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I'm hoping the results may be due out this week; they can't be far away now. 2015's were announced on 3 March 2016, whilst 2014's were announced on 21 April 2015. Although, the Bod have probably decided to incorporate the changes arising from the new Indian accounting standards, which probably has caused a delay, I would not expect that to push them later than the end of this month, unless the Indian subsidiary's refinancing/fund raising and the probable IPO also delays them. At the current mcap of just £43m, IMHO we may reasonably expect a re-rating once all has been made clear.
Thank you for the source of the report. The SP is moving up nicely today and it may be the case that with those very large bargains yesterday that the large persistent sellers has gone. I am an accountant. I doubt that anything other than reflecting the new Indian accounting standards will show in the Accounts when they are published and it is possible that it may be a one-off adjustment. I look forward to reading them so as to know, as it may or may not have an impact on the mcap going forward. The debt financing is a drag on the company's profitability, but this will not be the first time that they have refinanced to improve the cost of debt and raising funds through an IPO of the subsidiary will naturally reduce the debt and therefore the cost going forward. All in all positive. So, on balance the potential reward here IMHO outweighs the risk.
I don't see what else any of us would be doing differently if we were MYT - raise money, reinvest profit to keep growing as the industry is moving so fast. They had cash on the balance sheet and refinanced for better terms last year so clearly focused on the biggest risk being meeting their repayments. I put a lot of value into whether I rate the CEO and I think Ravi Kailas has always come across really well, with a lot of integrity. Now it's Vikram Kailas as CEO (was a little unsure) but I saw a video with Vikram at the world energy summit trade show (or something like that) where he was talking about MYT having a 50 year horizon. That could be a worry (never see any returns) but I see it as a positive (being built to last). My two concerns are: (1) anything overlooked or missed or fiddled in the accounts that has now been found with moving over to different accounting principles; (2) the idea that they might want to take MYT private at this price and what that would mean for the sp. I think neither are worth the drop. They've already said there'll be a non-cash charge (I think) on the results but the cashflow should be strong as per the TipTV interview you mentioned. I doubt they would try to take MYT private as the sp would surely jump and defeat the purpose plus the investor reputation damage it may do for the future. So I'm invested and have topped up in 10000 share chunks over the past couple of months but I'm into the land of feeling uncomfortable with the amount I have invested in an AIM company now. And the question: what do others know that I don't? On balance the logic is there even if the drops make me doubt myself.
* Don't know why it removed the link when other links are here. Anyway if you search: "ReNew Power IPO" it is the article from the Economic Times India. Title of the article is: "ReNew Power plans IPO to raise up to $600 million" by Mohit Bhalla, ET Bureau | Updated: Apr 07, 2017, 11.18 AM IST
Thanks saintpeter7. Here's the article: http://economictimes.indiatimes.com/markets/ipos/fpos/renew-power-plans-ipo-to-raise-up-to-600-million/articleshow/58056084.cms I think MYT raised money a couple of years ago (maybe from GE) that valued them at $300m so all these valuations are taken with a pinch of salt but $2bn vs. £40m is a bit extreme, surely.
Just found the following relating to refinancing the company's Indian subsidiary and an update regarding the IPO http://www.livemint.com/Companies/Djntx9LXoLzPCZ2ILqJ42K/Mytrah-Energy-in-talks-to-raise-Rs1800-crore-from-Piramal-C.html?utm_source=dlvr.it&utm_medium=twitter So who bought or sold today. Was this a major investor buying into MYT in the knowledge of what the livemint story reports? Will be an interesting day tomorrow. Makes me think now is the time to top up my holding.
Hi Monkf6 thank you for joining the bb. Looking again at the bid and ask at that time, I agree that they could indeed have been buys. Also, yes, the SP has been marked down by the mms, even on days when buys have outweighed sells. The Chairman said that the sharp drop in December was due to a persistent seller and the same has happened since mid-March. With the size of today's trades if they were buys by the same investor, being above 3% (I think), we should see a TR-1 in the very near future. We have 3 institutions owning more than 3% each already. IMHO, the current share valuation really undervalues the company. The company's brokers Cantor Fitzgerald have a 135p target value on the company! There are the rumours about the company's Indian subsidiary looking to have an IPO. I am not sure what effect that would have on MYT's SP if it had one; presumably a very favourable one because of the value released, compared with its current mcap. I'd love to know what is really going on! The comfort for me has been the TipTv interview on January 6 by the executive vice-president Bob Smith on how he saw the future for 2017. I haven't seen the article about ReNew. Can you point me in its direction please?
