Member Info for buzby2001

I've been a very very long term holder (OBT) I have just over 1.5m shares at circa £100k.... I'm happy to try and get any return/screw their plan

Being in the share for a long time, you realise that its not the business fundamentals that shifts the SP it's what certain MM's or influential people want/need it to be at a certain point....

The SP normally reacts like it did yesterday on the basis of someone knowing something .... The recent low volume trading saw a significant jump. That doesn't mean it has to be massive purchases, just relative to recent volume/sentiment...

When the news arrives lets see what it brings. .. either way, everyone have a good Friday

Bigger purchases yesterday and some today, maybe someone knows about good news Friday.....

Some one has their cheque book out today..... I wonder what they know ?

I read this the same, so eventually got hold of a former colleague who knows Sydbank and its workings very well (nothing ever to do with WBI). There is no upside for them to try and collapse WBI and as it says will create a plan to repay the outstanding amount over time. There is a change of direction at Sydbank but them losing money when they are effectively putting WBI in this situation isn't how they do business, I'm informed.... also no one would want a loss in Sydbank and egg on their face for no reason.

It's in WBI's interest to have a coherent repayment plan as an future funder will look at how Sydbank have been treated.

IMO there are clearly positive funding conversations happening, otherwise the directors would be running a company that will be going insolvent and they would have to inform the market by now and their ethics would be questioned. Either they have sold all the stock or by my calculations they'd have little to no cash left... Like others I wish the news would come sooner rather than later. Anything other than positive news will be the death knell

As always DYOR...

Hi Sam

DYOR...

Any investor will look at numerous elements of the business fundamentals over time (this management team) and see as per reports we see that the business is actually on a positive trajectory. The share price doesn't reflect this or sentiment in the market, but when does a AIM share price ever do that...

- Production has increased with investment in the mills and machinery (also diversifying in the product they sell).

- Turnover has increased

- Debt has fallen

- Cash positive in 2023

External Factors such as shipping, fuel costs, exchange rate will taken into account along with timber pricing which has also fallen from highs

Assets (saw mills/ stock) to leverage the loan will be considered depending on the lenders appetite.

I've seen companies with a worse out look than what I've mentioned above get funding !!!! and there will be funders for WBI but at a cost.

I'm hoping an announcement comes soon because I think there's been enough time to have constructed a deal. I don't think the CEO would be blind to timing as his cash burn will be front and centre.

I have seen in the private world deals in this situation where a competitor or aligned business (not financial institution) comes to table as they would get upside however this plays out...

Take home message nothing has changed for me apart from cash burn which means at some point shortly we'll get good or bad news ....

On a personal note I add £5k at circa 0.36p, "in for a penny/thousands...."

GLA

Https://mailchi.mp/woodbois/monthly-newsletter-20201620

I said 14 days four days ago :-)
As a management team this needs to be handled and swiftly. Im my experience they'd probably have known (even informally) about Sydbank pulling the loan a few weeks before hand. Conversations with other Investors and to get to HoTs should take a month. Also they need to sure up the market and Investor confidence so this will happen quicker than normal

DYOR... Having had a read around and between the lines.... I'd speculate when the facility was took out I'd estimate a 1-2% Interest rate on this loan (Sydbank did have loans out below that and even negative rates !!!! ). Moodys report is clear to get a higher rating, Syd investments need to be stronger and on better terms. Rates go through the roof so could now be at 6-10% on this loan if they class WBI as risky (probably wouldn't loan to them now). They pull the loan, put £3m to use at say 6-8% in a low risk company, recoup the rest over time as they know its in the assets held, improve their risk investment profile and make a higher rate of return (improve Moodys rating).... Sydbank has had a record profits year on the back of rates soaring you know ....
Sometimes others have aim and goals that change over time that doesn't correlate to your aims. Money is out there just wont be on the previous terms. WBI needs to secure the short term cash flow and I'd say it now needs an RNS in the next 10 days

