Member Info for chrishutch

Come on fab lets blow some blue smoke as we take off

That sell had been worked for days, and was holding the price back but now printed we should/could see a decent rerate.

My money is on back up we go!

Another day of churn done.

Tick tock tick tock, soon be over.

I am banging my share drum again and highlighting opportunities missed by the market.

Shares in issue: 59.45m

Large % sticky

Mcap: £4.76m

Cash: £1.65m

Runway: 18 months

Zero red flags

PR and news inbound

Negatives

Sometimes slow on news and illiquid so moves in either direction

Why is the price lower?

They raised in a difficult market and had a 85% discount, creating sadness for existing holders but a perfect entry area for new comers.

It was worth roughly 3 times this cap before they acquired the extra capital.

What are we waiting for?

Currently we are seeing those retail placees flipping their shares for small gains.

No one can blame them for but the opportunity to make a lot more is there.

Re-rate will be fast once cleared.

Even post raise there is a tiny amount of shares in issue and this means as soon as the selling stops the price will as climb very fast.

Buy hold wait - it really is that simple.

What we want is to see an end to the selling and the spread tighten and then we are golden, just a waiting game, but when it rerates it should be fast.

We must be close to flushing out the sellers mate. Those on the sidelines will miss a fast rerate by trying to time entry perfectly. They will end up paying more

FAB- Just looked at the figures. At 46p pre placing price which is where it was prior to the placing for an average of 5 days then 28.6m shares gave it a Mkt cap of £13.2m and not much cash left hence the raise. Now 6.75p a share and 60 million shares in issue and £1.65m in cash, the market cap is now £4m of which £1.65m is in cash so in order for it to be priced accordingly (£13.2m) then the shares would need to be 22p a share. But in reality it has £1.65m in cash now that it didn’t have before so if we add the cash aspect into its valuation then that’s another 3p a share so effectively 25p per share would be the same Mkt cap prior to the recent dilution and allowing for the cash element now built into it. So that’s just based on the price of the shares before the placing and we already know that was low anyway. So if we look at share prices and market caps at various prices pre dilution we get the following figures.

At 50p a share that would equate to 24p a share now and 3p cash element on top of that so 27p a share. At 75p a share that would equate to 35p a share and 3p cash element on top of that so 38p a share. At £1 a share (again pre dilution) that would be 48p a share now and 3p cash element on top of that so 51p.

Basically the company was worth £13.2m just 2 weeks ago but having raised £1.65m it is now valued at just £4m with £1.65m in cash or just £2.35m if you remove the cash element. If the placing had not taken place and the shares fell to this Mkt cap then they would have fallen from 46p (£13.2m Mkt cap) to 8p a share (£2.35m Mkt cap). Can you imagine how much these would have been snapped up if they suddenly fell from 46p a share to 8p a share literally overnight and for no reason.

Basically the market has totally got this valuation wrong now and it’s got several hundred %percent to do just to get back to fair value at what it was just 2 weeks ago without any additional news etc. Obviously if we get a raft of positive news then these things really could go back to £1 a share pre placing which as per my calculations would be 51p a share including the cash element. Either way that you look at it, these at a very minimum should be sat 22-25p a share and the only reason they aren’t right now is folk are selling cheap because they bought cheap without actually doing the sums and I’m pretty sure once all the slack stock has been taken into sticky hands these will rise back up rapidly and those Traders selling for their relatively small % gains will wonder why they didn’t hold onto these golden tickets. You don’t get opportunities like this very often where the market and market participants don’t bother looking at it this way and only see the headline figure of 5p a share placing. These are absolutely dirt cheap as we know.

As soon as the seller is cleared this takes off.

Try not to over think it and we should make a decent wedge here

100% I am excited for this one, I feel the placing was terrible for holders but for those of us buying down here are getting a unicorn price. it is a gift, never been more confident.

Steven, good to see you here my friend are you holding? I posted thoughts on price on telegram but will copy here over the weekend.

Cracking day. happy to have got more here and elsewhere!

I think we will see somewhere between 15 and 22p

I have taken full advantage of price today and really improved the size of my holding.

Can't stay down here for long

Trouble with waiting for the perfect entry is the tiny amount of shares in issue. When the sellers stop it becomes very hard to buy in size without moving the price up for the next buyer.

Obviously you should trade your own plan but I am happy to take advantage of those who wanted 10% to build a decent position.

If it bounces back then these extra ones will be lovely.

Great prices

Yeah blue finish coming!

Thanks

F me it is hard to resist the opportunities here.

Once 10p breaks this takes off

Odd price action and volumes yesterday, it will be interesting to see if the price can bounce back now, any thoughts?