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Dr Christopher Richards grabs another £75k worth to increase holding to 1.4% of PHC.
Directors have plenty of skin in the game - follow the money aye 2phevs!

Bipartisan US lawmakers introduce bill to define plant biostimulants.

US Congressman Jimmy Panetta has introduced a bipartisan bill, the Plant Biostimulant Act, 2022, that seeks to amend the country's Federal Insecticide, Fungicide and Rodenticide Act (FIFRA) and establish a national definition of "plant biostimulants". Mr Panetta, a Democratic lawmaker from California, authored the bill with his Republican peer from the state of Indiana, Jim Baird.

Mr Panetta points out that there is no consistent and predictable path to market for plant biostimulants and this legislation would help remedy that problem with federal guidance from the US EPA and USDA. He notes that that many in the country's agriculture industry are unable to access biostimulants in the absence of a "formal" and "standardised" definition. In December 2020, the EPA ran a consultation on updated draft guidance on the definition of plant biostimulants and which types of products would be considered as plant growth regulators and, therefore, subject to regulation as pesticides.

The Congressman says that the bill would create a uniform process for approving commercial plant biostimulant use and require more federal research on the technology's benefits for soil health. He points out that the use of plant biostimulant technologies has also shown promise in sustainability management practices such as carbon sequestration and water quality improvement.

The development has been hailed by US company Marrone Bio Innovations (Raleigh, North Carolina) and Danish biotechnology business Novozymes (Copenhagen), among others. Industry organisations such as the Humic Products Trade Association observe that the bill was "desperately needed to help the states establish a clear path to market" for the biostimulant industry.

The US Biological Products Industry Alliance (BPIA) anticipates the bill leading to enhanced utilisation of technologies such as biostimulants, adding that such products could be "useful tools" for carbon sequestration from agricultural activities.

https://ihsmarkit.com/research-analysis/bipartisan-us-lawmakers-introduce-bill-to-define-plant-biostim.html

Nutrien already Treating 150,000 hectares of Soybean with (PHC) Saori rising to a predicted 1 million hectares in Brazil in 2025.
Total treatable Soybean area equals 40 million hectares.
There is a massive squeeze on fertiliser in Brazil.
Soybean farmers in Brazil spend US$2.85 billion in combatting plant disease in the country.
…. And this is just in Brazil
…..and PHC have global distribution reach.
…..and there’s going to be a global food shortage.
…… and PHC have other highly anticipated products to roll out for nematode control.
…… and their products are biological, sustainable and not chemical.
Go figure where this company’s heading, peeps.

Could do with a few more people on the board if I'm being honest.
I'm not sure JW is a pump and dump, he's more of a 'in-crowd' bandwagon investor. I doubt he holds PHC - far too boring for him.
I think the AGM will be rather a short affair, but planning to attend. It's in the Walkie Talkie building.

1/ To disapply statutory pre-emption rights.
2/ Authorise company purchase of own shares.

Wilbur-Ellis distribute their own products as well as PHC in the US. If they’re interested I guess they’ll wait until PreTec gains US licenses and they’ve had time to test demand.
But I hope PHC stay the course. Given time, and working with some of the biggest distributors expansion opportunity is absolutely global.

View from Vox
https://www.**********.co.uk/articles/plant-health-care-signs-five-year-commercial-agreement-for-saori--6e6b601

Plant Health Care’s mission is to tap into the global market for biological products, a market which is growing at 12% per annum and is projected to be a $19 billion market by 2026.

Since 2018, the company has evolved its strategy from a focus on licensing its technology to major suppliers of agrochemicals, towards working with distributors. It is convinced that the company’s distributor partners will drive the adoption of its technologies over the coming years, to the benefit of the farming industry as it seeks to adopt more sustainable practices.

Plant Health Care said the market for sustainable agriculture is growing at more than 12% per annum - and that the business is aiming to grow faster than that market in 2022 and beyond.

In recent weeks, Chairman of the Group, Richard Webb, told investors that Plant Health Care delivered strong results for the year ended 31 December 2021, ahead of market expectations.

The Commercial business was EBITDA and cash positive for the second straight year with on-ground sales strong in Brazil and the US which increased 48% and 85%, respectively.

As at 31 December 2021 and 2020, investments and cash and cash equivalents were $9.2 million and $4.1 million respectively, with cash remaining a primary focus for the business. In March 2021, the company received improved funding following its fundraise of $9.1m.

As a result, the Company was able to increase its investment in PREtec product launches in 2021, raising the rate of cash burn to $4.1m. At the end of 2021, its cash reserves were $9.2m. The Company said it is confident that it will reach profit within these cash reserves.

Dr Christopher Richards, Chief Executive Officer of Plant Health Care, said the Company’s encouraging performance in 2021 demonstrated the strength of its competitive position.

As it rolls out PREtec products, the company anticipates that sales growth in 2022 and beyond will be “even faster than in 2021.” It said strengthening its position in Europe, the world’s largest market for sustainable agriculture, is an important element in its strategy.

The Company’s previous agreement will see it distribute the Harpin aß bio-stimulant product, ProAct®, into Argentina and Uruguay, respectively, to further drive its commercial sales.

Ager Agro SAS (“Ager”), which supplied products to 10 million total treated hectares of crops in Argentina in 2021, was recently appointed as the group’s distributor across both markets.

Over 16 million hectares of soybeans were planted in Argentina in 2021. Furthermore, farmers are under increasing pressure to move to more environmentally and biologically friendly products to improve the sustainability of production, the company acknowledges.

