Member Info for bots

Sorry ipencil

PHC board wanted to avoid dilution. This is mentioned in the 2022 results RNS and in conversation at the AGM meeting.

I guess they could find a way to do this in the end.

Avoid dilution!

I’m sure if you asked the board right now they’d say the same. Several directors own shares, CR has 1%+.

We were told at the AGM that Cenkos were reviewing the options on funding. Further questioning on the matter was closed down - draw your own conclusions I suppose.

If the benefit outweighs the dilutive downside I’m happy., and like I say, it clears the uncertainty.

In the 'result of consultation' RNS it states.

" It was clear in the consultation process that investors are consistently supportive of the Company's track record of delivering growth over recent years. Moreover, the Board is encouraged that a number of shareholders were supportive of providing further capital to accelerate organic growth, if justified by returns over the current plan. "

PHC could continue within existing funds to reach profitability within the anticipated time-frame (before 2025), but with additional funds, market conditions are right to out-pace this timeframe. Assuming a successful bookbuild following today’s RNS, the ‘Plant Health Care’ brand can be deeply and broadly embedded within the sector. I note that Ospraie and Scobie Ward are participating in the raise which gives confidence. It’s also nice to hear that H1 sales are in line with expectations.

So for me, this RNS clears the uncertainty that’s been hanging around the share for the last month or so. Onward…

Nanoco are valued at less than estimated year-end FY23 net cash balance (£5.3m) plus the remaining $75m (c £58.7m) to be received from Samsung according to Edison. Difficult to apprase the fundamentals amid the cash bonaza they've just received. Sentiment is down the toilet (unfairly?). The SP collapsed in Dec/Jan due to Lombard profit-taking right? So 9.5p seems like a good place to take a nibble - nothing more until I do some proper homework on this (it's needed I know). Since I know sweet FA about Nonotech, I'll reverse out of your way folks and let you get on with your discussion.

I was at the AGM held at Cenkos Offices earlier today.

Unfortunately, the two Jeffs were busy at another meeting and only attended the AGM very late on. The meeting was chaired by Chris Richards with contributions from Guy van Zwanenberg. There were the usual admin staff and a couple of bods from Cenkos, whose role mainly involved politely advising CR as to what he could or couldn’t say. This was necessary because the three investors (also attending) asked some pretty searching questions. CR was his usual friendly, reserved and very brainy self. An absolute pleasure to chat to along with the other investors.

I’m not going to give a detailed account, but just a few key points.

1/ No decision has been made about securing non-dilutive funds and Cenkos continue to evaluate the options against a tricky macro-economic background. The desire to avoid stock dilution is palpable and that should be refreshing for all investors (they care about us!).

2/ CR reaffirmed PHCs commitment to AIM, but I sense there is still frustration about the share price not representing recent progress.

3/ There was a discussion about consolidation in the sector, but this felt like some way down the track. Instead, it seems that PHC will continue with its progress towards profitability (unless opportunities present themselves).

4/ There was a brief discussion about the role of larger investors/fund manager in influencing consolidation in the sector. I mentioned Dwight Anderson from Ospraie. CR made it very clear that the PHC board is in the driving seat when it comes to corporate development. This gives me confidence.

5/ I asked which competitors the company most admires. From a peptides perspective CR mentioned Biotalys, Vestaron and Elemental Enzymes.

6/ I asked which European country PHC production had moved to, but they didn’t want to say because it might alert competitors. My concern was more about security and CR was quick to say that it was a safe European country.

7/ First sales of PHC279 (via Wilbur Ellis) are close now.

8/ The board has no desire to sell the company on the cheap. Good to hear it, PHC is already a good company and IMO has all the hallmarks to be a great company in the future. CR repeated his desire to have a PHC product on every field – (paraphrasing Bill Gates). Love it!

There was a bunch of other relevant stuff – I recommend investors attending if you can next year.

Fertilizer chemicals are also running into the sea causing seaweed blobs stretching hundreds of miles.

There is another way of boosting crop yield folks 😲

https://amp.theguardian.com/us-news/2023/mar/16/seaweed-blob-florida-sargassum-beaches

...means greater need for alternatives.

https://www.bbc.co.uk/news/world-europe-65845441

If a fund-raise is to takeover a profitable company boosting the ultimate profitability of PHC, I’m okay with that.

I wouldn’t see this as dilutive, investors end up with a bigger company.

