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Stuff of legend haha get out his @rse
Can anyone confirm that SYME gets their cut upfront instead of at the beginning of each of the 3 years per contract?
For those that dont knw GGP, went from.0.35p and stayed under 2.2p for over 12 months, when it finally broke out, it went over 10x in the last 6 months, some things take time, BUT this has revenue already which will continue to grow massively, I suspect we will be at 5-6p come late Q1 2021
@Aim2
I still need clarity on that to be sure. I'll fire an email off later to investors.
This is my take but may be wrong.
I think its a three year term, Minimum 2. There is a calculation of current stock and projection of stock within that period. This becomes the amount of the "contract". That contract is then split into annual payments which are payable upfront and at the start of each annual payment date/renewal.
Reposting this. If SYME still recieves 3 payments then this is how profits fall from this deal.
The RNS states cumulative inventory
€4bn 2021
€5.5bn 2022
€7bn 2023
€8bn 2024
As an example, the inventory from 2021 will be paid in 3 instalments. €20m 2021, €20m 2022 and €20m 2023.
End of 2021 profit €20m
End of 2022 profit €27.5m
End of 2023 profit €35m
End of 2024 profit €20m
End of 2025 profit €12.5m
End of 2026 profit €5m
Important to note that EPIC aim to finance 275 contracts in 2021. No idea of the size or scale though. Will need more info either indirectly from other RNS deals or an RNS regarding EPIC's funding volume.
However at €5m minimum contract size. EPIC cumulative funding (325 total contracts by end of 2021) is €1.625bn. €10m average contract €3.25bn.
Why would it take 6 years to get payment from a 3 year term @Aim2? I'm not following
Try giving the investor email a shout, I'm sure he could clear that up.
RNS states intention to ‘acquire a bank’ on zero money that will issue 8b monetisation security.
This is the biggest joke of 2020...lol
How long before FCA wakes up and shuts down this blatant fraud! Even the Italian stock exchange will not tolerate this mafia so obviously the lazy London Exchange is the prime target. Italian mafia here to rob you of your hard earned.
If contracts are paid in 3 installments then any contracts signed in 2024 (€1bn in this case) payments will be received in 2024,2025,2026.
This is basic stuff WG.
Alessandro, proofs in the detail, where is it please ? This will tank without proof imo !!
Minimum 2 year term @aim2.
3 year standard.
By 2024, 2020 & 2021 will be renewing.
I'm seeing this as a rolling contract. Earnings will be way more in 2024 than you project.
All my workings are projections on just the figures given. It should be a lot more. I'm trying to give myself a room for error.
@lyndhurst,
Being bought by......
http://www.theavantgardegroup.it
€8bn cumulative
1.5% profit margin is €120m
Add up all of the years in my calculation. It's €120m.
My calculation is based off 3 year terms.
WG this is basic stuff!!!!!
I agree WG. I'm reading it as 8bn worth on inventory will be monetised in 2024, so progressively better.
Aim it appears to me that you have split the revenue over the years and this is not the case the contract lengthen is a minimum of 2 years and preferred of 3 with the full values repeating annually.
AIM this is basic stuff!!!!!
*Length
I got you @Aim2
It adds up to £120m either way. This is what I'm saying email investors to clarify payment timing etc.
What I am saying is the profit won't work out like that, as renewals need to be factored into 6 year projections. Its a 3 year term max. There is no way 2026 will see just £5m profit.
My calcs are just return on investment calcs for sp/market cap now, based on just that RNS. It may take 2 years with some, 3 with others, renewals will also happen so Im not predicting anything other than that RNS.
Profit margins, are annual. Profit is calculated per annum.
8bn is not monetized for 6 years and sits there for 6 years. 8bn is monetized for term of contract, contracts falls off, new inventory monetized, and the circle of life continues.
Think you need to do some research before spouting off.
@Mickluv, "Full values repeating annually"
If you care to explain Im all ears as this is one of the last questions I have i may have missed.
WG it works on inventory cycles i will come back to you later today as I have a meeting
You guys are being very silly. The RNS is very clear with its figures. Stop using numbers that do not exist. €4bn inventory monetized in 2021 will see SYME recieve payment of that ( 3 year term) in 2021,2022 and 2023.
In 2022 a further €1.5bn will be monetised. Payment received in 2022,2023,2024.
In 2023 a further €1.5bn will be monetised. Payment received in 2023,2024,2025.
Final year of inventory monetized. 2024. €1bn. Payment received in 2024,2025,2026.
Total profit on the cumulative figure of €8bn is €120m. Broken down per year:
End of 2021 profit €20m
End of 2022 profit €27.5m
End of 2023 profit €35m
End of 2024 profit €20m
End of 2025 profit €12.5m
End of 2026 profit €5m
Why just €5m in 2026. €1bn inventory @ 1.5% profit is €15m to be received in installments of €5m in 2024,2025 and 2025
All of this based on 3 year contracts.
If these contracts are renewed, they are renewed. But the figures in the RNS are clear. It stipulates the business plan for 2021, 2022, 2023 and 2024.
We can not factor in contracts being renewed because the RNS does not offer any guarantee of this. If you guys want calculations based on 100% renewal then that is easily done.
Thank you Mick. No rush.
Some of you are now implying €8bn of inventory will be monetised in just 2024. If that were to be the case then everybody's back of fag paper calculations are incorrect and this deal is far far larger than anyone, anywhere is talking about.
@Aim, I will email and get my answers to a few questions I have. From who Ive been talking to, it looks like upfront payment.
A lot were asking for other ways of looking at value so I did those just on the dates and numbers given. I'm being conservative with that.
There will definitely be renewals, probably not 100% but i would expect over 90% in this sort of business. It's a sticky thing to get into.
There will also be self funding which the first of should have news coming this Q.
There will also be growth in other funding areas.
I did voice my concerns last week about forward projections ,prior to funding, and sincerley hope we are not all barking up the wrong tree as rather long here and getting longer by the day but doubts are circling in my head......