The latest Investing Matters Podcast episode with London Stock Exchange Group's Chris Mayo has just been released. Listen here.
Https://x.com/TechMinerals/status/1795406754903400516?t=leQLbu0bMjoz1rAC_pRogQ&s=19
According to LinkedIn, Recyclus have just taken on two new marketing staff, a Head of Marketing and a Marketing Exec.
In one breath it sounds positive but in the next, adding two further bodies to the payroll of a company that is currently producing nothing for roles that by nature don’t provide any ROI whatsoever for several months even in an income-producing company sounds a bit baffling. Would welcome the opinion/input of other’s on here..
WKW, that sounds realistic. 2p would see me good, 3p would be great - but anyone seeking this in the short term is likely to be very disappointed.
I feel there is still more pain to come, but expecting anything else from a start up in a relatively new industry would be a tad optimistic.
News of a GE on July 4th could also be promising, I can’t see anything but a Labour victory which isn’t amazing on a lot of fronts, however - it could provide some much-needed government funding if they’re still banging the drum of renewables and the green agenda which would work wonders for the SP as there is currently no other UK company uniquely positioned in the marketplace to provide the services that this one does.
Exciting times ahead.
@ Dusty 09:13
A fking men.
For some it’s an investment, for others a punt but for an angry vocal minority, it’s an emotional investment that’s obviously been over extended and has come with very high short term expectations which have obviously fallen short.
Like others, I’m frustrated. Have said in previous posts I’m down (like everyone else will be!) but life hasn’t changed and I’m not banking on this changing significantly in the short term to accomplish a personal financial goal so I’m happy to let it ride.
Admittedly and with hindsight I’m probably in more than I’d like to be at this point, and could still realise a good chunk if I exited - but I still believe that we’re on the cusp of something good here. SP in the short term doesn’t look too rosy, but I don’t expect it to. As I’ve previously stated, I intend to hold this for 5 years. What that will look like only time will tell. 6-7p a share, or a big fat zero. If it’s the former, then great. If the latter, you win some you lose some. It’s one of many and they won’t all lose.
I notice in a previous post that another of our contingent has written to the BOD, please do keep us posted if you get a reply :)
To summarise, I went in with my eyes open given the infancy of the company (as should everyone else) have always been realistic, and the risk:reward ratio still stacks nicely for a diverse portfolio. I’m holding and going nowhere.
Good luck all, I dare say we’ll need it - but I still believe something good is around the corner if (and a strong IF) the BOD can get their house in order.
Good advice to anyone else on here would be to treat this board as white noise and DYOR, all the material is out there in the public domain.
Same for me, Dusty. I have a figure in here. I have other investments. I have other money. I have other “stuff”.
This represents an investment from the ‘risky’ pot, the figure represents probably a nice family holiday, another watch, a month’s salary, whatever. I’m still healthy, still young (ish!) if it does well, then great. If it bombs, then my life doesn’t materially change in any way - I still have the amount in other places several times over and I can always get it back.
The naysayers in here make me laugh “get out while you can” as if to everyone who’s got money in here it represents their entire pension, they’ll lose their home, and TM1’s failure will be catastrophic to the status quo of life as they know it.
Thankfully, I was relatively late to the party and currently sit at 45% down including fees. I’m not concerned, a couple of pieces of good news will easily see this reversed a couple of times over.
I’m strapped in for the duration, am fully realistic that I could lose whatever I put in, hence using the ‘fun/risky’ pot to take the punt; although the potential rewards if the BOD pull their finger out and it comes good will make that punt very worthwhile indeed.
As always, DYOR, and never invest more than you can afford to lose. Here endeth the lesson.
Been watching today with interest and agree with a lot of what has been said.
TFS can’t be far off at all, if indeed it hasn’t already landed and they’re putting together an announcement. I can only speculate that a sell-off of this volume can only be in the expectation of coming news (but I’m open minded enough to realise that this could be either good or bad!)
If it’s the TFS, then great - but realistically the company need to get selling in order to capitalise on it - so we wouldn’t be out of the woods just yet. Profitability is contingent on other factors after all and the TFS, although a license, isn’t a license to print money.
For me, this investment, although I’ve got a decent amount in, is very speculative - but I did top up mid morning in anticipation of something good being around the corner.
Fingers crossed!
Thank you for sharing and an insightful interview. Only criticism is that the interview didn’t appear to challenge Robin too much, but I suppose that was/wasn’t the point in the interview. Interesting nonetheless, my stance was long-term positive before and this hasn’t changed.
Agree with you there Andy and always find your posts insightful.
I am fairly new to investing and this is the first share I’ve really researched before committing (I found this forum afterwards and am glad I did).