I still favour a bond issue on the LSE sustainability bond market. Essentially a non-convertible loan with lower interest rates due to cutting out banks and the ESG goodwill discount. I’ve mentioned this in the consultation, but who knows?

Easy to over-think things.

WAND likely to survive IMO.

Recent holdings announcements just a shuffle around and probably not related to corporate activity but who knows?

Anyone going to the AGM?

Terragen has a rock bottom share price but showing good growth for its products and looking for new overseas markets.

I’m sure this scenario repeats over and over throughout the sector. I can feel a renaissance in AgTec coming, just the market hasn’t noticed.

Current bear market in small caps doesn’t help.

PHC’s stance on AIM changed significantly following the consultation. Are we going to see some long overdue consolidation in the sector?

I wasn’t expecting that RNS.

Bravo Scobie!

Wish the share price would reflect all this acquiring.

.... and they're brilliant

[From Rodrigo Miranda's Linkedin]

PREMIUM PERFORMANCE

We have recently announced that our PREtec nematicide, PHC68949, is closer to get registration in Brazil, one of the biggest market for nematicides in the world. While we are preparing the launch of this innovative technology, remarkable advisors continue to develop trials to increase market knowledge on its benefits to crops. This week, JULIAGRO BGP presented the report from last season trial with seed treatment application on soybean and results are amazing. Compared to standard market product, PHC68949 delivers slightly better level of control of nematode and its eggs, in the root and in the soil. However, it delivers additional 3.5 bags/hectare higher yield vs. market standard and additional 10 bags/hectare, when compared to untreated area!! High level of control, higher yield, and higher profitability to growers, without harm to food and environment. Watch PHC68949 technology video on our channel https://lnkd.in/eMC2CYRT

Count on Plant Health Care, Inc. and live a new experience on crop protection. With Plant Health Care Brasil and Fernanda Juliatti

DD77 - I agree.

PHC have nailed their colours to the mast now which should scupper anyone planning to buy the company on the cheap.

Onwards and upwards as they say.

1pencil,

Yes small caps very volatile, especially with relatively few shares like PHC.

1% of the company is 3,090,000 and yet we're swinging 3-6% with less than a mill traded.

It's disconcerting, but I tend to focus on the core business and there's nothing wrong there, so stay the course. If a TO bid emerges, the SP will climb much higher.

Brilliant interview with Alex Cochran of DPH Biologicals discussing Agritech solutions.

PHC isn't mentioned by name but almost all of the content is relevant.

https://podcasts.apple.com/gb/podcast/alex-cochran-discusses-the-value-of-biologicals/id1390019017?i=1000612379204

I wondered whether mixing products like Proact and PreTec would deliver 'additional' benefits to plant growth. Each product seems so effective on its own. Well it seems mixing does have benefits.

------------------------------

Ángel Marín, general director of Plant Health Care for the EMEAA region, will present next week in Navais, Póvoa de Varzim (Portugal), within the Horticulturist's Day organized by the company Agrinavais, PREzym ™, a new product based on PREtec™ technology that contributes to achieving an optimal crop and that added to ProAct®aa, which gives a plus of profitability, It offers a complete benefit.

Just thinking about timelines, I’d say they’d want to make a decision about the company’s future quite soon, especially if its’s something that needs voting on. The AGM in late June seems ideal.

Great to see PHC949 progressing. Of all the great products that PHC have developed, 949 is most keenly anticipated and has massive potential as ‘best in class’ biological nematocide.

Should add significantly to the value of the company -(** a note to potential buyers).

Thanks for the post 1pencil
"building a biotech company in the UK 'is like trying to grow plants in the desert'."
I love it! - Great quote.
---------------------------------
There's also a podcast from UK Investor Magazine on 'London as an IPO destination with Datasite’s Merlin Piscitelli' [ ukinvestormagazine.co.uk/podcasts/ ]
There’s an interesting section on the benefits public vs private; in particular listen from 10.06 mins. [Quote] "Now you're going to enter into a different era of the market where you're going to start to see more dual-tracks where you’re exploring potentially private sale at the same time as exploring an IPO and seeing what is the highest value you can get.”
Ring any bells?
In my opinion, PHC aren’t trying to sell PHC on the cheap, they’re developing a plan to get the absolute best value possible.

Hello Shedit,
I was one of only two investors at the last AGM so they ‘kinda’ know me. I also expressed a concern, so CR replied.