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I think Lake leaving will also be as a result of the negotiations with Minto and Allsworth. Minto at least voted against her at the AGM. Boohoo have had opportunities to remove her but didn't so I think this will be a mutual agreement. She has done well and been rewarded.
I still believe Minto is trying to negotiate a future role at the business, which I dont believe is in REVBs best interest. FCA would likely agree. Disappointing REVB is now controlled by Boohoo, and to some extent Minto and Allsworth. But as Lake has stated, the business is profitable.
I sold down some shares yesterday morning as I wasn't happy with the settlement agreement
and to derisk / re -balance the portfolio, but still believe the business has much potential, if everything is genuine.
Keep it simple.
BOO need REVB to grow and flourish more than anyone.
Last set of results smashed it given the economic backdrop and showed where this is heading
Elizabeth lake has accomplished the task of turning REVB around and putting it on solid footing as she was employed to do and happy to move on to her next challenge.
Another good set of results and no dramas here should see the SP climb toward fair value so doubling should be easily achievable.
For all the reasons stated by APT and the appointment of a turnaround advisor from A&M I exited today . Agreed too many red flags and not enough comms of the right sort with s/h for too long
Boo appointed CEO, Ex Boo CFO, wondering if unwrtten part of settlement will see TA side with Boo to take this over. Smells a lot, but MOO. Would not be surprised to see this join BH stable.
Did BOO grab more at the end of the day today?
TA must be a far better negotiator than Boohoo!
Struggling to make sense of this Settlement agreement and how we've gone from overpaying for Medichem to paying their legal fees? Plus the new revised payment terms means it could take 14 years before TA gets the full balance based on current numbers!!! Unless there is a takeover...
So the very positive last set of results are long forgotten already?
What price are you ardent red flag wavers hoping to buy in and start hoisting your green flags?
Yes, lots of red flags! Can see SP down to sub 20p in due course. FCA will be a big fine.
Some red flags here that I think investors need to be aware of (just my humble opinion):
This is now a company indirectly controlled by Boohoo. Management will say different, but Boohoo old guard running the show, with Boohoo itself the largest shareholder = Boohoo indirect control. Will the company going forward be run in the best interests of shareholders, or Boohoo. Red Flag.
There is an FCA fine coming. That is a fact. We do not know how much. 1H 2024 is the likely timeframe. This will impact cash. Red Flag
The company has not secured an extension to its RCF. With a new CFO in place in Jan, do we need to be a little concerned? Yes we do. Without the extension there is not enough cash to run this business. Red Flag
Look at the size of the accruals on the BS. Large, very large ~£25m. This was ~£21 in Aug 2022. Red Flag.
The departure of the CFO, like many, I expected. However I would have hoped it would have been after FY (which is in Feb). Why now? The history of this company is not great. I personally do not feel comfortable that the only 'independent' senior is going. Elizabeth was not ex boohoo and as shareholders that is what was needed. Red Flag
Too much control by one party is not a good thing. EVER.
Just shaking the tree
*job*
I think Elizabeth Lake stepping done was going to be a given. She did a tremendous jon though of righting the ship.
Maybe it's just me but I expected more from the Allsworth Agreement and with the purchase price reset downwards as the suggestion had been that it was overvalued.
I really hope with the Minto negotiations that they drill down hard on that one for that cost a lot of shareholders a lot of money in the drop in the share price and no doubt REVB and Monto will get hit hard by the FCA to deter any similar future wrongdoing. It was essentially false accounting imvho.
Lets see how the markets digest things over the next few days.
Going back though the independant investigation and revaluation of Medichem found that Revolution were basically buying product third party products through Medichem at a marked up price to boost Medichems profits in the years prior to being acquired (at least £350k pa).. products that Revolution previously bought direct from suppliers therefore increasing the valuation. All in TA's interest. Agree this is positive for cash flow but once again feel previous directors are getting off lightly.
Looks like we have saved a lot of cashflow by pegging the repayment amount to the labs EBITDA. It is in Tom’s interests for the lab to continue to do well so he shouldn’t lack any motivation.
So no revised valuation of Medichem and now we are paying TA legal fees and giving him a future role within the business? Shocking.
Can't wait for Minto's settlement agreement and future role within the business to be announced.
Disappointed to see Elizabeth Lake go.
At least the business has some more headroom in terms of finances.
Seems that way mate
Something about to happen!!!
36.65 360,000 Buy* 131.94k
@spk
Interesting post, thanks.
I think there is something more important than that
I personally don't see how GBP 2mil. would really impact the SP. It equates to 0.006p per share.
So Feb 24
Thanks
Let them move the price up. Fine by me sure it happens with every share price. Keep rising before the news once news is out we keep going! I want that £1