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Https://theoakbloke.substack.com/p/microsalt-ipo-part-deux-and-2-mysteries

Interesting blog post here suggesting that Microsalt is actually profitable already?

"The crisp offering is sold in four different flavours, with 113,000 bags having been purchased on Amazon US since November 2020." That is a lot of bags of crisps... Over $0.5million from what i considered to be quite an insignificant sales channel. This one has the potential to go up very quickly in my opinion.

"Given that it has ‘more than’ 9,000 shops, then it’s most likely CVS as Walgreens trails behind at less than 9,000 at present. A further clue came on 19 October 2023, when MicroSalt secured distribution of the crisps into Long Drugs shops, the leading pharmacy chain in Hawaii. Long Drugs was acquired by CVS in 2008"

It seems that UK investor Magazine has been reading Agricore's blog!

Somewhere between 6p and 15p Lordmakealot. I would say that the publicity is good for TEK.

I am actually pretty positive about the float. Not least because the whole UK stock market is primed for a good run.

Yes, looks like they have decided for next week. If they wanted to delay it to February they wouldn't have put this out there. Although could still be pulled obviously.

I think everyone will find it a big relief when the Microsalt IPO actually goes through. People should settle down a bit then.

Cliff is never the most visible CEO at the best of times and he probably doesn't want to answer questions right now. Will probably be happier to speak once the Microsalt IPO goes through.

I really really really hope it is not for his customary £500k bonus. Would send a bad sign as to his commitment to the company.

Continuing to sell off the family silver for pennies.

How do you know it is TEK selling?

I wonder who just sold £600k worth at 16.15p?

The deal set to close on March 1st is a reverse takeover with TMT and basically provides cash for BELL and shares for TMT. TMT is a vehicle of cash waiting to be allocated to some project. This case BELL. They have new terms of 1 for 1 share. That is if you own 1 share of TMT you receive 1 share of BELL. This is based on the share price at the time of 21p but it was only set at that level because TMT have been trying to drive down the Share price. I don't think it is very informative of what they see the value of BELL share price going forward.

Fair value is seen at over 100p but it is conditional on scaling up effectively and meeting analyst targets. It is covered by 2 analyst who has a price target of 124p. A couple of years ago it reached 136p when it was a lot smaller company, although financial conditions were a lot more favourable then.

Hi Laura2022,

I think a good place to start is reading this:

https://www.investorschronicle.co.uk/ideas/2023/09/01/profit-from-medtech-growth-with-this-undervalued-stock/

and this

https://theoakbloke.substack.com/p/bell-onging-together?utm_source=%2Fsearch%2Fbelluscura&utm_medium=reader2

To summarize, BELL have market leading products and massive demand. They actually have demand far outpacing the production that they can reach in the near term. The problem has been the financing to scale up. TMT have been messing the company around the last 3 months. However, it looks like it might be settled soon with March 1st the new date for completion of the deal.

Hi TopCatz, i don't know either but it is clear that BELL needed some guidance, and TEK SHOULD be providing quality advice and expertise.

I am not sure TopCatz, isn't that one of the main things that TEK provide - Assistance with financing decisions and development? I don't think Cliff has shown a great deal of acumen in terms of being able to attract financing at attractive terms. I still remember that time when the SP was 20p and they raised at 10p. Financing conditions were quite favourable then as well. That really damages sentiment and trust.

We have at least 3 out of 4 startups which are really breaking out and yet the SP hasn't gone up as much as it should have because of this. Although TEK do deserve considerable credit for putting these businesses in the first place. I was more pleased in how they structured the financing for the Microsalt IPO recently. Since those businesses were originally set up i am not really sure what Cliff has to do on a day to day basis. Is he working 1 day a week?

On BELL, it has been incredibly frustrating because they have produced a really great product and they have always had the demand, but they have not been able to increase production. How difficult is it to produce 1000 units of a medical device a month? Why does it take 4 years? Isn't this something that TEK are supposed to have expertise in and offer its inexperienced businesses? A lot of it, especially recently, has been due to financing concerns. Again, this is something they could have planned for and secured when market cap was >£150 million. If BELL had demonstrated they could produce in numbers and they had the financing secure then they would have probably have had even more orders than the many they have already received. If they had done these things i expect the SP would be 150-200p today. Instead, now they have gotten into bed with this unscrupulous TMT.

I am expecting financing conditions to improve this year and at least 3 of the 4 businesses to show very strong growth. So the SP should improve a lot. However, a lot has been permanently left on the table and goodwill has been damaged.

The thing is BigBang, this doesn't provide any certainty.

TopCatz, perhaps a CEO with more business nous would have done a decent raise when the SP was at 140p. £20 million would have covered financing throughout the development period. A lot of companies did take advantage of the easy financing conditions to lock in long term funding at cheap rates during that time.

BELL must be a good takeover opportunity for a competitor here given the technology and the pipeline.