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Winding up petitions:
“ From start to finish of a winding up petition, that is from the issue of the winding up order to the court making a formal order to wind up the company, it can take approximately 8-10 weeks. This however assumes that all of the steps proceed smoothly and for example, the winding up order is not disputed or adjourned.”
I guess AVO are still playing for time
Thanks I missed the link, I have no idea if Adam can be saved or bought out of liquidation? But I guess the fact that AVO has not gone into administration as of now means there is still hope.
ADAM I am certain has not been liquidated. Please can you provide proof.
If ADAM ceased to exist I am pretty certain AVO would now be in administration. In the present climate if anyone is involved in significant fundraising deals they are taking an extraordinarily long time to complete, if there was no hope the AVO BoD could get this over the line they would be immediately put into administration.
Really the BOD could have at least varied the announcement today and added a little more detail. For example why the delay? This transaction has been delayed so many months and each time the BOD give another month-end deadline that they miss. The fact that all parties are still engaged with the mounting advisors and legal fees is the only consolation I have that perhaps this deal could be consummated. I hope its this year!
I would suspect that fees owed to advisors, lawyers and others will mainly be made up in new shares issued.
I also believe it’s unlikely the investor is actually trying to run down the clock, if it is an existing investor this is a pretty small group of key investors who will know the IP and tech is worthless without key management and executives executing on the delivery.
That said big Creditors as some point could loose patience, the fact they have not yet would indicate there is still hope.
Latest RNS moving in the right direction as well as the significant costs all parties would have expensed todate the potential investor has also just paid:
“The Investor has made a CHF50,000 (equivalent to c. £45,000) advance payment on the Proposed Financing Transaction which has been put towards the Company's general working capital requirements.”
Interesting this is Swiss Francs and I wonder if this gives an indication as to the investor and their domicile?
An initial £15m expected this month from the same investor on receipt would then indicate the transaction has been concluded.
It is a long waiting game but at least discussions are continuing and limited support from the potential investor while all the paper work is completed is a little more encouraging.
This was posted on the Take Over Panel Disclosure table week ending 19th January 2024:
OFFEREE: Advanced Oncotherapy plc
Offer period commenced: 07:00 18-Apr-2023
25p ordinary ISIN: GB00BD6SX109 NSI: 542,573,869
Senior secured fixed rate convertible loan notes 11 January 2024 ISIN: NSI: 6,379,725
No named offeror
It was perhaps because of this that HL restated the suspended share value. My own portfolios have continued to show share suspended.
I would not exactly say I am upbeat, however I am more hopefull that we are closer to a deal being completed. Heads of terms can be characterised as the following statement in the last RNS "the Investor signed an updated non-binding term sheet ". The fact that the company has not been delisted would require discussion with the LSE, the fact that the company has not been declared at this stage insolvent or in administration I can only view as positive. The latest RNS clearly still states negotiations are at an advanced stage. Have to remain hopefull too much at stake here for myself, all investors, directors and creditors who are clearly still supporting this process.
I do not believe they are struggling to do a deal as the Heads of Terms are already agreed, the absence of a deal would be of more concern to shareholders being a case of getting some value or total loss. I should imagine that this is just an extremely time consuming and complicated process. I also note that amounts owing has increased now since 23rd October by £8 million £28 million (£22m) trade & other creditors, £41m (£39m) Financial debt which would indicate to me fees are being rolled up and as such those financial providers and advisors acting for the company one would assume are confident of a positive outcome.
This really is going down to the wire, the cut off time this evening is 18.30pm or I guess between 7.00am - 8.00am tomorrow.
Clearly at this stage the company has not gone into administration yet as there would have to be an announcement so technically the shares could delist and be on OTC.
As the saying goes it’s not over until the fat lady sings.
By tomorrow close either news, extension granted or securities cancelled.
There must be last minute negotiations as all parties so far would have expensed significant fees and at any time up to now if negotiations had failed the company would have had to announce administrators as they would instantly be insolvent.
typically the BOD are leave timing until the last minute.
