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Hi fatoomch
Not completely sure about the 6mth verses 12mth rule.
You raise fair points about TPG going forward.
I'm still holding out for some kind of sensible exit, but have been disappointed with tpg over the years.
Time will tell, still a hold for me.
Cheers R
Hi Radius
My understanding is that any bid from SAG has to be at the highest price they paid in the previous 12 months. That is 6.5p and lasts to around Sept 2022.
Rule 2.8 allows SAG to make a bid within 6 months under a number of circumstance (i.e. bid from another party). But (again, my understanding, having researched) is the rule regarding the highest price paid within the past 12 months still applies so would have to be 6.5p minimum.
In the period until Sept 2022, we will see full year 2021 results as well as the outcome of Lindsay’s work on the parts of the company that don’t fit future plans.
FST, that SAG previously took over, “focuses on digital radio and smart audio technologies, providing chips, modules, and software for consumer audio devices.” That’s a pretty narrow field – and was picked up for around £10M.
TPG is a far bigger, more complex beast, with a similar number of employees to SAG itself. If SAG spend the next year running TPG into the ground with a view to picking up at a bargain price in October 2022, the damage done will be irreversible and they’ll be left with a dead duck.
Thanks fatoomch
I agree with you regarding Cartmell.
I'm fine with the new management having a chance to turn things around, but I can't see TPG staying as an independent entity.
SAG will want all the upside, so I'm expecting an offer after the 6mth window is over, at what price is anyone's guess.
Good luck to all lth's
Cheers R
Fat. Lindsay gave a good update in recent times saying costs were reduced and trading in line with expectations. A much better picture than many were predicting. Still slating the old board and little commentary on how your friends are going to turn the company around
Hi Radius
All in my opinion of course, and I prefer to use background research to form those opinions
The old BoD – Cartmell especially, used TPG as their personal fiefdom and benefitted as a consequence. The recent statement that employee reward will now be based on company performance is a thinly veiled revelation that it wasn’t previously. Shareholder return wasn’t on TPG radar either, until things went south and the 2020 results were announced.
The RNS about fuel cell “supply” for Hydroflex was suitably vague – some interpreted it as TPG Fuel Cells. The reality is TPG are a consultantcy who will use their knowledge to select a fuel cell – which will be “supplied” to the Hydroflex programme.
I don’t have a crystal ball so can’t forecast, but I do know that the continuance of the old BoD would have done shareholders no favours. Bringing in Lindsay was too little too late, and they were guilty of destroying shareholder value – which lead to SAG taking over.
I do note that Maritime has had a reshuffle:
Claire MacPherson is no longer a director but remains as Company Secretary.
Jon Constable was appointed as a Director - October 22nd.
Daniel Barr was appointed as Finance Director - October 22nd.
Jon Constable is a long standing creditable TPG name. Daniel Barr has been at TPG for over 3 years. Derren Stroud remains as CFO.
Having 3 directors, all long term TPG employees is solid, sensible, and forward looking and provides far more governance over Maritime than a CFO and a single Director could. (Maybe Cartmell preferred it that way?)
It’s actions like this that give me far more confidence than the previous “ownership”. Employee reward based on performance and far better governance over Marine which looks as if it could remain a key part. Only time will tell.
TPG are a consultancy- nothing notable on the RNS front for a while and I don't expect that to change in the next 6 months.
Once Linday has completed his work we may see something.
fatoomch deflecting the question there. The honest answer would be that the presence of SAG brings zero benefit to most shareholders. Aside from a little rise, which has been and gone we are back to where we started SP wise, albeit with SAG owning the lion share of equity now just under the bid threshold. You were warned about and still did vote for the head eating cannibal party. All the positives you alluded to and extolled the virtues of have now consequently evaporated, other than SAG submitting a low ball bid in time how do we the shareholders of TPG (not SAG) benefit from this decapitation?
Flo - when was the last good update irrespective of boardroom?
Hi fatoomch
Can you see the new TPG BoDs releasing any meaningfully positive news prior to the ending of the statutory 6mth bid window?
Just trying to understand your take on how having SAG bod members on the TPG board is good for tpg shareholders?
Radius. Had the boardroom not changed we would have had a good update off the back of COP. Good news will raise the share price though and I'm guessing SAG won't want this
Hi fatoomch
Thanks for the link.
It's difficult to get a definitive idea of what they do & don't do from their press release's / rns's.
Their taking of manufacturing bespoke wiring systems etc for the hydroFLEX system but little detail.
As a traditional supplier to govt/mod customer's they have never put much emphasis on updating or informing their shareholders or potential new shareholders on progress, this is so outdated.
I realise that much of what they do is confidential, but there is certainly room for improvement on this front.
Thanks for your prompt reply
R
Radius
There has been plenty of recent press at COP26 on the Hydroflex.
Read the article at the link:
https://www.the-eic.com/MediaCentre/Detail?articleId=471
The TPG news release was worded very very carefully to the extent their role was less than clear.
TPG is a consultancy that will supply the fuel cells. They won't build or assemble - merely supply.
A bit like an events organiser "supplying" the band and catering for a wedding. Utilising their background in the industry to find the a solution.
How ever many trains use this fuel cell - TPG isn't making them.
Must be due a update on the hydroFLEX train situation.
This share needs some positive news
Don't really want to be offered peanuts in a few months for my holding.
BB, an open offer of 6.5p was never on the table.
A chosen few with largish holdings and a broker who would facilitate 'broker to broker' transfers managed to get 6.5p, but not the average Joe.
This is unfortunately playing out as predicted.
R
Signed, sealed and (almost) delivered. Now just haggling over the price. Should have taken the 6.5p!
Maybe they really do have a grip - I just hope the current drop is not a market reflection of what it is that they actually have a grip on!!??
Let’s hope value now can be added. The market may think that a T/O is now imminent, but at what price? In these situations I all always think of the employees.
Morbox - SAG were already in control. Fair play to Holland- emerges with some credit - although tbh, another one who probably contributed very little.
Lindsey and Stroud seem to be the proactive and positive face of TPG .
Positive reaction once again from the market.
Onwards and upwards
Yeap. Chair is gone! Let's get on with the restructuring and incorporating the business into SAG's strategy.
We are now totally in the grip of SAG. Just going to see if I ever get my investment back! But saying that they may decide to keep TPG as is and make a success of it (but I don’t think so).
Cannot wait for the Chairman to be voted out and removed. They just want to destroy any value of the business for their own sake, their own employees and for the shareholders. Terrible bunch.
LOL cat. Appreciate the applause.
SAG (aka King Arthur) are just about to lop the remaining leg off of The Black Knight then continue on their journey. "Ok, we'll call it a draw then"
Stokey, my comment was tongue in cheek. I agree that I certainly wouldn't buy in to a company that had a dysfunctional board and I am not looking to add to my TPG holding at present.
But neither am I willing to sell at current prices. The component parts of TPG are valuable (I still reckon a realistic break-up value is 9p per share), and I really don't see the share price dropping below about 4.4p as a minimum (apart, perhaps, from during temporary doom-laden dips). So I see the down-side risk as being much smaller than the up-side potential and willing to hold on that basis.
Lutra ref 12.51 post not when you have a dysfunctional board
Stokey, "buy when others are fearful"!
Having reflected some more o today's RNS I am no longer confident that there is s clear path to me regaining my losses. I am therefore going to sell off my holding and cut my losses. When some semblance of normal business returns I might reinvest.