Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Come on ‘Warren’’ surely you have to live by your own words?
You once famously said that the stock market was a mechanism for transferring wealth from the impatient to the patient. And now you’re capitulating in this name because of a lack of news?
Good luck. Hope you don’t go on to regret the decision.....
I agree with this hypothesis. It’s worth reading the Edinburgh Investment Trust RNS this morning. Post the change in manager from Invesco, 95% of the portfolio has been churned. Given that we know Invesco owned 30%+ of PureTech at IPO and that Invesco has lost a number of mandates, including the Edinburgh Investment Trust mandate, over the last year or so, it seems highly likely that they have been the seller.
And note that they are under no formal obligation to disclose going through various thresholds if actively still trading an illiquid stock (a grey area Invesco exploited when selling down a number of names they co-owned with Woodford- a move that took the rug from under Woodford even more aggressively than it would otherwise have been pulled, but I digress).
I’m of the opinion that PureTech will make new highs in the week after Invesco stop selling. It’s a fantastic business. Let’s hope they stopped selling with that trade today....
It’s a good, fair question. The answer I think, Covid-hype investing apart, is the opportunity to accelerate time to market, which has a dramatic effect on the discounted valuation of the SNG pipeline.
Covid provides an incredibly rapid regulatory progression and the funding avenue for necessary expanded final phase/confirmatory trials. If you look at a Ventura, etc. you’ll see how long and grinding and expensive this kind of trial process can be in lung / COPD.
In addition, COVID is a kind of rapid proof of action. We already have smaller pools of data that support inhaled interferon beta’s general method of action. But if it works in Covid, no one is going to bet against it not having roles in other therapeutic applications, including early stage and prophylactic use. To have additional validated data in only a few months (Now weeks), is tremendously exciting and unexpected.
This Link related sell down has taken the froth off this name. That’s no bad thing even if it has hurt some of us in the short term.
I think some of this move is reflexive. Ruffer appear to have been a seller for many months before this and the share price was artificially low as a result. IF we assume Ruffer is now either out or happy that it has scaled its position appropriately, then we are seeing an initial move back to 'fair value' - whatever that is.
It's a good risk-reward story. The company have focused impressively on one application tech and have executed in it and cost control is great. So, you may have to wait a while for meaningful revenue pick-up, but there's no fluff or hype here and it has cash.
FT article this morning names 4D as one of the names in the Acacia transaction ( the article only names 3, not all 19).
Clearly a positive for 4D. Acacia are intellectual property specialists so they must like the 4D assets at this valuation. In addition, they will also have taken a view on the 4D cash position and be prepared to fund it when cash levels get low again early next year (assuming no licence deal in the meantime, which is conservative).
A nice fat late reported trade on Friday evening...dare we hope the seller has finally been cleared and the hand-brake has finally come off this stock? It has had one its best weeks in a long time, even before the late sale...we’ll see early next week. Fully funded to breakeven, revenue generating, and with some great pipeline products ( e.g. testosterone), the risk reward profile here is outstanding in my opinion.
Plenty of cash, tight cost base and a business that fits the gartner growth curve perfectly - the hype and bubble have been and gone, now it’s just building a sustainable business without fuss.
Ruffed have been the seller. If/when they clear, we should see a move back to the 20’s and beyond.
Agreed.
Would love to get a Chartists view on the stock now....there appeared to be some kind of double top risk but it has motored straight through the previous high. Where does a chartist see the next levels of resistance if it can stay well above 530p?
This is the top pick of the green fuel cell/hydrogen theme stocks because of the flexibility and relevance of its tech to so many static and motive applications.
We're starting to see some proper buy tickets in this name - and very little small ticket buying alongside it...I suspect that the sheer complexity of the US deal has meant that this hasn't been a retail investor share for a while now...
Maybe they'll come back in as we get closer to trial read-out. Or maybe Amryt just won't really need retail investor support and the sophisticated institutional investors (equity and credit) will continue to drive this higher towards fair value. One thing is for sure, it really hasn't started to get going yet.
You’re referring to the share issue that had to be up scaled due to ‘significant excess demand’? Umm..
Ultimately we are all on the same page and want the stock to go up to reward our investment in the technology. And we deserve that reward. But can I just suggest that in my experience equity markets cause the maximum amount of discomfort to the highest number of investors at any one time. If there’s a consensus of you thinking this stock is going to 0.25 or lower, then it’s very likely to disappoint you.
By the way, if it does go there, I’ll buy a lot more stock and post a “well done, you were right” message on this board.
Well, we ‘know’ that the £25k at 0.44p was above the mid point of the bid / offer, which was 40-45 so I classify it as a ‘buy’. But every buyer has a seller, etc..
Nom is absolutely correct that we have no evidence of background institutional buying. It’s only an assertion and I think my last post was overly assertive..
I know that this placing discount was brutal and hurt many of us, but there’s little chance that a company will issue this many new shares without some positive news flow to establish and keep momentum. Whilst its brokers will now be working hard to find new buyers or those willing to keep on scaling up (yes, only another assertion, nothing more).
To repeat, we all know it’s going to happen in mid June and I could argue that the shares will go higher once the resolutions have gained sufficient shareholder votes and the threat of failure is removed from TRX. Why would shares fall when that dire threat is removed?
