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Surely this cannot be the reason some added heavily - how could they have known? Am I bitter about selling at a loss? You bet.
Well I didn't expect that.
There are two more stories held back as well, pretty obvious to me if you re-read the disaster RNS and ignore the doomsayers on the BB's
Hard to see how this is not worth 2p
Https://investegate.co.uk/redt-energy-plc--red-/rns/solar---storage-partnership-with-statkraft/201903250700097972T/
Holding with fingers crossed
Why always these distant / remote connections, why not install the Redt storage units at existing UK solar panel stations.
call me an old cynic ... but walk/crash the price down to 1.4p then start announcing agreements .... mmmhhh
Still.. positive news and just before the fund raise ... as usual Scott ..... lets see if any actual orders come out of the heads agreement
This was obviously on the way or already a done deal. Get the bad news out, hint at good news in the RNS text then release before the OO. Too many people pannicking and ntaking notice of people with no financial interest in the company. I suspect the "a large UK grid project" will be next.
I wonder if any of those suffering serious losses are wondering if selling was such a good idea now?
Easy to be cynical and I must admit that RED's history under SM gives some credence to it but RED can't fully control when news comes out. This piece of news is SP affecting so couldn't be withheld. I admit the timing is fortuitous, which is suspicious, but it is good news so I'm going to focus on that. The SP has reacted already and I'm confident that the OO will be successful.
I only red the RNS once but the term "fully funded" stood out like a sore thumb.
Just want to share some observations for you. I work for/manage a company doing exactly what Statkraft is saying it's going to do. All the energy companies are coming up with a similar proposition (1-2 years behind the smaller players like us - as is to be expected). What this RNS says is a new proposition is absolute nonsense. We have been offering fully funded solutions for yonks and we have been proposing these on a PPA basis or a revenue sharing basis. What's more ridiculous is that RedT know that we offer this as we have had detailed discussions with them on a project specific level from about 24 months ago - we never actually did a project with them as they didn't seem to understand what motivated an investor so it was forever a process of educating them and a very slow burner.
All the above said, obviously this is great news, however I think there is a danger for people to think this is bigger news than it actually is. A Partnership is often announced to create a news story for publicity which helps generate deals. Having those deals actually come to fruition can take a very long time as there's a huge client-education process which has to take place. I hope that there were already projects and clients in place and that Statkraft has just been finalising which technology it wants to use in which case excellent! If not I wouldn't be surprised if Statkraft have also underestimated how long this takes.
Given the track record of RedT I wouldn't be surprised if this has been massively over egged. Has anyone seen Statkraft make a similar announcement? Is it exclusive in that they won't use anyone else's tech?
Mikenmine, I disagree Red sure did withold information, was both of these pieces of information only known in the week of the disater RNS?
· redesigned German grid projects now submitted to financiers for review;
· purchase agreement signed for 72 redT units (~5MWh) for a large UK grid project
Both lines are newsworthy and this information is obviously known before the fundraise news. I fully expect one of these to drop in before 4th April.
OF, fully agree that the 2 items you highlighted should have been the subject of RNS's before the fund raise. Clearly the news blackout was to enable the SP to get near to what VSA wanted. It is a clear breach of the rules and SM should be brought to account. I thought i covered that in a non specific way when I referred to RED's history under SM, clearly not obvious enough. However, we are under a new CEO now who has a decent track record and knows the rules so I'm prepared to give him the benefit of the doubt on this one.
Which ever way you view this though it is a positive RNS and my opinion remains that the OO will be successful. Certainly the Market thinks it's positive.
OF ... purchase agreement signed for 72 redT units (~5MWh) for a large UK grid project ??
So RED have an order for 72 units ? ... must have missed that
They have an order for 72 units? Not sure you read that right faramog.
Nice having the grey clouds swept away for the one day though!
I was looking at todays RNS ... yes ... 14th March ... 72 units sold (subject to some undisclosed conditions) ... then the price tanked (presumably the open offer) so really got lost in noise.
