Reasoned discussion missing on TPG26 Jan 2021 14:35
I think it was 8.24am this morning when I had notice of the RNS - not 7 - 8am prior to markets opening that my other stocks achieve - not the first time with TPG.
Nor is it the first time to get limited information on the figures actually reported - one's left with 'guess your own actual profit or loss figure' - obviously it is going to be the latter.
We can assume that the Maritime Engineering division has been put up for sale to release badly needed funds for cash flow needs as well as some reinvestment no doubt. But I doubt that Cartmell could easily persuade the market on the merits of a cash raising right now hence the offered sale. That business has always been profitable generating over £5 millions net. Not glamorous perhaps but real profits nevertheless - I'm not saying it should be sold or kept, that's for the BOD to decide - but I do question the wisdom of acquiring Osprey in the face of the Pandemic.
I've been in TPG since 2013 coming in on the back on their engineering skills in the Gas drilling business when known as Corec - shares then were trading at 10-11p. We had the big cash raise @ 6.5p in 2017 with big plans for acquisitions and the inference given at the time was the BOD knew who they were interested in - but we discovered as time passed this was not the case. I invested heavily in that cash raise.
I finally decided last November to sell half my holding - best I could get was about 5p and then I had to sell in small parcels of 25k 50k so hardly a fluid market. So taken a loss yes, but it released funds which I promptly invested in Synairgen at 90p when it was suffering a fall and is now at 170 - 180p and I'm sticking with them.
I would have sold out completely in November but that holding was with another Broker and besides I wouldn't have put all my eggs even into the Synairgen basket despite how sure of them I am, so I'm still here with a meaningful holding. Now though, I no longer have faith in Phil Cartmell's ability - he hasn't shareholder's interest in mind - only his own. I had hoped to exit with these results but will have to wait a while.