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Only a few years ago they were touching near £1 think this is a more realistic valuation
Up 7.25%
Could go up further.
Offered 17.61 to sell but someone bought for 17.50?
Spreadex is doing something with equity swaps. Something could be happening here.
Confident this is going to start to fly soon.
IT IS GOING TO JUMP SOON AND JUMP BIG.
f JD Sports has a 1/3 stake in Applied Nutrition, You would think this would be also attractive to Sports Direct a director competitor to JD Sports.
Someone is going to make an offer for SIS multiple's of the share price. Just before things recover. SIS is massively under valued.
Going to jump soon.
Has a possible prospective IPO of £1 Billion. With approximately the same turnover as SIS. The thing is SIS is only valued at £30 Million. £970 Million cheaper.
If applied Nutrition are clever they could pay 35 Pence for SIS and double their turnover and be valued on the same prospective earnings for £2 Billion. haha.
Expect a bid from Applied Nutrition soon. They could pay £1.40 and still be laughing all the way to the bank. Strong buy guys. Buy now before the bid.
Company has said earning to double with flat sales as it has found cost savings and improved efficiencies. The trading itself will take the shares higher. One day a big player will come. THG my protein looks the obvious buyer. Or JD sports Applied nutrition group to expand with all the cash it has built up. Take-over this year is my guess. 35 pence at least and probably much more. Possible double or triple bag possible. STRONG BUY
The IPO is not binding as of yet but a plan. Yes they are looking for £1 Billion. Based on a prospective of 10X times earning of forecast turnover of £100,000,000. But so far Applied Nutrition has less turnover than SIS.
Something wrong with the valuations compared with SIS. Good thing is that that SIS has reported an expected doubling of EBIDA. With turnover flat. I cannot see SIS remaining as an independent for long. If someone wants it they will have to pay a lot more than what it is now.
When and if Applied Nutrition does get its IPO, some eyes have to fall on SIS. Perhaps it can get that kind of money if it lists in New York?
Anyone heard any more about timing of applied nutritions £1B float ?
A quick bump up in the SP would be great but not really realistic at this stage. For me the business is sound but needs to be taken a grip of, which I feel the new chairman has done and I hope will continue to do so. Trimming the fat out of the overheads in a controlled manner will take some time and cost some cash, but thereafter deliver a strong return on the effort and I would expect a notable growth in the bottom line. I would look for this company to build its EBIT to a double digit %., perhaps not for the 2024 FY but certainly the 2025 FY.
Further forward, it will be interesting to see how the commercial team is developed and how they expect to maintain grow momentum in relation to top line sales. Now is not the time to stagnate, but to prepare the foundation for controlled growth.
Well the trading update shows the contempt for the one trick pony 'revenue' chasing of the previous CEO and top management (actually lets be honest just the CEO) and this was an honest if somewhat mixed bag of an announcement. I like honesty ! We will have to wait while they de-leverage and rebuild and so 2024 will be flat on revenue but with improved EBITDA, reduced debt and an expectation that they can double the cash position. I saw no obvious signal for a further fund raise or dilution of investors (although cannot rule one out at some future stage). The strategy they intend to follow doesnt necessarily need a big cash injection just a bot of time. The goals are clearly stated for us to see in this trading update. Patience is needed but I sense we are in better hands and we know how we will measure success in 12 and 24 months. I read this with a sense of optimism going forwards.
Looks like the company has been turned around. Its good that the Moon guy was replaced. New management seem to know what they are doing. Expected doubling of EBITDA and reduction in debt when changes fully implemented. Pretty good considering.
Nothing too dramatic going on here .
Seems the previous management were inept and it’s going to take quite a while to sort out the mess.
A takeover is going to be the only way punters are going to make much out of this share short term imo.
Interesting to have exchange of views. I think the ex-CEO is on garden leave simply because they wanted to remove him quickly from his influence on the business. He is not the sort of guy you want wandering around the office after 'agreeing' his departure, and his contract has always had 12 months notice period. Paying him off in one go or not is a choice. One thing Mr Moon was right on (yes there were just one or two things) was that retail is not the future and I would be very surprised if they turn the ship in that direction. Your comment on not paying suppliers is powerful, if that turns out to be true, but I have serious doubts that is true. They are not that tight on cashflow and there is an underlying profitability margin that I believe can be unlocked now that he is gone. The next trading statement will be interesting and perhaps we can pick this exchange up again once we have it.
