The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Castle, the operating loss of 12.2 includes impairment of investment costs , acquistion costs etc, the actual in-going operating losses were 4.4
Castle, its very relevant in terms of cash flow! A write down of an investment is not a forward cash flow requirement is it
Most investors have concerns and acknowledge the required funding necessary to take Syme forward. It’s not uncommon for the development stage of most tech-based companies.
Funding/dilution is not ideal but sometimes a necessity compounded by the time scales endured .
As SYME states the move from developer to service provider is imminent . Yes, I remember the ill-timed “ready to fly” quote but adoption and work through of improved KYC has given the company the ability to announce the long and awaited prospective for proof of delivery.
The BOD (not only AZ) will be accountable. Misinformation on this scale would be a crime especially at a time of seeking to attract increased investment. I’ve got the easy job of currently holding a paper loss.
The SP should improve as SYME moves forward but accept we live in volatile times, so nothing is guaranteed.
I have made my position apparent that I will continue to hold as I believe that there is a need for this innovative approach supply chain finance.
I understand my response is subjective, but like yourself I haven’t got access to the latest accounts or future financial expenditure plan.
Apologies for the delay in my response, sometimes work gets in the way.
ATB
Peakhope, Peakhope...
(1) SYME's OO is akin to a Rights Issue, see https://www.investopedia.com/investing/understanding-rights-issues
.."KEY TAKEAWAYS
A rights issue is one way for a cash-strapped company to raise capital often to pay down debt.
Shareholders can buy new shares at a discount for a certain period.
With a rights issue, because more shares are issued to the market, the stock price is diluted and will likely go down..."
AFAIAA, we still don't know what the entitlement ratio will be , but there will certainly be a lot of shares on offer at the lower of 0.05 and 85% of the VWAP. These shares can indeed be taken up by existing shareholders, which has the effect of quenching any appetite they may have to buy more; effect on s/p ? More supply/ less demand...you tell me.
Alternatively, if they're not /not sufficiently interested/willing, Venus will provide a limited backstop/underwriting.."Any Ordinary Shares not taken up by existing shareholders through the Open Offer will be subscribed by Venus Capital in July 2022, as part of its binding commitment to provide up to GBP 7.5m..."
It's not clear (is it ever ?) whether this backstop covers the mandatory element (£ 3.75m) or the optional element as well (another £ 3.75m, total £ 7.5m).
In case (a), the subscription implies (£3.75 - 1.66 = ) £2.09m worth of new shares @ 0.05p = 4.18 billion taken up by Venus (or , more accurately, its investor group; in case (b) it would imply (£7.5 - 1.66 =) £ 5.84m worth of new shares = 11.68 billion taken up (ditto). Either way, more supply/less demand...
Whether shares are taken up by PI's or by Venus or by a mix of the two, it's clear that there will be at least 10% more shares in circulation (4.18 / 40.8 billion) and potentially as much as 28.6% ( 11.68/40.8 billion).
Other things being equal, that would suggest a post-OO s/p of 0.07p and 0.06p, respectively, BEFORE taking account of the warrants offering additional shares @ 0.065p on a 1-for-2 or 1-for-5 basis.
(2) I see that only abt 10 billion votes were cast at the AGM, did AZ say whether he intended to take part in the OO or not ? And, if not, why not ?
(3) I don't see SYME (TFC maybe) as particularly motivated by 'alleviating poverty'....other than perhaps that of some of its directors : the TAG Group took out £ 40m cash (more than the current market cap !) at the time of the RTO...
(4).."they have been proven to be wrong and the misrepresentation that they churn out COULD [my caps] have cost people £1000s in losses as the frighten them into thinking syme will go bust and the only way out is to sell at a loss - dispicable !!.."
You have this quite the wrong way round : you're talking about potential future gains from not buying, I'm looking at current actual losses from having bought...
(5) Finally, you misinterpret my 'ho hum' : it's a shrug of the shoulders; 'oh , well'; 'there you go'; 'it is what it is' or similar.
HTH
Ho hum
OK Dad, whatever you say
Ex, Ex ………
Oh Ex.
What do you make of that big buy?
Forget the nonsense you have just written to Peak as no one is interested.
Tell me about the buy, why buy big. Why not wait for 0.05p. Perhaps that buyer knows something.
Let us know won’t you
I've no idea. What do you make of the late-reported nearly matching sell ?
EX
Sell looks like a bench mark protected buy to me......
Hi Divvyup
I don't know what that means, pls say more....
Ex re BENC P flag.
Surprised you’re not up on this. I was about to ask you for more info on whether you though it was currency exchange or perceived value by M&M`s
https://www.investopedia.com/terms/b/benchmark.asp
P' = Protected Portfolio
A protected portfolio transaction or, if reporting a trade resulting from a worked principal agreement for a portfolio transaction. Like a non-protected portfolio, but the price dealt at can be amended if the market maker manages to make a 'good' profit.
Feed back welcome :-)
Above my paygrade, I'm afraid.
My 'trading' as such was mostly in plain vanilla LDC debt, 'exotic' geographically maybe...but hardly sophisticated.
My question to Elite was : he commented on the 120m UT trade (shown under advfn system as a buy, which makes sense in view of the bid/offer), but ignored the subsequent 119m reported as a 'sell'.
I 'get' that the bid/offer when a worked deal is eventually reported isn't a reliable guide to whether the trade was a buy or a sell, your 1805 tells me that you think it was a buy (not a sell), I'm curious to know on what basis - the pattern of trades during the day or something more esoteric ?
It was an off book private transaction. As someone else said a benchmark trade. So basically a transfer.
Anyone know where the loaned shares are at ??
someone in TG suggested it could be loaned shares returning - I’ve no idea tbh but if it is something to do with loaned shares the timing couldn’t be better putting the issue to bed just before launch
:)