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Seems to be a lot of people on here very keen for the people to sell and for the share price to go down which is an odd attitude for people who hold shares
Here since IPO! I feel sick.
Must be odds on to trade well below placing price as people start to realise their mistake and cut their losses.
Always a big red flag when directors don't put their money where their mouth is.
Anyone go on the call the other evening ?
I registered but then thought it would 1. be another back slapping exercise 2. Ignore any difficult questions 3. Basically reiterate what a great job theyre doing and give basu another massive pay rise and a slug of options- so didn’t join.
Madness,or plain stupidity. I have fallen for these snake oil salesmen twice, having first invested on the advise of Questot in the DT. He long ago apologised and set get out of Kromek. Doing the same thing over and over and expecting a different result is indeed madness.Sorry for typing errors but am stunned at people still falling for this pathetic company asking for more money. The BOD and Basu are not investing at this pathetic low 5p offer. Clearly they only see fools putting money in.
Is there light at the end of this long, dark tunnel or are we subscribing for another sucker punch? Past history suggests the latter.
Watch out for the 'good news' RNS likely to be issued just before the subscription closing date in an attempt to shore up the SP.
Better to remember that the KMK printing press is currently in overdrive and near ready to spit out another 160,000,000 shares.
Any market suddenly flooded with ultracheap paper has a tendency to tank.
May be best to see what happens after May 26th.
Don't buy this until you see a massive directors purchase by Basu and co. I'm talking where he buys £1M+ mortgages his house and gets personal loans out. The whole board. Until these Muppets have some skin in the game I'm not buying. I have an alert on to see directors purchases.
Look people don't buy any more than £5k which is what Basu bought and he's the CEO. And he was probably forced to buy the rest of the board so it looks ok. Buy seriously, £5k? That's pathetic. Unless you know more than the CEO.
People are still actually buying this stock. Some people just never learn. Basu and his pals are investing nothing, or peanuts at this this give away price. That SHOULD tell wise investors ALL they need to know.
Restructuring doesn't tend to be repayment. I suspect they will repay some and defer some to a later date.
As the move into profitability surplus cash flow should allow the debt to be repaid.
I still expect them to be bought out as current valuation v ip is a gift imho
Key fundamental questions
1. Gross proceeds of 7 to 8 Million, after fees, probably net proceeds of 6.5 to 7.5 M. Probably need to repay the HSBC debt which is under waiver for breach in covenants, around 4 M. Plus the Convertibles due in January 2.8 M. In total, 6.8 M for debt restructuring? So nothing left for growth R&D, ,… anyways if the figures above are not right, serious disclosing about the debt restructuring is critical to approve the capital increase.
2. There will be need for another capital raising in early 2024.
3. If KMK is the only independent CZT detector manufacturer, how is possible their sales are ridiculous when the last 2 year nuclear CT / SPECT etc. had huge growth globally. So only GE and Cannon sell those devices? So who are those tier 1 and tier 2 OEMs who signed with KMK? If they are tier 1 and 2 they should have sold lots of devices in 2022, who was the CZT detector supplier? Something does not add up, they should be serious disclosure above these contracts as well and who are the OEMs.
4. Anyways, there are many companies globally developing same CZT detector solutions in places where there is very mature supply chains and much lower manufacturing costs … How KMK is going to compete with them in 2 years time?
The 5p v underlying value is too low they have left the door wide open for a takeover aquirer will be able to gain a large stake for a relatively low figure imho
After very deep thought, I have decided to take up my full allocation of the offer, costing a princely £22. It was either that, or buy a few lottery tickets; KMK came out marginally on top!
Same Truthfactory and think this is the worst possible time to sell and offer cheap shares to market. Cash now sorted.
IHMO DYOR GLA
Question raised - Dr Basu & Mr Farquhar can you disclose your level of participation in the recent fund raise?
How would you respond to the question that your level of participation does not seem to reflect yours and the Chairmans statements about opportunities and growth? What should investor read from your level of participation and the confidence in the business moving forward?
I personally am in and believe things are moving in the right direction. The business will become a good business, revenues now appear to be materially growing. I also believe that the current management team have destroyed huge value over the years and made significant mistakes, for this we need to understand the price they pay.
I think he bought 100k shares, e.g. £5K.
Which puts people who buy more than £5k in the absurd situation where they are buying more shares than the CEO. Stop being naive people!
The price has dropped considerably so i would say KMK is cheap now.....i also like SBTX......both on the top risers, so let hope for a good day as this has dropped considerable of late .....i know the placings don't help
That is the question to ask at the investor meeting that has just been announced. Is he also buying in the open offer? The statement reads like he is not taking it up. WHY?
It's totally insulting that Basu just bought a token £5K worth of the new placing. That's totally pathetic. The guy is the CEO and even he doesn't think his own company is a good investment.
If it was this time on the cusp of greatness, the whole board would have mortgaged their houses, and taken out loans and bought as much shares as they could. As yourself, they know the company more than us. Why wouldn't you do that if you knew it was on the cusp of greatness? I've looked at the holdings the directors have and unless I'm mistaken, it's hardly anything. It says 0% for all of them (someone correct me if I'm wrong).
