Not invested by the way, but Hedge advertised on a board of a company that I had an interest in. I do hold a position in NZI. Not doing very well on that one unfortunately!
From ARA's prospectus dated 5 April 2022:-
" ... The Directors believe that their existing relationships will enable the Company to access investment opportunities in the Global Renewable Energy Sector Supply Chain. In particular, David Fitzsimmons and Guy Ranawake provide the Board with considerable experience and in-depth knowledge of the global renewable energy market. The Company will continue to conduct research and regularly monitor the renewable energy industry for potential targets. ..."
https://aurarenewables.com/investors/
In Messrs Fitzsimmons & Ranawake, you could hardly wish for a more ideally and impressively suited pair of directors to attract and arrange a great green energy RTO:-
"David Fitzsimmons, Non-Executive Director
David Fitzsimmons is highly experienced in the energy business, in both executive and non-executive positions. After a 27-year career with BP, from 1978 to 2004, he served as CEO of the UK listed renewables company Novera Energy for 4 years, from 2005 to 2009. He has subsequently advised a number of other renewables companies, including serving on the strategic advisory board of Braemar Energy in New York from 2005 to 2020.
Currently, David is a Member of the Technology Expert Service at Imperial College and has been since 2019, providing support and guidance on the commercialisation of its technologies, and has been a member of Pearlstone Energy’s Advisory Board from 2018.
Additionally, David is Chairman of Locate in Kent (appointed in 2015) , the Inward Investment Agency for Kent, as well as a Governor of Skinners Kent Academy (appointed in 2011). David has also been appointed as a director of the Skinners’ Academy, with effect from 1 January 2022. David was made Chairman of Dig Deep in 2021, having been a director and trustee since 2017, a charity that brings clean water and hygiene training to rural communities in Kenya.
Previously, David served as a director at the Renewables Energy Association (REA) from 2007 to 2009 and the International Petroleum Exchange (IPE) from 1996 to 1997. He resides in the United Kingdom."
https://aurarenewables.com/about/
"Guy Ranawake, Non-Executive Director?
Guy Ranawake is an experienced financial professional with considerable experience in the renewable energy space. He is currently an Independent Adviser to a variety of technology-focused SMEs including Exagen (from 2020) (a grid-scale solar and storage developer), with a particular focus on business strategy and capital raising. Most recently, in December 2021, he became a Designated Member of SRC Partners LLP, an LLP set up for the purpose of fund management focused on private market opportunities in the sustainability and energy transition space.
Guy is also Chair of the Dalgarno Trust, having been appointed in November 2020, a charity that aims to improve the lives of those living in North Kensington, London.
From 2016 through to 2020, Guy was the Senior Investment Director and Fund Manager of Ingenious Group, an Alternative Investment Fund Manager (“AIFM”) authorised and regulated by the FCA, where he managed infrastructure and infrastructure technology funds investing in renewable energy assets and technology providers, involved in businesses such as smart grids, electric vehicle charging, and energy efficiency solutions.
He also has prior experience at Evercore (2008 to 2015), Barclays (2007 to 2008) and Citi (1995 to 2003), where he held director positions in their respective Energy and Infrastructure teams. Guy has been an Associate of the Institute of Chartered Accountants of England and Wales (“ICAEW”) since 1993, having qualified with PWC (1990 to 1995). He resides in the United Kingdom."
https://aurarenewables.com/about/
"IMO hedgehog ramps any cash shells they can find to try and make a quick buck."
LOL, well in that case MrMagorium I must be the luckiest investor alive, to have such a successful hit rate!
In reality, I actually look at scores of shells, and only a tiny minority measure up against my very strict criteria of good cash underpinning, &/or near term deal likelihood.
Those I will buy, with the intention of holding through suspension for the RTO.
That is hardly a 'quick buck' by the standards of many penny share traders, as suspension is likely to be for a while, but a return of say 100% in a year is excellent.
CRES, TMOR, & ROC would give an average uplift of c. 86% during suspension (based on suspension price to RTO price), and with ROC I first tipped it at 4p, well below its suspension price of 4.7p.
ROC actually rose to 6p shortly before suspension, before falling back, but I held tight to all my shares.
And you can get a good post-RTO aftermarket rise too.
If I've alerted you to a good investment in ARA, then what are you complaining about?
You're actually getting a free ride on all my hard work and experience.
I hardly ever post negative comments on shares, and my comments on IX. at 18p, following its rapid doubling, were fairly neutral.
A NAV write-down for a company trading at a massive discount to NAV can actually be a blessing in disguise, if the new NAV is seen to be up-to-date & credible.
David David Fitzsimmons' previous renewable energy company, Novera Energy, was taken over for £112M.:-
"Smaller companies: Novera agrees to takeover deal
Peter Stiff
Saturday November 28 2009, 12.01am, The Times
Shares in Novera Energy powered up yesterday after the wind farms group finally agreed to a £112 million takeover by Infinis Energy, its rival, which is backed by Terra Firma, the private equity group.
The group, up 1p at 77p, has been the subject of a bitter takeover battle for a number of weeks, with both sides trading blows over the company’s valuation and future prospects. ..."
https://www.thetimes.co.uk/article/smaller-companies-novera-agrees-to-takeover-deal-2568krqp9rl
"DEALS NOVEMBER 27, 2009 5:01 PM UPDATED 13 YEARS AGO
Novera accepts offer from Infinis
By Reuters Staff 2 MIN READ
LONDON (Reuters) - British renewable energy company Novera NOEN.L has accepted an improved takeover bid from private equity-backed Infinis Energy, bringing to an end an takeover battle that dates back more than 18 months.
Infinis further increased its offer to 77 pence per share, after buying a 3.5 percent stake from a shareholder at that price on Friday and taking its shareholding to above the 50 percent threshold required for its bid to become unconditional.
The offer values Novera at about 112 million pounds ($184 million) and represents a 76 percent premium to Novera’s share price on the day before Infinis made its initial 62.5 pence per share bid.
It is still below the 90 pence per share price at which Terra Firma-backed Infinis had tried to take over Novera last year.
Novera, which owns landfill gas sites, hydro power stations and two operational wind farms, had repeatedly rejected the 62.5 pence bid and also rejected an offer earlier this week of 75 pence per share. [ID:nBNG532097] Novera’s board said on Friday that it considered the revised offer to be fair and reasonable and recommended shareholders accept the offer. ..."
https://www.reuters.com/article/us-infinis-novera-idUKTRE5AQ3BL20091127