We caught up with Bytrol CEO David Traynor. Here's what he had to say about their latest trading update. Watch here.
"who knows what's in store" legacy issues as it's the same company I expect! Hoping that the new board will actually tell shareholders what is going on behind the scenes, probably not though, awaiting monumental placing to fund AMAZING NEW OPPORTUNITY
If RTO comes along from new directors, best bet here is that they state they're seeking an RTO - that is your ticket to sell up. If you don't it will come dropping back down when the realisation hits that RTOs aren't free and mass placings and issuances and dilution will occur.
Anyway, at this point the above is total pie in the sky, it's not even listed as a cash shell. It's a listed entity where no ones what the balance sheet looks like, if you have more in here than you can afford to lose you're taking a huge risk. Highly likely to continue to dwindle back down now the mega ramping crew have departed.
The SP isn't moving because there's no increase in perceived market value just because two new directors have been appointed, otherwise this remains a business with no contracts and no real viability (i.e. it has no revenues to sustain it). News = SP movement, don't be surprised if new directors have HUGE plans, much excite, very significant, but at a cost, oh yes, you'll be taken to the moon but you'll pay an opportunity cost = placing/raise. Even with £1m loan, debt facility drawdown, there's not a lot of dry powder to move on anything meaningful IMO
It's blind faith posting with zero knowledge of what's to come, reminds of the derampers who were here certain this would fail but had absolutely no way of knowing what could happen (turns out they were right on that point but it's purely a broken clock being right twice a day scenario). If someone can advise why this will fly I'm all ears, still have a holding here, figure we're waiting for RTO of some sort.
Also, who is appointing these new directors?? Needs major or at least two separate shareholders to appoint? Anyone know how it works?
You think directors move their own (as in personally or otherwise owned) assets into a company they don't own any part of? What? Directors are in place to run a company on behalf of the shareholders, the only assets any director will 'bring' in will be ones they purchase using ICON funds, be it held funds or raised funds (dilution). That's how an RTO works, no shareholder here is going to get something for free. The upside is if an RTO comes along and the market sees a greater future value potential then SP will fly
Lol Lemon, would you put your assets into an entity you didn't own? By that logic you should give me all your cash and I'll sell you back part-ownership of it? Any assets brought in, or RTO, is done via dilution. HOWEVER, the new director is certainly a left field outcome against the backdrop of doom&gloom and folks thinking the company is finished, someone has big plans for ICON it seems (or at least just plans) and it'll be interesting to see where this goes near term. One thing is for sure, ICON responds very well to news, market seems to perceive it as speculative but any sniff of an upside and it flies
JAdam - I derisked my position and sold SOME as there was a huge spike, still holding, if it flies, happy days, if it dips and I think there's a good case, I'll buy more. I'm not actively trying to influence either way.
Derisking - I disagree, yes derisked in terms of liquidation for now, but that risk will come straight back to the fore if the new director finds the financials to be an unworkable mess. So not derisked in the slightest as far as I'm concerned - it's binary, they will either announce 'finances all OK' and it'll likely fly, or they'll say 'situation is terrible' and it'll tank back to notional value, maybe less if negative equity position is greater than first thought.
Finally, the words of the new CEO are laughable:
the next phase of it's development? what? you mean the first chapter in taking it in a new direction surely. The original development plan was the UNILAD boys growing a business - they've gone. And our largest shareholder is OTT who are a cypriot hotel operator or something??
"Prioritising early dialogue with OTT and lenders" yeah I'll bet, to figure out what money lurks in this entity and see if there's anything worth pursuing - which ties into my earlier point. And all of which ties into my post about whether folks know the risks here.
How has recent news de-risked anything I've raised? My previous optimism for this share was in the old BoD generating some new contracts and growing profits, that clearly not happening now.
I'm not convinced some new folks here are aware of the risks, but if you speak for all of them and assure me that they do then OK. I've never stated I want in at a lower price, I reduced holdings to balance risk profile.
Some eye opening posts on here, are people clear on what they're buying into here? Just a few facts from a medium term holder/trader of this share (and still holding some):
There is no income and real business case
The level of debt within this company is unknown, whatever it is it will be required to be paid, the only way it gets written off is via liquidation of ICON
The level of cash remaining in this entity is unknown, yes there was a raise and a loan facility but it remains completely unknown what the status of this cash is (the old BoD may well have spent the lot on a team day out and Mont Blanc themed office goods)
IF it goes to cash shell the gains will be momentum/speculation based EARLY, if the above areas turn out worse than expected it won't look pretty
Not telling people to do anything one way or another, just consider these factors if/when dabbling that's all.
I think wolves' point is valid re spikes, they're for selling not buying! For example, everyone that bought today at .0068 is currently c20% down based on live bid of c.0057. The news has already dropped, lesson if you're now stuck in is get out on next news and bank profits! Or if brave, hold for potential cash shell news
Interesting, looks like OTT are indeed taking control as I mentioned yesterday, what they plan to do with this entity is anyones guess. If the term cash shell gets mentioned I imagine it will do more intraday spikes for sure, just sold some more myself, great opportunity to get out. Changing my tune a bit granted, although I still have some left in for the record. If this dips between now and next RNS I'll be going back in, as I said this is likely to be undulant so try and ride it profitably
TLDNR - sell spikes, wait for more
I heard an Amazon contract is lined up for signing on the 30 February this year, no doubt some dilution to fund cost base requirement, maybe 3 trillion shares at current price should cover it, followed by a modest 2for1 consolidation, I'm watching this space for sure, had a little top up of 1,000 shares today in anticipation of the aforementioned contract
Here is the only play here in my opinion - OTT as largest single shareholder taken control, institute a new BoD and pursue cash shell route. This is only viable if the state of finances can be cleaned up. The issue with this is that EHGOS have a claim against the ICON entity, therefore this 'listing' be it cash shell or no is bound by that claim (because ICON as an entity is the one who transacted with EHGOS).
No-one can say for certain what the state of affairs is, it could go either way. If it's messy it will fall to absolute notional value most likely, if it's better than expected and can be turned around (i.e. EHGOS cleared off) then it may well fly to dizzy heights. Worse case, EHGOS seek to pursue even harder and lodge a creditor-based winding up petition whereby everything will be cleared and netted and they get whatever is owed (there'll need to be some calculations in this regard because what they are owed is linked to shares being issued, allegedly).
I've too much on to put myself forward as director here but someone needs to! I fully expect OTT to do so, unless they've just walked away and written off their investment (one tends to believe the latter is unlikely given the press statement they made recently) - watch this space but don't put the house on it.
PS - only hanging around and commenting because I left some in to see how above plays out, definitely sold some today though!