It is essential that they get to profitability this year and with recent contract wins and more likely to follow they look like finally they are getting there. Let's see what they say in the webinar good luck to holders
Baf3 - New investors need to stay away. Please tell me what has changed.
- The Company has raised £15 million before expenses through the sale of new ordinary shares at a price of 51 pence per share in an oversubscribed fundraising. At admission, the Company will have a total of 107,607,335 ordinary shares in issue.
Arnab Basu, CEO, commented: "We are delighted with our oversubscribed fundraising. After many years developing the business and our technology, Kromek is ready to begin harvesting value"
- Kromek, a radiation detection technology company focusing on the medical, security and nuclear markets, is pleased to today announce a conditional Firm Placing and Open Offer to raise up to £11.0 million before costs at the Offer Price of 25 pence per Ordinary Share;
"Kromek has made good progress this year, in which we achieved a lot of important operational targets, increasing our customer base and strengthening our relationship with our OEM partners. This fundraise underpins our plans to realise the value of our technology"
- Firm Placing and Open Offer to raise up to £21.0 million at the Offer Price of 20 pence per Ordinary Share
"The present fundraising will considerably strengthen our balance sheet, underpinning our plans for the sustained growth of the business and supporting increasing commercial activity through the deployment of our proprietary technology. Kromek has made good progress this year, in which we achieved a number of important operational targets, enlarging our customer base and strengthening our relationship with our OEM partners. This resulted in significant contract wins over the past 18 months which have given us forward visibility over revenues in excess of 85% of market expectations for the current year."
- Proposed conditional Firm Placing and Directors' Subscription to raise £10.0 million through the issue of 66,666,667 Placing Shares to new and existing institutional and other investors at 15 pence per Placing Share
"The net proceeds of the Transaction will be used to de-risk and commercialise bio-security/pathogen detectors and increase the rate of commercialisation, to expand sales and marketing for the Group's nuclear detection and medical imaging activities and to strengthen the balance sheet and provide the Group with flexibility to address and capitalise on the current and emerging opportunities"
The recent price of the fundraise was disappointing to say the least. For new investors dare I say it looks a very decent entry point. The underlying value of their business is significantly above current share price making it highly likely it will get snapped up. Good luck to all holders let's hope it starts a rerate and gets to a much higher price before a bid comes along imho
I can't believe ST has wrote another article encouraging more small investors as cannon fodder to throw their hard earned life savings at this outfit.
The definition of madness is doing the same thing over and over again and expecting a different result. How many rights issues do you think Kromek needs to be a going concern?
I see that the market this time didn't buy the ST write-up. SP is still falling. Crying wolf once too many times on this "cusp of greatness" line.
If Joe Biden announced they were putting a £1 Tillion order, it wouldn't budge the share price. In fact it will probably go down as Basu has primed the market to expect a rights issue after good news on the "we need more money to ramp up" line.
Just sell, take the loss and move on. Basu is a total idiot and will destroy your money
Thanks Warren.
Now have contact with the chair who said he would email what I will write to the rest of the board - as many are on the various boards such as audit and remuneration non execs all appear useless.
A bit busy for the next couple of days, the problem is keeping all of the issues down to less than 4/5 pages.
@skid35: Natalie (Heslop) is Basu's P.A. - her email is: Natalie.Heslop@kromek.com
You should be able to email Basu and the CFO, Paul Farquhar, using the same format.
I would also suggest contacting Kromek's spinmaster, aka Harry Chathli of Gracechurch PR:
t: +44 (0)204 582 8787
m: +44 (0)7843 660 220
e: harrychathli@gracechurchpr.com
He was no doubt the mastermind behind issuing the announcement late on a Friday before a long weekend and seems to control all external communications.
I had a call with Basu and Farquhar a couple of months ago (Chathli was on the call too) and they told me they buy shares in the company whenever they're allowed to, but there are very limited opportunities because of closed periods. Well, here's a great opportunity to have some skin in the game and what do they invest? £5k. Yes, they're just SO excited about the “substantial opportunities with which we are presented”...
The lack of regard for long-standing shareholders is astonishing. Basu has overseen a huge destruction of value, yet it's never his fault. It's time shareholders voted him out - the company has some good tech and needs a much more commercially-minded CEO to lead it forward, if it's going to stand a chance of making it. Not sure of the best way to drum up support for a motion to get rid of him but the LSE and ADVFN boards would be a good starting point. The Chairman should go too - he's asleep at the wheel, just submitting to all of Basu's requests to keep funding his losing project.
The release of these laughable "research" artticles just prior to the announcement are just as offensive. Where is the FCA to stop these blatant market abuses?
For what it's worth, please contact the FCA regarding your insider dealing/market abuse suspicious. I already raised this with them and submitted an online form over the weekend. I'm not accusing Kromek themselves, but somebody in the cosy loop that Kromek has established, whether it was a broker, MM or another participant, knew about the financing announcement and acted on it.
Best of luck and let's keep the pressure on to see if we can help salvage something from this train wreck of a company.
Can anyone help me out here I have no idea what the open offer is or what I need to do. I am an existing shareholder. My limited understanding is they will issue 1 share for every 26 shares I have but do I need to fill out an application or will this happen automatically? I don’t understand the RNS at all.