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I contacted the investor relations manager and they cant really say anything.

Well look at the drop since the 52 week high in May 2019. It was 1069. Now its 800. 25% down on the basis of what?

I really have no idea. I'm still sticking with CLIN. Always been here for the long haul. Acquisitions have barely had time to bed in and consolidate with the core business. CLIN is highly cash generative. I was slightly concerned that gearing has gone up as a result of the acqusitions but the management know what they are doing and hopefully economies of scale will be realised soon

Is anyone concerned about the drop in SP?

Dont be silly.

If funding is secured of course the SP will rise. But that would be a great entry point for many. A lot of people's averages will be between 10-25p.

Any reasoned investor would wait until funding is secured before investing. can you honestly advise anyone to invest in SXX in its current state. It would be a gamble. Not saying it wont pay off but still a gamble all the same.

Which idiots are still buying SXX? I know I'm still in SXX but I think you'd be a fool to buy in at this time. Any reasoned investor would wait to see the outcome on whether they are capable of securing financing.

Nice to see lots of positive buys going through. I'm confident that this has baselined just over 800p and I certainly believe that we are on the pathway towards 1000p

I never said it would be sold for MC. But any insolvency practictioner would use the book value to value SXX and it aint much.

My point is that if a funder is prepared to part ways with £500m then it may make sense for them to buy SXX altogether.

SXX market cap is £250m and they need £500m. That stark realisation says it all for me.

Any funder would just buy SXX, keep on all the operational staff to get it built and then consume all of the profits.

My portfolio is heavily weighted towards CLIN. Need to diversify more.

Surely some of the 85000 private investors can help Chris secure funding. I'm an accountant and can't really do too much to help but out of 85k investors surely we have credible people with experience and expertise or contacts to have a potential influence.

Agreed.

I think at Corac the staff were more technically minded and the business didnt really have a commercial focus. The current management team seem to have turned that around and its pleasing the order work is significantly improving year on year at a very rapid rate. Let's hope that they can continue the rate of growth. I'm confident that they will continue to grow, win more contracts and expand the business organically. I don't think the SP reflects the prudent projections but I guess markets are tough at the minute.

This will be 200p by Jul 2020

I remember when TPG (Formerly Corac) was at 40p and was in a lot worse position than where we are now.

DEFINITELY.
The market cap is pretty much the amount of cash that is on the balance sheet.
TP Group is well in there with the government and its now well positioned to tap into European tenders as well.

As I've always said, cash is king. And cash generated from operations is £26m (40%) higher than 2018.

The main reasons why profit appears lower and EPS is lower is because of the higher amortisation costs and the fair value of contingent consideration. This is to align to accounting standards and is generally what happens when you make acquisitions.

I don't like the fact that gearing has increased. But I do have a lot of faith in the management of the company.

What are you on about?

Revenue 2019 vs 2018
Revenue up £75m

Gross profit 2019 vs 2018
Gross profit up by £44m

EBITDA up £0.8m

This would get spotted by any credible auditor. There's a reason why companies are regulated and audited.

It seems that the Qatari's who obviously have a big holding in SXX are trying to savour their own investment with this news.

It will be the shorts closing their position.