It may not be what people want to hear but it’s not based on supposition. Why need cash? They are already leveraged beyond any reasonable norm - asset financing, debt factoring and a recent cash raise. The results announced were hugely cash destructive - ships don’t turn quickly. Word around the industry is they aren’t paying their suppliers. Sacking your CIO and other members of your online team and not replacing them signals a tilt towards retail - retailers pay in 30+ days, online is immediate. Putting your ex CEO on garden leave suggests you can’t afford to pay him off in one go. I could go on but there’s the basis for my call. I guess time will tell.
At least there is balance now from one doom monger and one ramper in our midst. Let the team do their work. The previous Chairman and CEO held this business back and put the relentless push for revenue before anything else. The new leadership team will be able to deliver profitability but don't expect it overnight. A trading update will come in good time and the new team is at least aligned with (& representing) their major investors. Not just promising jam tomorrow, which is all Mr Moon did for a decade because he was devoid of any sense he owed his backers anything. Why do they need a fundraise and cash? The new facility is built, has future proof capacity and the remaining team is trimmed to deliver. I've waited 12 years on this investment and can wait another 1-2 years which should see the profitability moving in the right direction.
There’s also the fall out from Wiggle / Chain reaction to hit the books.
If only share price was driven by wishful thinking. No trading update - I wonder why? Cash position - highly likely appalling from what the results suggest. PhD being blown away by Applied in retail and that’s structural. Here’s my bet. Back to investors for further dilution shortly (they’ve no other option I would suggest) and a share price that will tank. The last placement was 15p before Moon and Clarke’s last set of results - what will this one be? Caveat emptor for me.
30 pence looks to be the next stop. Very good recovery play now. When 30 pence is gone there is a gap up to 60 pence. Great play here.
When 18 pence goes it has a gap up to 30 pence. Still a strong buy guys. Great products....
First buy was under 8.0p and I have been adding. I certainly see these shares back up over 40p by the end of the year. I see consolidation coming with another sports/protein group. If an offer comes it could be as high as 60 pence. Perhaps a sale of PHD. That must be worth more than our market cap. The rest comes for free. Great buy guys. Lots of upside here on improved trade, and better wholesale whey prices. Looking very good imho STRONG BUY
Gap up to 31 pence on the graph. Last chance to buy at these cheap prices. Going to be a bid I am sure of it. When that comes it will be much higher..
100% up already
Improvements have already been made. Shortly I expect improved trading and a rising share-price. Happy with my sub 8.0 pence price
Applied is definitely in better position than SIS right now, a scan of respective filed accounts shows some significant cost / efficiency differences, e.g. Applied has a work force that is half that of SIS for a similar turnover, SIS marketing and Admin overheads are astronomical in comparison, even after you take out the non cash items.
SIS making a large loss whilst Applied makes a nice profit and has positive cash flow.
I have been using SIS products for years, hydration, bars, gels and recovery products, and would not change, but the business needs to get the fundamentals right, drive operational efficiencies and make a better return on the marketing spend.
Now we have a new leader in place, I am expecting this to happen, from a personal point of view, I would love to be leading this business as I think the potential is sky high, but our new Exec chairman needs to get hold of the business and start to drive it, either that or put a COO in to do exactly that . There is no reason why opening up distribution in new countries / markets cannot take us beyond the £100m sales in the next 18 months, but the management team needs to own this objective and drive hard.
I do see growth in the share price from current levels and I am looking forward to the next update.
I see a clear sign and pathway back to 80 pence. But being conservative I will go for 30 pence where it was hovering for about a year back in 20-21. Now the factory is up and running, the company must be more profitable and with new outlets things are looking very good for a recovery. I was wise to sell these at 84 pence. I think I was wiser buying back in sub 10 pence. Already sitting on a good profit and I expect more. Much more. STRONG BUY from me at these levels. Could always be a chance of a bid from THG. Or another large player. All upside in my opinion.