Been an interesting day on this board and I’m just fully catching up after finishing work.
I was wondering if anyone would be able to provide me any insight into the recent (suspected Atlas) sell off?
Working on the assumption that they are unlikely to have had any prior knowledge of today’s news, are we fairly safe to assume that we won’t be seeing as big a sell offs and consequential large dips in SP that we have in recent weeks going forward?
Fantastic news this morning and makes perfect sense.
EV sales are down, Chinese economy down, a lot of hesitancy in the worldwide marketplace would tell me that it would be wise to limit exposure to mining lithium to produce new products for what can ultimately be discretionary purchases and instead focus on recycling the ones already in existence which are coming to end of life.
An astute bit of business.
Still need a lot of other things to fall into place, given the company is still not profitable - however, this deal limits its exposure to potential further losses.
Still need the other bits, though..
Agree with most points today (even some of AJS’ to an extent!). My main concern as stated previously, is that the company will haemorrhage money to an unsustainable degree before the TFS gets approved - although my hope (a dangerous word, I know) is that given it’s been in the pipeline for a decent amount of time so far it shouldn’t be too much longer - and I’m very much in agreement that it will be a game changer for the company’s fortunes and consequential SP uplift.
In an ideal world, this will be approved imminently, everything else will fall into place, the only direction will be up and the value of our shares will rise exponentially.
However, the overall situation is far less than ideal - something we should all be very realistic to. I’m not taking AJS’ “gEt OuT wHiLe YoU cAn!!!!11!!” stance (I am actually invested, after all..) but I am seeing this as more of a bet than an investment, with a commensurate risk:reward ratio.
My take (for what it’s worth) and I’d invite others to pop up for their opinion/to disagree/anything to add, we’re a friendly, open forum after all ;-)
Not planned this post so might end up being a long one, feel free to scroll on by. This is from my understanding so far - apologies for any errors, please feel free to correct me.
So: Risks (of which there are a few - I’m a realist after all)
1) Cashflow. The £5m funding facility was to provide working capital (pay wages, keep the gates open, pay the bills, insurances, rent, rates, vehicle costs etc etc) This is clearly not a cheap business to run. The funding facility is secured against TM1’s 48% shareholding in Recyclus, so if the £5m facility gets exhausted and the business is no longer cash generative/profitable/viable, then Atlas would effectively acquire a hefty chunk of Recyclus and have the potential to sell this/force sale of assets in order to recoup their investment. A bit of potential disaster capitalism.
The business at the moment doesn’t appear to be working at anywhere near the capacity needed to actually run profitably (if at all..) which appears to be held back by the lack of a TFS license. Issue I can see here is that it’s a public sector organisation (with no sense of urgency, as is always the case) issuing to a private sector business who needs it yesterday. Now, this license appearing won’t automatically solve all problems, as it’ll take time after this has been granted to finally get money in the bank. Ie. The presence of a license, whilst helpful - certainly won’t solve all TM1’s issues. A poster (can’t remember who, sorry!) mentioned a couple of days back that this business concept, while necessary may be too early in the marketplace and I’d be somewhat inclined to agree. The business is needed, a need which will only grow. What to what degree is it needed NOW? Ie, being profitable and putting money in the bank now, ie being profitable and staying in business now? Without an urgent need, there aren’t the clients in the marketplace to place the orders to generate the money. And a couple of E Bike manufacturers aren’t going to keep the gates open for long.
Which brings me onto..
2) Business Dev/Commercial team
Love them or loathe them, your sales team is what gets the money for the business in and keeps the doors open. Chicken and egg here. Have they got anything to sell? And even if they have, when will they be allowed to sell it? The black mass that TM1 are counting as an asset at the moment, only actually becomes an asset when it has a value, and without the required license to sell it - it is at present a liability. I’ve had a look at the commercial team on LinkedIn and a few have experience in similar roles in the recycling industry, which is promising.
Biggest risk I can see here, is that we’re too early to market, and the business could go under before it can get sufficient product sold.
However, my eyes ar
..yet.
As above. My position, like other’s has taken a bit of a hit this morning. Annoying, but not life changing. My average buy in is well below 1.00 though so it’s not disastrous. Would think it a bad idea to be buying in further at this point, but I certainly won’t be selling.
Need news of this license materialising to come. Given the need in the marketplace for this company, I can’t see any reason in principle why it would be refused providing all the necessaries are in place. If it does get refused, they’ll have grounds to appeal/rectify whatever is needed to bring themselves upto the required standard which will obviously be another delay but I can still only see it being up from here. Only a matter of time, but my god is it taking its time.
Would by glad to hear the thoughts of Andy et al?
B