Nomlungu
I don't think it's unrealistic at all (see article).
https://www.bloomberg.com/news/articles/2022-03-21/ukraine-war-sours-fertilizer-bets-of-brazil-farmers-seeking-cuts

"Many Brazilian farmers have been caught off guard by soaring fertilizer prices following Russia’s attack on Ukraine, leaving them stuck paying more for nutrients to support their plantings later this year. Only 28% of Brazil’s fertilizer needs for the second half of this year were bought in February, according to a StoneX survey of growers representing about 40% of the nation’s total grains output. That’s down from 43% a year ago. Few deals have closed since Russia invaded Ukraine on Feb. 24. "

If they turn to Sarori as an alternative and it works (which we know it does), this will boost adoption. No wonder Nutrien is extending it's contract.

Nutrien loves Saori-(horseshoe)

OAP,
I know, but folk who are new to PHC need to know that PROACT and PRETEC products have years of development and testing behind them. They don't just work, they 'visibly' work. The visibility of the outcomes will speed adoption of the products at just the right time. You will have seen the Bank of England warning of an 'apocalyptic' global food shortage with fertilizer ingredients difficult to source amid the Ukraine/Russia war.
PHC are sitting on a sustainable solution with global scalability and investors are fast asleep.
Patience required.
https://www.telegraph.co.uk/business/2022/05/16/bank-england-warns-apocalyptic-global-food-shortage/

https://news.agropages.com/News/NewsDetail---40092.htm

Saori results from Brazil are frankly eyepopping and PHC 2025 forecasts are based on them gaining just 1% of the market.

Who thinks sales of Saori will stop at 1% of the market? .......... Thought so.

Rachel
It's a hard call this one. PHC are careful not to over-promise and have not said much about 2022 performance. Read into this what you will. There is a trading update in July so we will have to wait, however it's clear that their products are gaining traction, and new markets in Argentina, Uruguay and the US are massive. It helps that distributors, such as Wilbur-Ellis, act as advisors to the growers recommending a suite of products from different companies sensitised to growers needs.
Much of the previous cash burn was due to development and launch costs, but the products are now in place and they have enough cash to launch PreTec in 2022. I guess I'm summarising what it says in the following statements from the 2021 results. I would add that any company that says it can grow organically (within current cash), as PHC have, are manageing their debt within revenue, and once clear, we will be in FCF territory. They predict 2025, but I anticipate sooner.
----------------------------------------------------------------
Performing above expectations
Revenue growth accelerated in 2021, with Harpin aß sales up 55%, lifting overall sales growth to 28% (24% in constant currency). The Commercial business remains profitable and cash generative. We invested $3.0 million in the PREtec platform, focused on obtaining registrations and refining manufacturing costs to support our plan for at least one major product launch every year, starting with the launch of Saori™ in Brazil in 2021.

Stronger balance sheet
We were very pleased to receive the support of shareholders for a fundraise in March 2021, raising $9.1 million (net of costs). With that improved funding, we increased investment in PREtec product launches during 2021. As a result, the Company increased the rate of cash burn to $4.1 million. At the end of 2021, our cash reserves were $9.2 million. We are confident that Plant Health Care will reach profit within these cash reserves.

Summary and outlook
We have set out ambitious plans for organic growth, with revenue exceeding $30 million in 2025. By that time, we expect to be generating strong profit and cash flows. The performance in 2021 was an important step along that road. As we roll out PREtec products, we anticipate that sales growth in 2022 and beyond will be even faster than in 2021. Strengthening our position in Europe, the world's largest market for sustainable agriculture, is an important element in our strategy.

Less than 0.16% shares traded and down 12%? Nowt to do with PHC, everything to do with the wider market.
Moreover, the company just turned profitable with a runway of product launches. Crazy to sell?
I suppose with relatively few shares in issue and thin trading we have to get used to a few jumps.

Do Spreadex have a large position?
No. They don't even have a notifiable position since their holding has dropped below the 3% reporting threshold.
I don't tend to see Spreadex as a longer term investor, more of an overhang really.
This latest move (selling just £20k worth) seems to have been engineered to take them below the threshold for reporting their position. Why? Who knows?

Will I see the company sitting on the launch pad. When it takes off, suggest you stand back. In the meantime, patience is required and buy those dips.

Comprehensive results release. Very impressed with the management here. Can’t understand why the market is asleep on this company. It’ll wake eventually, but wonder what it will take.

Hi OAK
I'm sure you've listened to the following interview on Vox.
https://www.**********.co.uk/media/61fa3ec0b91bb37f49c18d95/?context=/listings/LON/PHC
At about 12min 30secs: Chris Richards
(In 2025) "at this stage this company will be producing EBITDAs in the range of $25m-$30m on sales and generating significant amounts of cash.... and giving a return for that sunk investment of $25m dollars"
I suppose it depends on how you read it, but 'lots of cash' and 'giving a return' says dividend to me; but it's a year or more away.

Think we need more volume if we’re going to step up. Despite last Friday, volume has been significantly down in recent days.

PHC have green, sustainable products that deliver EYESTOPPING results on plant growth, even in stressed conditions. The 'current' Arden broker note values the company at 36p and we're just getting going commercialising PreTec products (South America, then into North Americal and the UK/Europe). With fertilizer ingredients up by more than 100%, Plant Health Care has developed game-changing alternatives at just the right time and owns al the IP. The company is 'recession defensive' (people and animals have to eat) and hinting at paying a dividend in the future (just 302m shares in issue!). Director all hold stock.
My guess is that once we get the North American license for Saori this year, the company will be a takeover target at well above 50p.
Seriously, what's not to like!
DYOR

I should add, the world needs to eat nevertheless.