Finally, anyone who thinks that it’s easy to take delivery of tens if not hundreds of millions of shares and then chuck them out into an illiquid market after a few weeks clearly hasn’t tried it. There will be some churn I’m sure, but I suspect nowhere near the quantity that some on this board fear. And when we do see it, it’ll be a lot higher up to make it worth the effort and risk of participation in a fundraiser for a near-bust nanocap.
if you go on to the London stock exchange site, you can see the transactions that trigger these RNS. There was a £25k buy at 0.44 which triggered this alert at TRX after the close at 4.30. The RNS indicate an unusually high volume of trading at a particular point in the day, and the inability of the machines to 'match' a buy or sell in the efficient way they normally do.
My interpretation is that we will see more of this kind of after hours lumpy trading. Basically, there are institutions who still wish to accumulate after the placing and the market maker will soften-up retail investors by dropping the bid during the day to try and accumulate stock to fulfil his/her order to the institution.
It's my view we will never see 0.25p again. The market will have had weeks to discount the arrival of the new shares in mid-June. There will be no retrace. If you want to buy, step up below 0.5p in my view - or miss the boat. And don't sell on a weak day like today because that's what the market maker is trying to get you to do.
I'd genuinely forgotten that this stock can go UP.....best day in months if not years. There is a bear market rule that fits this stock perfectly: if you hold it, don't add down here, wait for it to get back to your break-even price and double up.
I've never been worried about being underwater in it. The long term attractions were always obvious to me, whilst the overhang and the reasons for it were obvious to all. We just needed to get that overhang cleared. The price action suggests we're getting nearer to that point. Good luck, all.
I think investors are now waiting to see the full year 2019 results.
2019 will probably look difficult on paper so who wants to buy more in case the stock sells off on the full year release and provides a better buying opportunity?
We know such a lot has happened since the end of Dec....
Let's get those results out and in the rear-view mirror so we can all concentrate on supporting the exciting business the Chair and CEO are trying to build.
He's a proper hitter. This is a great endorsement for Xeros. William Salomon has immense experience and a great track-record. He's not in this name for a few months and 20%....I expect that where he goes, others will follow. It will certainly help to make Xeros a more 'serious' investment to many in the City.
He made a lot of money setting up an asset management business, Finsbury. He runs a specialist fund called the Hansa Trust. He knows a LOT about emerging markets. I could bore you on the quality and virtue of their assets, for example, London listed Ocean Wilsons (container ports in Brazil). Ok, emerging market port assets are not the most comfortable place to be in a pandemic, I'll admit. But it's an example of the type of high quality duration asset he likes. And now he likes Xeros...
The AGM has now been and gone, the new shares are issued and the cash is available to the company. This is now a simpler story: do you believe that these guys will be announcing a series of global licence deals over the next several quarters, leading to b/e, or not?
This stock was priced for almost certain failure. The sensitivity of the equity to revenue related news flow is incredibly high (we know the cost line is stable and about as low as it can go).
COFRA, who now control the board and own a significant slug of this business know more about global garment production and manufacturing than almost anybody else. I actually think the risks to holders in this stock, post raise, is surprisingly low - and that is what the market is beginning to price in.
normally on AIM over-thinking is a good thing - it stops you from allowing the adrenalin / greed to overcome the more logical part of the investor brain. The result is that we often buy high. Part of the reason for this typical mistake is the future uncertainty of the core investment story...the wonder-drug in early trials, the encouraging seismic data, etc..
To repeat my post from y'day, this business really is different from the speculative names on AIM because the revenue quality - and the near-term future earnings quality - is so high. They're demonstrably Covid-proof, recurring, sourced via commercial deals with global leaders like Croda, Nouryon, etc...AND they make the planet a better place.
I think the risk potential investors are making here is trying to time exposure: ....Do I wait for some fund-raising event? Do I trying to anticipate news flow on more US grants/loans? Do I hope/pray that there are no more commercial agreements /good news that's announced? What happens if a bio-packaging deal lands? etc. etc.
Look at the chart. This is a multi-year hold - I'd suggest five years, minimum. In my view, taking a position of some kind - perhaps it's not full-scale - is the right thing to do in this stock here and now. Let's worry about the details down the track. This business is of too higher quality and the management team is too open, committed and aligned with our interests to NOT have some kind of position in it today.
AIM often gives you chances to buy moon-shot revenue opportunities at deeply distressed valuations, but it very, very rarely gives private investors the chance to buy revenues of this quality and duration at this market cap. New Wave and other sales orders are recurring and will compound for many years. Same at Nouryon and Croda which are building more slowly.
And we haven’t even started to talk bio-packaging and other applications...
yes, agree on the ii backers....that seems important. The Entrepreneurs Fund really, really know what they're doing in global garment manufacturing, etc. IP Group are under real pressure so to see them back this name is a real indication to me that their confidence in it is very high. It's worth putting a dummy order in just to see how many shares you get for your money down here vs when you and I were buying at £2!! all best
You've missed the boat on the Primarybid offer - 98% of us did. What you've now got to do is buy circa 1.5x the number of shares you were holding in your bottom draw to avoid a big dilution. It's fine to buy here. It will make no odds in the longer term. This stock ain't going to be at these levels for very long. This is a deeply dysfunctional price. Yes, there's a small probability it goes to zero but the actual results RNS is actually deeply impressive and cash burn is now v. low. IF you believe this company will be trading in two years time, then to get upset about paying 0.3p more than someone else is missing the point. Good luck, DD77!