The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen 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.
Also strong points on funding options.
Not delisting. No imminent fund raise. Ongoing discussions with partners on stronger footing.
If they had done a better RNS this would have risen this morning given the previous very weak share price performance.
I agree Volmer.
The RNS was terrible.
The presentation was very strong.
I think this could fully recover today as investors reflect on what was actually said. And considers that against the current market cap.
I approached todays meeting thinking that management had somehow failed in their approach to negotiations with potential XF-73 partners.
Having heard managements' presentation and answers to questions Destiny:
1. Has a better phase 3 program costing less than half of that previously planned.
2. Plans for an enhanced XF-73 proposition including MSRA.
3. Can now resume negotiations.
4. The timescale does not seem significantly longer.
5. XF-73 has been de-risked.
My thoughts are the basic XF-73 business proposition has been enhanced. The delay is not earth shattering. Funding is an issue and management have the urgency to dela with it. My confidence in management has been increased. We have heard nothing to indicate a change in the fundamentals of the products or the business.
I recall one broker forecast sp of around 275p a few months ago. I wonder what they forecast now?
I was hoping a rabbit could be pulled out of the big top hat but all that came out were some promissory notes for 2025.
When CT was appointed he was revered as the new Paul Daniels, well the school report has just come out and the headmaster has noted what he has produced, the answer being "not a lot"
As in the case of Neil Woodford the former now disgraced fund manager who was the darling of the stock market, past success is no guarantee of future glory. I am sure CT is probably just as unhappy as the pi's but the big promises are just that at the moment. We all know money is in short supply for bio's so a company has to produce something startling to gain traction. Dest has a lot going for it but it needs more meat on the bones to get that elusive deal, that'll take much longer, the market doesn't like waiting, that's why they are where they are with the sp.
Well you are aptly named 'nofear'. I am fearful for sure. But saying that the company has £6M in cash which sort of values the company and IP at £8M. That sounds like a lot but in company terms that is tiny so I see some upside. But given the slowness of the company to get underway on the trials - perhaps the board should volunteer to work for free until a deal is done or product emerges? I know those guys aren't short on cash - nice idea but don't see it happening.
I believe in the science and can see the long termd rewards....Great Opportunity to accumlate....
Well falling into the AIM trap of trying to pick the bottom. But bought a tiny bit more as the Market Cap of the company is only 14m! Could lose it all but if any of the Destiny story is true could make a load of cash. Big 'if' though..... Is that a pump? not sure? Need a magic 8 ball!
My earlier post on 15th April has proved me right, more kicking of the can, cannot get a deal that satisfies the company, nearly two years now! CT may be happy with the progress but his appointment hasn't exactly been a light bulb moment.
"That was before that terrible rns. Everybody had high hopes the back end of last year then JW sold and all hell broke loose. CT released that rns which compounded the issue and it's been downhill ever since. Most people inc me expected a deal at the latest Jan '24 but because the rns stated that phase 2 trial might have to be done again people started to be scared and started to sell. CT has not done anything to address people's worries, that says to me the discussions with the companies with a view to a good deal is not forthcoming.
If in the eventuality Dest has to go it alone for the phase 3 trial then a large fund raise will be necessary, that is why the sp is where it is.
They say no news is good news but in this case it's the reverse. Most people's stop losses have been taken out inc mine at 32p which I have stated. If good news happens then I will be back, we all await the update next week to see where the land lies but I fear it will be more kicking the can down the road with promises of a future deal. The market will not like that and the sp could drop further to around 10p. My views which I have said before are that Dest could go private or go on the Nasdaq. To drop from 80p down to this level shows a lack of communication from the board to address people's concerns.
When CT was appointed with Sir Nigel coming back as well everyone thought it was a slam dunk but unfortunately it hasn't worked out as yet and my fear is it won't. GL all, alamo🤘😎"
I fear this is the crux of the problem: 'prevailing perceptions of the commercial potential of antibiotics.'
Bit depressing. I will tune in at 11. Undecided as to whether I'll buy more.
Management Q&A should be an interesting watch on the Investor Meet Company website at 11am.
Dont forget the 3 day rule
Same mear added 20000 shares.
I just added 10,000 as I think the drop a bit over done. I tend to trade in and out of small caps based on news and momentum.
Van I don't like it but having followed IMM for years I know that biotechs take years to take off. The science here seems very good, the management....not so much.
This comment was embedded in the RNS "Currently, the review is not actively considering an offer for the company", which kind of implies that an offer for the company has already been received and rejected.
I'm watching the games here. Firstly Peel Hunt open higher at 22p bid, 3 other mm's open 22p offer. Then Bego opens lower and Peel drop back to 21p bid, then Peel switch and do a big drop to 20p offer and they are joined by Wins so 18-20p now with Peel on both bid and offer and this is all before a share is traded.
For a £20M Mkt Cap they have a lot in the stable, Unfortunately very little is moving forward.
Hopefully the new phase 2 trial with Sebela can be conducted fairly quickly and move quickly into phase 3.
Unfortunately all the time delays will cause more dilution in the future.
I think we will see a 60% drop on the opening
Formerly are you serious? They have been negotiating a partnership deal for xf73 for nearly 2 years and now they are saying they need to change the phase 3 trial as it’s not attractive enough to go into partnership. Along with the fact that they don’t have any form of income there will be huge dilution this year and next.
Great RNS the only way is UP!
No fear do you mean the only way is down?
I thought it was positive and think 2024 will see more progress on the nasal product.
No further progress, lack of interest in xf-73 is extremely worrying. Misleading that funds will last until Q1 2025 as current funds at the start of this year will only be enough for 12 months operating costs. As I’ve said numerous times there will be a fund raise in August this year. Then looks like there will be further massive dilution next year to fund phase 3 internally. This has been a lifestyle business for Bill Love.
The only way now is UP!