I can understand why people are getting het up about costs - the daily £4 and the cost of the readers. But I think it's a classic case of not understanding the scale of state spending. If everyone in the country had a daily test (unnecessary, not everyone is going somewhere every day) you're talking what £70bn/year if gov funded it all. Have a quick look at what we are currently spending on furlough, unemployment benefits, moonshot, whatever.
People also seem hung up on the inequality angle. This isn't anything new. How do we solve it for other medical situations? Well, we give out free prescriptions to those who can't afford them, for example. So reality might look like the government subsidising some of the cost (let's say half - does £2/test feel more palatable, for a cost to gov of perhaps £25bn/year?). Or, they might make them available for free to people on low incomes. There are other options too: you could mandate tests for hospitality workers, for example, and the cost of 10/20 staff in a pub being tested would be recouped pretty quickly.
Agree the presentation wasn't as slick as it might have been but I think this is a case of people not understanding a transformational technology. I may be proven wrong in time but I'm not selling any of my shares.
Hate to bang on about this but their annual report says they held at 31/12/19 and if they exercised surely GGP have to RNS it. They RNS'd the last MTR exercise in 2017. It's possible I suppose that they haven't but seems strange.
Alternatives I guess are that MTR sold the warrants (seems like MTR should RNS that), or that the website is wrong. To be honest any event with the warrants post 31/12/19 would seem newsworthy from MTR's point of view given the share price movements, so unless someone can point me to that RNS I still think the website is wrong and they continue to hold them.
Great RNS, shares up 40% admittedly from a ridiculous price. So much more to come on all fronts and if we can hold these gains and hit the risers board then a lot more people re going to be looking into Tek and realising what a cracking opportunity they are at these prices. When we get some figures on sales under this new Salarius partnership - perhaps an update by the end of the year? - people are going to really realise how cheap Tel is.
Excited for the MRE this month: think it'll put a rocket up the share price if it's anything like what the indications are. Imo plausible the NSR could be in the range £10-£100m if the resource is as substantial as they seem to think it is. I'd be pretty happy even at the bottom end of that range.
Interesting discussion about whether they might sell it. Personally can't see it, seems they like raising cash against assets and given a MRE would both boost the value of their SFR holding and provide an annual revenue stream which could be meaty, why sell the golden goose? MTR style seems much more about small stakes and if they sold the NSR royalty for (say) £100m that is a lot of small stakes. How many early stage projects can they possibly have on their radar?!
Really not sure I understand why people are so hung up on consolidation. There might be some market reaction but the fundamentals remain the same. If anything the irrational market reaction is an opportunity.
Also think people are forgetting that SKIN share price has doubled in a month, MWG has done well too (+50%?) but not in the same league despite both being integral to the waste water monitoring solution.
Hmm, maybe. Still need them to grow some proper revenues and profits, should come off the back of increasing presence/subscriber numbers, but I did expect Covid to give them a boost and not sure it's been all that significant financially. Maybe it'll come through in the next few updates if those new customers stick.
Not a lot of action on this BB generally is there! Surprised not more interest in this company, I bought a chunk about three months back and results since (allowing for Covid) seem pretty solid. Still waiting for the US explosion but it seems to be ticking along nicely, TfL contract renewal in the UK was good news too. One to tuck away and look at again in a year perhaps.
In reality before any sale news emerges I'm guessing the share price will drift up: nobody buys the subsidiary of a £10m company for £100m right, you just buy the whole thing for half that.
But I suppose I was more thinking about what they do next: I've no doubt there are plenty more potential projects in the pipeline, and it'd be great to have the means to fund those. Special div for half the proceeds maybe, keep the rest in cash?
I've got a small holding with HL - 20k shares or so. Torn whether to sell it all before we move or hold out for a re-rate on HKEX and just stomach the extra fees. Imagine plenty of other small investors are just banking some profits and not interested in the hassle or fees if they've got a couple of £k worth here.
From my own research and that of others on here (many thanks!) I think my EV for this share is 15p ish by the end of 2020, makes me think if I can sell for 11/12 before the move that's OK business, if the price stays stubbornly low even after tomorrow I might just ride this tiger to the HKEX!