Lets hope its a real sale - depends on the conditions ... any bets we won't get sight until after the offer closes ? (well.. with Scots track record .. can hardly blame me for thinking it) ... but I do hope its real and the start of rebuilding .. VFRB is taking off and we could do with a UK company (even a small one) in the mix
I never trust grown ups and I certainly dont trust coincidences. A make or break fund raiser, a live or die fund raiser and then the RNS.
To be fair the deal was mentioned in the RNS 14 March, just the name was excluded at the time
Either everyone has blocked me/screened my posts or no one has any comments/interest in my observations - I thought they were pretty relevant!:
"Just want to share some observations for you. I work for/manage a company doing exactly what Statkraft is saying it's going to do. All the energy companies are coming up with a similar proposition (1-2 years behind the smaller players like us - as is to be expected). What this RNS says is a new proposition is absolute nonsense. We have been offering fully funded solutions for yonks and we have been proposing these on a PPA basis or a revenue sharing basis. What's more ridiculous is that RedT know that we offer this as we have had detailed discussions with them on a project specific level from about 24 months ago - we never actually did a project with them as they didn't seem to understand what motivated an investor so it was forever a process of educating them and a very slow burner.
All the above said, obviously this is great news, however I think there is a danger for people to think this is bigger news than it actually is. A Partnership is often announced to create a news story for publicity which helps generate deals. Having those deals actually come to fruition can take a very long time as there's a huge client-education process which has to take place. I hope that there were already projects and clients in place and that Statkraft has just been finalising which technology it wants to use in which case excellent! If not I wouldn't be surprised if Statkraft have also underestimated how long this takes.
Given the track record of RedT I wouldn't be surprised if this has been massively over egged. Has anyone seen Statkraft make a similar announcement? Is it exclusive in that they won't use anyone else's tech?"
The future now looks very bright .
Despite the BOD`s past misdemeanours .
Best of
AFP, I appreciate your post but feel I have very little of value to add as I'm not in your experienced position. However, that has never stopped me giving an opinion on virtually any subject in the past, so here goes.
RED has been flagging this link up for some time, without mentioning a name, and I will take at face value that it is only now they have actually signed on the dotted line so it's news worthy. Yes RED and others have been offering this type of thing for a fair time and I'm disappointed that they have not gained better traction but we are where we are. Statkraft, by all accounts, although i haven't looked in to them much, are very big and must have lots of leads and contacts. They certainly have lots of credibility that can only improve RED's. In any case it will be a case of them taking the lead in procuring orders and RED tagging along behind IMHO.
The question for us it can RED stay viable while they fulfil the orders that will surely come from this linkup? Someone on one of the BBs said that Statkraft approached RED not the other way round. I don't know where they got that info but, if true, I wouldn't be surprised if they took a strategic holding in RED, especially at these levels. That will be good for RED but may hurt us permanently. I just don't know.
Which ever way we look at it the RNS was very positive and the SP has responded making the OO a done deal IMHO. I entered the prediction list for the end of the year not because I thought it was in any way serious but just a bit of fun. Its actually the first time I've put my name to SP prediction and It marked me down for 40p. When I posted that prediction i asked if I could make 2 predictions, the other being 1p. That was denied to me so I chose 40p just to remain positive. It would be ironic if I got 1p right as well as 40p in the same year. If that comes to pass I think I should open my own financial blog. Here's hoping.
Also, to answer AFPs last point, I have a quick look at Statkraft UK's website, and the certainly are announcing the deal. Couldn't see any mention of exclusivity though...
AFP, been keeping away from the screen quite a bit as I took a large hit last week on another share. Also to be honest I really do not add to your points, in this case all I can do is hope its for real.
One point I would add is why would someone allow exclusivity, the power of competition is enough to keep people focussed surely.
OF, Statkraft might grant exclusivity to Redt in return for a guaranteed price discount to the market offering. RedT obviously wouldn't want to grant exclusivity to Statkraft unless there was an enormous guaranteed pipeline.