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Sadly this is the reality of 'investing'. How many more companies we own that will eventually go to zero, but we just don't know it yet and probably think we are going to make money with these bargain oversold shares etc.
This company perhaps looked like it had prospects, a great rescue story etc but in reality there is nothing special or unique with it's products.
I hope it can come back with some kind of refinance plan but I doubt it. If you are a full time trader the potential loss can be offset against other income, if a regular investor it's a capital loss for the new reduced CGT terms, if an ISA or Pension investor, nothing to offset.
If they can't refinance the company then yes, he'll lose a boat load.
But, I wonder if they go into administration, can TB do some sort of pre-pack f*ckery and sail into the sunset?
does tb not lose **** loads of his investment here
I would say that cash was running out, the sale of Petrel appeared very desperate. I expect they got the court summons for the winding up order, Hastily added FAB as a shareholder, then decided to rejig the executive positions, partly as they couldn't milk any more salary after May (prior year they took 396k between them). CFO resigned as he knew it would go bust, his notice finishes on 10th May. Now they can go bankrupt, but it wasn't on TB's watch as he is now only a NED. He is also not connected to FAB (See holding RNS) as far as companies house goes, so if FAB want to buy it out of admin they can. Whether that is a wise decision or not, well never know. The Chamberlin we knew was systematically drained of cash by the board, maybe it is profitable if run honestly? Game set and match Trevor Brown. I sold out remainder last week at a huge loss.
Would it not have been wise to pay the electricity bill with funds of the Petrel sale?
What the fck have they spent the cash on!
Curtains here?! :-(
With a placing on 12 weeks ago...... knew Trevor could never be trusted
Has he really put all of the money in from his own pocket... mmmm i wonder
Trevor Brown, Executive Director (29.9% shareholder) is intending to subscribe for shares via a direct subscription to maintain at least a 25% shareholding
What a shock.....
So they've not being paying the electric bill?
Am I reading that right?
Ffs
Looks like karma kicking in for old Trev
Someone not paid the electricity bill!
Where the fck is this going?!.... Honestly the last three years investors have been spun a yarn.
Suspended
All valid points, Radagast. We knew the risks and accepted it would take time to turn the Company around. What's not acceptable is an incompetent Board telling us they are steering the ship into positive territory when they have not!
Working capital requirements will be large for the business, payment terms likely to be pushed to 60 or even 90 days. While the price increase is essential it'll take some time to materialise.
I'm worried about the cash flow here, are they paying their suppliers on time if not then it's pro forma invoice and will further distress the situation.
The debt in general is massive, Foundries tend to be low profit margin companies in the UK, the competition from east Europe and India is hammering nails in the coffin quickly. The lessons learned from covid about having a western supply chain are quickly being forgotten.
Uk power prices are uncompetitive coupled with huge renewable obligations, wages are high and the uk supply chain is very unpatriotic with little regard to its ever shrinking capacity.
We’ll see what happens during the rest of this week. There were a few trades yesterday which looked like more accumulation. The MC is tiny now. Despite the curveball RNS I still think we’re undervalued
Yes, Lawrmyer2. Wish other "big boys" would do the same. MC needs to >£3m to make me confident again.
Interesting to see that Armstrong has increased their holdings
Would not surprise me!
I sold half last week. Have I been shafted, guess I’ll find out in due course
Bet we get a delayed TR1, and i bet it's Trevor's bookshop company. £50K in 3 buys last week at knockdown price
Liabilities are in the reports.
There was a hefty overdraft, that could be called at any time.
There are also lease liabities with interest rates of c.3.5 to 9.4%, but I'm not sure those would could as debt.
The problem is they're a bunch of C U next Tuesdays.
Nothing is straight forward, all subjective ir seems.
Anyone in striking distance of the factory in Walsall? Might be worth having a look, chat to the lads heading in to work...
In the 9th Jan RNS it says,
"...and in September 2023, the Company agreed a Time To Pay arrangement with HMRC in relation to PAYE arrears of £1.7 million over the following 12 months, which are expected to be paid in full in September 2024"
But in this week's trading update it says,
As previously announced, balance sheet debt following the sale of Petrel Ltd has greatly improved and the Company remains focused on paying off the remainder of its legacy debt within the next 12-month period (excluding the remaining pension deficit and HSBC invoice finance facility)
What does 'remainder of its legacy debt within the NEXT 12-MONTH PERIOD' mean ? Won't they have cleared the HMRC debt by Sep this year? 9th Jan was roughly half-way through Q3 2024.
that 2m was what was shaken out of pis yesterday. i hope it is w black buying and not fab. tb's voting power needs to decrease, they have taken the **** with this.
I suspect the chap William Black having increased is holding recently is the likely buyer here.
But where is the stock coming from?
Most of the institutional holders are fairly passive, apart from Miton who has adjusted up and down along the way.
Two individual 1 million purchases yesterday and today.... Who is adding 30k to this?!