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We dont know that yet John. Looking into ROX, they are nothing special, just a bunch of small fry ex city boys that got very lucky on one of their investments during the covid period where company prices went wild and hit bubble territory. Made about $80m overnight practically after the co they invested in hit it big with a massive series F funding round. They flipped out and hey presto, now they wear bigger boy pants.
What this tells me, is that they are not interested in full ownership at all as it is simply not their strategy. Thats why they also want a waiver of Rule 9 of the City Code on Takeovers and Mergers as otherwise, they would need to put in a mandatory offer for the company as they will exceed 29.9% of the holding. Probably why Sondrel want to go private too...it helps with this sort of bigger funding, but i can assure you they are not interested in 100% ownership. For the simple reason is that it would be too risky for them to do so. They are more like VCs.
I believe these boysies at ROX can navigate these bunch of feckless science nerds through the murky world of business and finance as curren clearly doesnt have a scooby do. They can actually help them add significant value to the business, thus help other shareholders who hold through private too.
Exactly the reasons ROX are going to get SND on the cheap aided by ex CEO Curren.
I can't help but feel that offers are being made at present, but remain confidential.
Quite what will break it all out into the open I'm not sure.
Maybe frustration from the offeror(s), whoever they may be, if Curren and ROX are being uncooperative.
They may break cover, if they feel that it is the only way to gain access to this established team of designers/knowledge/talent.
For those unaware, Sondrel showcased its ground-breaking, ultra-complex, custom chip design services at the TSMC 2024 Technology Symposium; held yesterday at the JW Marriott Austin hotel in downtown Austin (Texas).
https://rb.gy/2mhmbu
https://rb.gy/k42193
By way of information, TSMC is now the world's largest chip maker by revenue, beating Intel and Samsung. The company earned £55.4bn ($69.3 billion) in 2023, significantly more than Intel, whose revenue dropped to £44.5bn ($54.23 billion), and Samsung, which earned £40.7bn ($50.99 billion).
https://rb.gy/3yd3i9
So it goes without saying that, when a tech giant (TSMC) updates its description (on its website) of one of its key partners (Sondrel), it’s prudent to sit up and pay close attention to the wording, which may, or may not, mask elements of its future ambition in the chip design space:
“Established in 2002, Sondrel has the largest and most experienced consulting team in Europe, with wide ranging expertise across all aspects of the design flow and all industry-standard EDA tool suites.”
“The company's capabilities cover the entire IC design spectrum from RTL design, through to verification, emulation and DFT to physical implementation, and include power analysis and yield management.”
“Sondrel is experienced in highly-complex digital, mixed signal, analogue, low power and wireless designs having completed over 200 designs at a range of process geometries down to 28nm, all of which were delivered right first time.”
“With offices in the UK, USA, France, Italy, Israel, Sweden, and China, Sondrel provides flexible services and methodology consulting to many of the world's leading semiconductor companies, enabling them to improve chip performance and reduce timescales and costs.”
https://rb.gy/emo16d
The key takeaway for me was this part: “Sondrel has the largest and most experienced consulting team in Europe, with wide ranging expertise across all aspects of the design flow and all industry-standard EDA (Electronic Design Automation) tool suites.”
So, what value, do you think, should be ascribed to a company with the largest and most experienced chip design team in Europe? £3.5m?
Yes, feel free to bark the unsavoury but apt remark, “What the ….!”
And so you should. The current valuation is, quite frankly, preposterous!
So take cue from those in the know:
https://rb.gy/df8inp
https://rb.gy/hzu7q8
https://rb.gy/wux0tk
AIMHO
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Can buy and sell at 4.000. Don't see that often!
The upcoming funding read the previous RNSs
ROX do not own any shares at moment I believe. Where will they get them from other than loan conversion at 10p. Is there enough shares free at moment to be able to do this ? Not sure where this will go T.B.A. Would a 15p offer be accepted by shareholders ?
Triumph in case you hadnt noticed ROX have pretty much ousted Curren and appointed their chosen CEO.
ROX will acquire SND very very cheaply.
That comment was probably more aimed towards if the company is brought out by another entity before delisting, which is very possible given the level of interest in depressed UK equities from overseas investors.
Rox only have exclusivity on issuance of a loan, not if another party makes an offer for the full outstanding stock. Rox would then be forced to take the plunge and put in an offer, ensuing a bidding war.
Its very clear Rox want this company all to themselves and are going about acquiring it the cheapest possible way (which is expected). If the company can push out some decent news and good numbers, somebody else will be looking at this very closely, and Rox's hand will be forced.
Heres hoping anyway
Triumph ROX will get their own way.
After the convertible loans have been converted and the placing completed ROX will own around 40% plus
With Curren giving his vote to go private thats around 70-80%
ROX will do what the hell they want
*************+mwrwgwh2f0uyn2zk
Another insider share purchase! Directors picking up dirt cheap stock left on the floor by panicked PIs, and expect this buying to continue.
Its great that the media are finally publicising the astounding value discrepancies in UK listed stocks. This being one of them, holding through a company's conscious choice to go private should be embraced going forward by savvy PIs, not feared.