No idea what's been going on here but it's prompted me to register for an account to comment! Is it possible that some of these "sells" are actually "buys"? How else could the share price be up today? And vice versa there have been days recently when there were far more "buys" than "sells" and the share price was down. If someone knows how/why this can happen, please educate me. Did you see the recent article about ReNew Energy raising money that values them at $2bn. Unless I'm mistaken, ReNew Energy have roughly double the capacity Mytrah have (2GW vs 1GW) and yet the valuation is certainly not double.
Anybody know why the massive sales this morning - something like 4% of the issued share capital for £1.7m. And then the subsequent buying.
If your interested Im following the following shares Eua - Eurasia mining Omi - Orosur Mining Myt -Mytrah energy Dkl - Dekel oil Matd - petro matad Jlp - jubilee platinum I only holding shares in eurasia mining at moment
Keep close eye on the trades if you see alot of buying jump in, the seller is still about, and I sure there shorting this. Double dipping to recoup there investment then buy back at cheap price through different broker, Co is good although alot of debt, but had revenue to cover it, not sure if you read the article in Feb, Mumbai: IDFC Alternatives, the asset management arm of IDFC Ltd, is looking to exit its investment in Hyderabad-based renewable energy firm Mytrah Energy India Pvt. Ltd, ahead of the company’s proposed initial public offering (IPO), said two people aware of the development. In September, Mint reported that Mytrah had started preparations for an IPO to raise between $250 million and $300 million. Mytrah had hired investment banking firms Nomura Financial Advisory and Securities (India) Pvt. Ltd and IDFC Bank to manage the share sale, Mint reported. The company, in preparation for its IPO is looking at various options to restructure its balance sheet. There is a feeling that it is debt heavy. One of the options is to give IDFC an exit,” said one of the two persons cited above, requesting anonymity, as the talks are private. In 2011, IDFC’s infrastructure fund, under asset management unit IDFC Alternatives, invested Rs350 crore in Mytrah through a structured finance transaction. As of 30 June, Mytrah’s long-term borrowings stood at $752 million, data from its website shows. In April 2015, Mytrah raised $60 million in debt from Merrill Lynch International and Aion Direct Singapore. In November 2014, the firm raised another tranche of debt worth around $70 million from Merrill Lynch International and funds managed by affiliates of Apollo Global Management LLC. Also in April, The Asian Development Bank sanctioned loans of up to $175 million to Mytrah to back the power producer’s new wind and solar projects. ALSO READ: India to achieve climate change goal earlier than thought In October, Mint reported that Mytrah Energy was in talks to raise around Rs800 crore (about $120 million) from Piramal Enterprises Ltd’s Structured Finance Group (SFG), to refinance its existing debt obligations. A spokesperson for IDFC Alternatives declined comment. Mytrah Energy did not respond to e-mails seeking comment. The firm, which started off as a wind power generator, entered the solar power business year. Mytrah Energy operates about 920 megawatts (MW) of wind energy capacity and recently won projects for about 500 MW of solar energy capacity. Mint reported in July that IDFC Alternatives was working on exiting almost half a dozen portfolio companies in its first infrastructure fund to return capital to investors. In 2009, IDFC Alternatives raised its India Infrastructure Fund, with a corpus of $927 million. The fund invested across infrastructure assets such as roads, thermal energy plants, ports and hospitals. Tata Realty and Infrastructure Ltd (TRIL) is in talks to acquire
I have shares valued tonight at £7k at an average 32p buy price. The BOD really needs to get the numbers out and provide more regular updates to shareholders.
I'm still here and looking at the same figures as you. I have broken my own rules and didn't cut and run in our December freefall. This one was always going to be a 3 year share to get in early on for me, unfortunately I obviously got in too early. I really cannot understand our low value, the earnings potential is huge as far as I can see. The bod do seem to view being a listed company as a necessary evil, and it wouldn't surprise me if they took it back private when they have the cash to do so. Certainly with such a low mcap now would be the time for them to do so. I obviously hope they don't. I have a small position here compared to others in my portfolio as I fully believe they will make huge wads of cash, just not sure about the bods aims. I have invested in the company not the people, which may bite my behind, hence the low position!! *shrugs*, it is what it is, potential realised then my retirement is made a bit easier, fails and it gets put onto my 'experience' list.