Rampers and Derampers need not reply....
DYOR ... this is why I think we are where we are and I currently have £90k in this stock worth about 10% of that today...
The Chairman sold down his shares due to alleged other positions held going south
SP declined due to volumes in the market and it doesn't look good when the Chairman sells
LO triggered their threshold on the low SP so also sold adding even more shares and reducing the price
The bank got nervous and realised they could call in their money (prob related to income and share price) but assets and cash will be made available and a deal will be done for them to get their funds back over time
What hasn't changed...
Still have operational funds (short term) and valuable assets. Management took a rev hit Q1 which in hindsight may not have been well timed but long term if they were not operational with weather and high stock maybe it'll turn out to be smart. The fundamentals are still of a good company but if the CEO walks this is a dead duck. Hes built this up though which the share price doesn't reflect.
Probably need a RNS in the next 14 days on short term funding/refinance. Selling of product needs to be better (why are warehouses full?). Mills need to run at capacity for the next year and cashflow positive is key. I wouldn't sell the land to the mill unless there's a buy back clause. The company needs to be more visible and willing to explain why today has happened and how tomorrow will look. The talk of dividends now seems a long way off so whats the outlook.
....so go back to the start and see who caused all off this and the fall out over other companies he's caused from his actions and investments...
This share will rise again (IMO) over the long term, have no idea where or when but unless a £81k capital loss shows in my life then I'm here for the long hall :-)

Agreed. As long as there are more shares to be sold the price will keep coming down but it can't be long until they've sold out. I do think below 1p will attract more buys so hopefully this will clear them out quicker but the downward trend isn't over yet. The crazy part is this doesn't correlate to the business performance which shows positive results. Someone invested £3m so they would have asked why the sellers are selling and been satisfied with the response from WBI. If we were at 5p per share I would say the trading business is still performing as it is at 1p.... IMO just hold what you have and purchase more if you can over the next week or so to reduce your averages if you're a long term holder like me

Also this is a wood company not a carbon credits company. The trading business is doing really well considering the climate and obstacles its faced over the past 3 years and they've reduced debt, increased profits, increased production and increased efficiency, which is a great foundation for any business and shows the management team understand what they are operating. I think its a coincidence that two holders and selling out at the same time for differing reasons. Anyone investing £3m would ask the question why are these two selling, they'd do their due diligence and are clearly satisfied to put a sizeable amount of money in... again DYOR

In my opinion someone only sells at his low SP because they have to/forced to raise funds (this position may be leveraged elsewhere). With 250m of convertible shares which could be sold in due course, WBI could still show a profitable position for the holder in due course. Other Institutional sellers may have a favourable tax position to sell/ realignment of portfolio, especially when its so insignificant to the size of its portfolio and its on the run up to year end... but DYOR
https://uk.linkedin.com/in/miles-pelham-549645165
https://www.coindesk.com/business/2022/11/22/crypto-financial-services-firm-eqonex-files-for-voluntary-debt-restructuring-in-singapore/

Does anyone think Rhino and LO are still selling?

what happened at the end of trading? I tried to purchase 1m shares at buy price of 1.75 at 16.45 but never went/wouldn't go through but all trades seem below this level...

It's not the performance of WBI, IMO the position the shareholder finds himself in with his other investments is causing the sell off. I think a lot of bridges have been burnt recently, here and in other companies...... Is it PI's buying them all up?

Positive cashflow for WBI is key for me, utilising capacity at the mills relative to having record numbers of containers shipped/lumbar sold. Raise cash if required but sweat the asset for a period of time, work on selling lumbar to the mills max capacity and the SP will rise. The golden egg of carbon credits should be considered if you are a speculator but on current fundamentals and IMO this company easily sits at 5-6p after the sell off and operational/financial reporting comes through with positive numbers aligned to the past few years trajectory. How much more upside is requires beyond 300-400%......
p.s i've held long term so will top up to reduce my average but think this still go down a little further whilst Rhino exits the final 3%

I'm a very long term holder here (Obtala days buying at 17p, getting my average down over the years to 6p through the lows and highs....)

I'd review Miles Pelhams's other company investments and there current performance. IMO it's very obvious why the offload and the volume/return for him.
A institutional investor would see WBI as very interesting currently on the basis of the business fundamentals of growth in production/ production facilities, turnover, profit, reduced debt, ship routes/covid back to normal. A global outlook demanding more material in real terms etc etc
A company objective to pay a dividend is really enticing
And the icing on the cake would be carbon credits, but the icing doesn't relate to the positives above only enhances the speculative approach by some of the short term (1000% returns) investors. My long term view comes from incremental year on year progress in the companies fundamentals. Therefore for me this is a great price to buy at . Will it get to 1.5p, maybe but anywhere below 2p should be attractive. DYOR
Next post in 2028 :-)