RE: I'm certainly no car expert23 Dec 2017 22:09
14th Nov RNS
IMHO ,the White Car deal was primed months ago and is a great excuse for "lifestyle Scott" to get his hands on another salary while supposably representing RGM shareholder.
Andrew Bell, Chairman, comments: "The emerging dynamics of the electric vehicle or EV battery industry has led to a focus on the metals most affected by this new source of demand. Nickel and cobalt are key materials for the cathodes of these batteries and cobalt has seen, and nickel is beginning to see, price rises off recent depressed levels that we think will be sustained. The Mambare project in which we have a 50% interest is potentially among the largest long life sources of these metals and is situated near the major markets for them.
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If Regency is to seize the opportunity that is presented this can best be done inside a dedicated business operation, since at present Regency's valuation clearly lags its comparators in the field.
Not sure what the Dragons Den mob would make of this deal but £400k for 6% of a company with a £275k NAV doesn't make a lot of sense to me,but at least White Car have one thing in common ,they both make a loss which isn't surprising given they daily rental charge is more then half their competitors (comparing 4 days like for like using the same vehicles with Hertz and Avis ,4 days in March 2018*)
*DD taking all of 2 minutes
The management accounts of White Car as of 31 October 2017, showed total assets of £274,708.85 and net assets of £233,889.96 with £90,815.05 of cash. October revenues were £48,303.62 and losses £60,672.59.
Also this sounds to me like they are expanding too quickly before proving the business model works.
Whitecar is currently raising equity capital to scale-up across major European airports and projects at least 30 directly managed outlets by 2022. More information can be found at www.white.car.
And finally what the F*** has this venture got to do with Mambare?
Anyway I am sure this all makes sense to "Lifestyle Scott" and thats the main thing.