This current trend of company's opting to go private, subsequent obliteration of SP due to fear of ownership uncertainty of private companies, PE and insiders picking up the stock for a song and then relisting in US for mega profits hopefully will be picked up by the arb investors very quickly. Sooner or later, I wouldnt be suprised to see a stock increase if a company announces it will be going private, such is the state of the current UK stock markets!
Rox may not get it all their own way after all if PIs are willing to hold into going private. Its clear for all to see what this company has going for it, and the value it would have if listed over the US.
I will continue to load and will hold into the company going private. That is of course unless the company isnt taken out by PE before, which i strongly suspect it will be.
Another RNS
Y tuppence worth..
At this price/market cap and their capabilities someone's got to have their eye on it.
Take over target
“Our focus on end markets that are aligned with strong and enduring global technology megatrends means that we have a good pipeline of design opportunities for 2024."
Pardon? - absolute rubbish - great RNS any price sensitive news has to be given to the market
Or is it a ramping RNS from a company which is probably destined to delist?
Company Builder , superb news today
Tier 1 Costumer milestone met! Should give encouragement to the healthy pipeline. Should have released some cash to the company too!?
Another great post thanks Smartmoney.
For those unaware, the latest ‘Significant Shareholders’ data has been published on the company’s website. The data was updated on 19 April 2024 – the date our Interim CEO and CFO unleashed their wallets.
The updated data reveals the ‘forced’ (statutory liquidation requirement) departure of Joh. Berenberg, Gossler & Co. (4.66%) and Herald Investment Management (4.16%). They join Perpetual (3.95%) and CRUX Asset Management (4.51%) who exited shortly after the delisting announcement on the 28 March 2024.
Otus Capital Management (4.75%) and Lansdowne Partners International (4.51%), on the other hand, emerge as the only remaining institutional investors in the company, albeit with reduced stakes.
https://ir.sondrel.com/investors/shareholder-information
This means that, including the sold-off stakes of the existing institutional investors, a significant stock overhang of some 20,369,846 shares (23.29% of the issued share capital) was worked through between 11 April 2024 and 18 April 2024; a period that saw 22m shares change hands and a share price under sustained pressure.
And the resulting uptrend in the company’s share price, from the 22 April onwards, confirms the removal of the stock overhang.
Of course, most of that stock appears to have been mopped-up by private investors (‘Longs’); none of whom hold notifiable stakes in the company. This, in turn, means that, an estimated 38% of the company’s stock is now held by ‘Longs’, whilst the BOD and the two institutional investors hold 57.76% resulting in a narrow free float of some 3.5m shares (4% of the issued share capital).
It goes without saying, a free float of that size means that, any sustained buying pressure is now likely to put a rocket under the shares.
In the meantime, and following last Friday’s takeover of Darktrace by the Chicago-based, private equity firm Thoma Bravo, the UK has now become the ultimate fishing pond for US companies and investors looking for outstanding, GROSSLY UNDERVALUED, British tech companies:
https://rb.gy/3e3al1
https://rb.gy/4ohhlf
https://rb.gy/w7y4w7
https://rb.gy/uq4qi2
AIMHO
.
A rare opportunity 😁
£1+ is a little low...
Once a few bidders get the smell of this
Phrontist
“Nasdaq, America’s biggest stock exchange, is sniffing around London’s junior Alternative Investment Market.”
“The reason is the extraordinarily low valuations being put on UK companies – big and small – and one of the factors driving the recent flood of takeovers either by US companies or private equity.”
“Nick Train, one of the UK’s leading fund managers and stock pickers, went further earlier this week, describing valuations of British companies as ‘egregiously low’ and that one way to wake up investors would be if a takeover were launched for a giant UK blue chip.”
https://www.thisismoney.co.uk/money/comment/article-13341575/Dont-let-Nasdaq-aim-AIM-market-says-MAGGIE-PAGANO.html
And today, 25th April 2024, London got that wake-up call:
“The Board of Anglo American notes the recent press speculation and confirms that it is has received an unsolicited, non-binding and highly conditional combination proposal from BHP Group Limited.”
https://www.londonstockexchange.com/news-article/AAL/statement-re-possible-offer-for-anglo-american/16439392
“BHP PLOTS POSSIBLE TAKEOVER OF RIVAL MINING GIANT ANGLO AMERICAN. The acquisition of De Beers owner would serve a fresh blow to the Square Mile.”
https://www.telegraph.co.uk/business/2024/04/25/bhp-plots-takeover-of-rival-mining-giant-anglo-american/
Meanwhile, Sondrel, one of the UK’s fastest growing chip makers, with a current production pipeline sitting at £165m, and with the company’s BOD currently in advanced negotiations for significant new business, continues to be egregiously undervalued at £3.5m (4.20p per share).
.
Nice to see some chunky buys above 4p. Confident of 8p in the near future
Someone linked British Bulls recently, which I had never heard of before. Note how yesterday morning it staid 'stay short' and now today is says 'buy'
lol