If a deal is done I would hope a Nasdaq listing would follow and welcome removal from AIM. Still hope this disaster can turn around.
I believe we have to have an update next week either 27th, 28th or 29th December which could be the company seeking an extension as after 6 months of a share suspension the company could be delisted...unless an extension is granted.
Like many I remain optimistic that no news is good news and that clearly at this stage all parties involved in a financial re-structuring would have expensed significant legal and admin costs to this point.
Ever hopeful, Happy Christmas all and lets hope we can eventually celebrate with AVO and move into a prosperous New Year
True, but there are very few new AIM tech companies that have revolutionary and disruptive technology that have met early time lines to launch. There were a number of technical challenges that were perhaps not envisaged, then unfortunately the events following compounded an already delayed launch.
At the end of the day if the company can conclude it’s re financing to enable first patient treatment and certification in 2024 what ever the share price is on concluding this transaction they will IMO soar. 🤞
I take a slightly different view, there were some major hurdles the company like may others encountered not least with Covid, supply issues, lock down, Ukraine etc which ultimately delayed this project with significant impacts on cash flow and a large burn rate. Further AIM listed stocks have suffered far more than anything else such as Nasdaq listed companies. It is very easy to look back and in hindsight the company could have taken a different financing course of action, for example when they announced achieving 230 Mev the stock in a risk on market would have soared. However I remain optimistic and have done so ever since share was suspended as ALL the executive and major shareholders have significant stakes in the business. The technology is proven and I just can not see all the major holders letting this go at the 11th hour before treating patients. The good news is no news....this is a complicated financial structure that requires many elements of regulatory procedures and process. The fact we have heard nothing means the deal is still being consumated with both sides incurring significant legal expense and the longer this goes on in my mind the better. As shareholders know the technology is going to be innovative and disruptive in a world desperate for LIGHT. I will be sorry if the company does not succeed not least because I have a very large holding but more loosing this tech and the many lives and especially children this could help. If the company goes bust the IP IMO opinion is almost worthless as the current executives and ADAM are integral to the success and all experts in this field and I doubt any would return if their equity and shareholdings are wiped out. I believe the company has until 30th December before de-listing but even then I understand they could apply for an extension...I am hopeful however that this month we will hear one way or the other. At present I am hoping no news is good news
On reviewing again the news, interesting this is announced in dollars with the investor providing up to $80 million. Any ideas who this could be?
At last some news, clearly the company must be at an advanced stage of negotiations. One can only assume that the Nerano article published earlier in October is one part of converting their substantial loan to equity.
These transactions are clearly complicated and have to be concluded in sequence.
I am more hopeful we should hear more progress and a General Meeting being called. Sufficient financing to get to first patient treatment in 2024 and completion of licensing will be a huge milestone and as such with substantially reduced debt the shares whilst diluted could do very well. GLA
Let’s hope it is a good partial sale / white knight investor, this technology is too valuable to fail at the 11th hour. The impact of this LINAC LIGHT technology will have immense benefits throughout the world and in the U.K. AVO have a robust plan to treat children who otherwise may not benefit. 🤞
This Recap plan is certainly taking its time, I am very hopeful however that no news really is good news as the company must be significantly advanced in negotiations otherwise the administrators would probably have been appointed.
Does anyone have any other views?
Hi Meldrew I do not believe any notification is required by an interested party. As announced on the 18th April 2023 please note the following:
The Takeover Panel has granted a dispensation from the requirements of Rules 2.4(b) and 2.6(a) of the Code such that any interested party participating in the formal sale process will not be required to be publicly identified (subject to note 3 to Rule 2.2 of the Code) and will not be subject to the 28-day deadline referred to in Rule 2.6(a), for so long as it is participating in the formal sale process.
I therefore believe all options are still on the table and hopefully the best one for all shareholders of which the directors are major holders will complete successfully
I really hoped we hear something soon, the question is - is no news good news? It must be a very time consuming and complicated set of events and I am getting a little concerned especially with the companies ability to retain staff.