Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Nice interview with CEO, Eric Hook on Vox Markets today
Stable profitability, cash generative, asset backing and 20% gearing - congratulations to all Board Directors who analysed the situation carefully, did not panic mid COVID and dispassionately concluded that paying 10% interest on a SECURED convertible loan note (and dropping the conversion price) represented a good outcome for shareholders other than Gresham!
Bravo and great work!
A very decent pre-close trading statement and better than I was expecting considering the impacts of Covid. Very happy to be a LTH here.
Note the bid by private equity for Aggreko.
Power reliability, rental business - different scale and wider applications to Crestchic but nonetheless the long-term prognosis for this sector as a whole and all the parts within it must look attractive.
lavenonews,
I fully agree w/ you: "Tasman is geographically in the right part of the world and Crestchic has some real growth opportunities opening up. Not sure what £1.5m of head office costs and, 3 execs and 4 non execs are really bringing to the party for these two businesses."
There are probably people inside the company w/ the skills to take it forward. There is no reason why the SP would not double in the short term. I have a small punt in here: fewer than 10,000 shares.
ATB
What a curious stock exchange announcement.
Most of it reads more like an Info Memo for potential purchasers but I guess I am at risk of seeing things only in the light of what I think is happening here.
A trading update with no numbers. Weird.
I just cannot stop wondering at what point Peter Harris (70 next year) and Eric Hook (68 next year) will want to call it a day.
If I was them, and owned shares personally, I would have an eye on capital gains tax rates.
Also Gresham who state their investment thesis is ideally 3-5 years are fast approaching 5 years from first investment.
Whilst I absolutely abhor the 10% secured loan note and 90p conversion charade, there is probably a couple of decently positioned underlying businesses here. Tasman is geographically in the right part of the world and Crestchic has some real growth opportunities opening up. Not sure what £1.5m of head office costs and, 3 execs and 4 non execs are really bringing to the party for these two businesses.
75p per share looks good value to me but it could be a bumpy ride towards a final end game.
Camkite, what do you mean?
10% secured = stay tf away.
Why the spike today? Have a missed an rns about NBI?
10% p.a. on a SECURED Loan note - shambolic financing arrangement for a company with such a good level of asset backing and low bank debt.
Why did they have to drop the conversion price as well?
Just let it mature and refinance next year with conventional bank debt.
Commercial banks are flush with cash to lend to good businesses, and NBI is a good business with good asset backing.
Gresham are not adding value for other shareholders, that is for sure.
The Board is too heavily influenced by Gresham and their 'helpful' (to themselves) advice.
Well I’ve taken a few shares this week. This seems like a quiet board but who knows, if the shares begin to motor it might generate interest
Little tick up
I Decided to take s punt.. good look all
The stockopedia report and presentation from our recent Manchester seminar for Northbridge Industrial is available in our full member exclusive area here: https://www.sharesoc.org/members-area/
Northbridge along with three other companies present at our Manchester growth company seminar on the 16th October, more details and registration here: hTTps://www.sharesoc.org/events/sharesoc-growth-company-seminar-in-manchester-16-october-2018/
Northbridge Industrial present at our Manchester growth company seminar on the 16th October, more details and registration here: https://www.sharesoc.org/events/sharesoc-growth-company-seminar-in-manchester-16-october-2018/
Some here last week , very happy I did expecting slow steady re-rate to £2 level . Nicely under radar
Position building given the large buys. Looks to be strong for a recovery to broker levels. Steady and most importantly a quiet play in progress.
Looks to be trending upwards again from the wide low base. Loads of upside on the chart.
This could continue to run up nicely if the oil price stabilises around this level Interims highlighted just how far NBI benefits from weak sterling By no means a slam dunk but with strong BoD financial commitment and supportive shareholders this can tick up further over time although illiquid as ever GLA
Boom!
Director buying after closed period a welcome surprise. Think this is cooked now, happy to sit out and see where she settles in a few weeks GLA
NBI's interim results look okay, the balance sheet is looking less precarious than six months previous but is it offering good future investment value at current levels. In the last HY report cash generation from operations was down almost 50% to £1.7 million (2015: £3.3 million) year on year but this indicator does not capture the efforts the BoD have gone to reducing the company's gearing, debt and improving the balance sheet. Last year at the interims there were 18,589,886 shares in issue, the share price was around 205p for a market value of £38.12m Today there are 26,114,752 shares in issue, at 90p values the company at £23.5m The placing conducted in April has provided a floor at around 75p for now and oil prices are near their 6 month highs, not that that is any great indicator of future direction - "Looking forward to 2017 and beyond, there have been some more reassuring announcements from the oil service majors who form part of our customer base. They rely more on the activity levels in the oil fields rather than the oil price itself and they believe the worst is over and are predicting a return to more positive levels of business in the future." Net debt almost halved to £8.4 million (2015: £16.2 million). The total raised in the placing was £5.3m. The fall in Sterling has also contributed positively, reducing balance sheet gearing "as the majority of our net assets are held outside the UK", According to the company "current trading, despite the decline in revenue, is continuing to generate sufficient cash flow to pay down existing debt as scheduled" What's more encouraging I think is net assets at 30 June 2016 were £43.7 million (31 December 2015: £35.9 million). The rise in the value of net assets comes in the wake of the falling Sterling. This has had a positive impact of £4.8 million on the balance sheet according to the company as more than 90% of net assets were outside the UK. Due to the dilution this equates to £1.68 per share (31 December 2015: £ 1.94). Providing GBP continues to weaken or remains low and the price of oil breaks higher in the coming year which is possible given recent announcements concerning OPEC this would be my preferred play from 80-90p. However worth stressing this is not so much a play on the strength of the business, GBP will likely remain low against most currencies as we creep towards March 2017 when the Prime Minister is s due to trigger article 50. Two exceptional events (placing & BREXIT) changed the balance sheet here. Come year end there will be a clearer picture of free cash-flow and debt reduction going forward. I think £30-35m market value could present itself if GBP stays low.