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Kenj maybe it's the way I've put it down, but as I said they had to suspend because of the funding situation also stopping Odey offloading driving the sp down at the same putting Odey in the same boat as the rest of us. Up the creek without a paddle.
I think that, that would be a very foolish and dangerous thing to do AParky.
The forced selling by a major shareholder will adversely affect the share price, but not half as much as the shares being suspended by the company.
Business can be cold and ruthless; one thing for sure if this goes into administration it will be taken out swiftly. The casualties will be current share holders getting wiped out.
Poor management that perhaps had become used to putting the hand out and getting it filled, simply left it far too late regarding getting a deal of some sort done.
The technology will not be lost, that’s for sure, just somebody will get it for debt and pay nothing for all the development costs…
Such is the life of the investor!
As well the funding issues they may well have sprung the suspension to stop Odey offloading and letting them share some of the pain the rest of us are having to go through.
Bit of a sad reflection that this kind of project that was on the verge of treating patients within the next 6 months can't raise funds. There is plenty money swirling around I guess if someone does step in it will be on a ruthless basis without a thought for existing shareholders. That's partly why I always thought the existing major shareholders would sort an amicable arrangement that looked after their interests and therefore ours. Totally baffled that with all the assets and visible development they're in this position. Hope somehow it keeps going and that us shareholders retain some value in whatever it becomes as this is currently very costly certainly didn't see it coming after 230MeV and all the discussions regarding 20 potential customers. Seems like the loss of 8m at the 11th hour is yet another killer blow of which there have been many here like a cat with 9 lives not sure if they've ran out as can't say I'm familiar with companies getting into this kind of mess. And who bought all those millions of shares over the last few weeks just doesn't add up.
A heartwarming story, Meldrew! Of course you could argue they’ve already put *some* money into the CLN, especially the Chairman. And they may not exactly have £2m lying around at home. But you’re right, there’s the opportunity for both them and us to become rich if they can keep things going. I reiterate - 250 investors paying £50k each would raise £12m and keep the lights on until year-end, in which time other fund raising would take place. And at the price funds would be raised right now, these investors would own a meaningful chunk of the company. I’d participate, because under this plan I think the company would survive. It can be done. It just needs this useless BoD to stop being fixated on a debt solution.
Not forgetting the enormous cost of converting Harley Street to accomodate LIGHT. AVO will be snapped up by a big pharma for less that the cost of installing ONE conventional proton therapy machine.?
IWantThatOne.
Your suggestion that the BoD put their own money in reminded me of a what happened in my local city years ago when the bus and coach industry was denationalised and broken up. A group of middle managers in the local section of it put themselves up to the hilt in debt - remortgages, bank loans, etc - to buy their local bit. They knew their industry, knew exactly what they were doing, had the courage to do it and are now all very rich men. They were the opposite of the BoD of AVO who should know what they've got but don't seem to have the courage to do anything about it.
AVO should have been a resounding success but could never be because it had an incompetent BoD who have been several paces behind events for the last ten years.
They regularly acted idiotically, for example, winning several Chinese contracts on the basis that LIGHT was ready to go as long ago as 2016. The contracts were signed in a highly publicised ceremony attended by the Chinese leader and the British PM, David Cameron It was highly embarrassing when all the contracts were cancelled. AVO had to pay back a large chunk of money they had received from their Chinese agents. There have been other strange incidents over the years.
They got away with everything because of LIGHT
The Board have been one pace behind events throughout the last nine months since 230MeV. The short term measures they’re now investigating should have been underway three or six months ago. An offer to be bought should not have been sat on until the last minute (or possibly after the last minute). Reducing the nominal price to facilitate an equity raise should already have been in place. But despite themselves the Board can still save things - put in £2m yourselves, guys, to give time for the EGM to be called.
Thanks for the vote of confidence iWantThatOne.
However, it takes time to call to call an EGM, and time, like money is something that the company is very short of.
You have to go back more than a year to when the sp was above 25p (it was 26p on Mar 16th 2022)). That is the last time that they could have offered to sell new shares via a Placing or Rights Issue, to new or existing shareholders. For over a year the Board have known that they cannot issue new shares to their own supporters, yet they have done nothing to address this issue.
A share reorganisation to 1p will not harm or dilute existing shareholders as they would then hold 25 times more shares than they do now. Then the company could offer new shares at say 1.75p, a discount to the prevailing 2p sp. They were advised to do this years ago by a previous lender, Bracknor. They chose not to heed this advice then, and I doubt they will now.
Instead they have criticised investment on the LSE and invited investment, or a partial take-over from companies listed on the American market, but have so far drawn a blank. The one funding option that the company was pursuing has collapsed, and their shares are now suspended as the company faces running out of money.
To answer a previous question - I first invested in AVO in 2013, but disappointed by "treatment of first patient dates" constantly being pushed forward, sold out some years back. LIGHT looks to be a great product. It is a shame that it is in the hands of these clowns.
It’s not lack of orders that kills a business, its lack of cash. I do hope we have not reached that stage in the. The AVO proton system is evolutionary and the development work and intellectual property must be worth something to someone, (Varian, Siemens, Elekta, etc?).
We will have to wait and see. GLA
Surely Kenj’s option has legs - call an EGM and then raise £2m at the current price of 2p (=100m new shares) each month until the loan and/or other options come to fruition. Don’t tell me they couldn’t raise £2m. Anyone would welcome dilution rather than see their investment disappear completely. I suppose the solution would depend on what the other “short term but not immediate” options are - quantum and timing. If they just need to keep going for one month, max two to get there, then don’t let it fail now.
No not good at all difficult to believe they haven't got options on the table with all this development and a working machine sat in Daresbury doing nothing.
No mention of the strategic review or Nasdaq. No clue if that has come to naught. Just can’t believe this will end up going into administration, it’s hard to conceive.
Sometimes you have to accept how lucky or unlucky you can be in this game. I almost bought these this week unaware of the accounts saga and others did and they have to pray they come back now which is not a cert, got plenty of other stocks suspended so know how it feels
Yes no trading from today and who knows if ever again.....BIG ouch!
:(
Suspended today 7.30 no trading. Ouch
Suspended Monday 3rd July @ 7:30 I think, today last effective trading day till lifted.
?
The FT said that OAM was having to liquidate a significant amount of its investments due to redemption requests, so it’s plausible that their AVO sales are simply part of that.
Agreed and whilst the OAM sales will not be helping the sp their reason for selling is not related to avo's current financing difficulties and it does look like someone is happy to pick them up. As mentioned the French counterparty could be holding onto their very large accumulation. Difficult to read into what this all means but hoping it is a sign of a positive outcome....why else would anyone buy all these shares and not to forget the large investments recently made by significant shareholders including Board members. Trying to remain positive but feeling like a piece of wizardry like a light machine is required.
It looks like OAM’s 5m share sale yesterday was snapped up in one go by someone - a little stake building? We’ll see. I also wonder if the annual results will be delayed a little whilst this plays out....Come on guys, just a little £50m investment from a partner in a convertible loan note and I’ll be perfectly happy.
Over £200 million as far as I am aware
Looks like the seller is Odey, which suggests to me that the French guys were probably making a speculative grab for cheap shares.
I cant see this going completely to the wall. The IP/research/patents are worth something to someone, as is the potential returns for a successful product for market. The debt has to come off that. The offer would have to commit to further investment to keep this viable to the production stage.
How much has been spent/invested to date, anyone know?