I can't believe how far the share price has fallen and how cheap this company now is with an mcap of just £39m. On 16 December, the Bod advised the market that the company was trading in line with market expectations. The SP then was 33p and here we are today at 23.875p, almost a third lower. The results for 2015 were not issued until 21 April 2016. So I suppose we have to suffer a further drop in the SP for another 2 weeks at least. If the SP does not recover after the results, our CEO and main shareholder might decide to take the company private as there is little point in having such a low valuation. I bought at 49p and so am 50% down. I suppose the answer is to buy again now and hope the SP reaches 36p to break even. I know it is my decision, but what do you think Shaxe, SMT and Hounddog? If you are still holders and sitting on even larger losses I sympathise in advance. Moan over.
My thoughts on MYT are that they are the right company doing the right thing in the right country at the right time. Building of wind/solar farms is not a cheap thing to do, and the first few years are always going to be stacked with debt, but once either the revenue starts piling up, or they sell off the assests for a quick return we will be in a much healthier position. I can't see a massive jump back up in SP, but once the results are out (and the initial 'sell on news' crew have gone), the market will realise the potential for this company and the price will walk it's way back up to where it should be, which for me is around £1, how long that takes is anyones guess, but if we are halfway there by end of year I will be happy.
Sorry for the *********. Just go to TipTV and search on Mytrah Energy.
I know that the interview with Bob Smith, Executive Vice-President of MYT has already been highlighted at the time in January. http://***********/ceo-interview-india-compelling-market-case-mytrah-energy/ For any newbies and indeed for those who are already invested, I think this interview gives great confidence in MYT's future and for a profitable investment, particularly after the hammering of the SP down to its current level. Please DYOR of course.
Have found the following which is of major importance to the future of MYT - http://www.livemint.com/Companies/DmVlw0cfUzPGqm3QY2E8DN/IDFC-Alternatives-looks-to-exit-Mytrah-Energy.html I was unaware that MYT's Indian subsidiary was proposing an IPO and that IDFC Alternatives was looking to exit its investment in the subsidiary. I just wonder whether they are also the seller, which has been the primary reason for the major drop in MYT's SP. Once that seller is out of the way, combined with the IPO by the Indian subsidiary, there may well be a major recovery in the SP. Is this indeed a great opportunity to top up? Would be interested to hear other's thoughts.
Thanks SMT for that info. I guessed the delay might be because of the implementation of the new accounting standards. IMHO the SP is now very cheap; after all its fallen some 40% since the beginning of December and of course much more going back further and I do not see there being any good reason for that other than the effect of the seller, who first attacked during December and again since mid-March. The company have said that the underlying results will be up with market expectations and I have no reason to disbelieve them. After buying in at 49p, I did buy more after the previous big drop at 32p. My chart currently shows a possible drop to 18p! At that SP, it would be a bargain and even at the current price, you have to say it is. This could turn out to be a bagger amazingly once the seller has finished.
Finally got in touch with company, they weren't able to give date on when results will be available but will be soon, they said company doing OK and the hold up was due to new account standards / regulations, I asked about the recent drop and they said there is a seller reducing there holding, the same as what happen December
If the last accounts are to be believed there should be no problem. However, the uptick in volumes and decline in the share price hint of problems.
Tried contacting mytrah by email and phone no response been trying for month now, not sure what's going on glad I sold at 39p
Unless the SP is going to fall below 26p, we could see quite a bounce off the bottom trend line, which the SP is close to touching. Even though the results may look awful due to the accounting adjustment which I expect them to make, if sufficient investors see past that at the underlying growth, it may be that they will be the springboard for a healthy rise back up to 40p initially. In percentage terms not bad if you are brave enough to buy at the current level. This is definitely not a forecast! Each to their own.
Skid, from their last RNS: Any changes may result in a significant additional non-cash charge to the income statement in 2016 the word significant to me means the results won't look as good as they could have and therefore will invoke another mass exodus (if there is anyone left by that stage....)
Hi Shaxe, Accounting changes don't really undermine a business model or cash, I would have thought any management presentation would compare pre and now both for results and forecast.