Member Info for dallo

Oops I just read Maidit posts .

He said the low was 1.5p not 1.8p and Alora is now called Avion.

He also suggested that I do my own research ( DYOR)

One may be ingracious and comment on this post but its Friday and I am feeling good.

Pokerchips

You need to do some research.

The Alora Group is NOT huge valued at around $500m

and doesn't invest in tiddlers.

The only significant acquisition was the takeover of Osmotica Pharma's legacy in 2021 for $110m plus potential earnouts.

The Group operates out of 3 manufacturing facilities in Georgia , US primarily in Alpharetta and Marietta near Atlanta.

The Group is run by Art Deas who is the major shareholder in this privately owned Group.

The Alora group originally specialised in women's medicines but has been increasing its product range following the acquisition of Osmotica's drug portfolio.

The involvement with Immupharma on Lupuzor is a strange play by Art Deas as he normally focuses on generic over the counter drugs and steers clear of too many prescription medicines.

The Lupuzor trials are a big deal for the Alora Group and Deas with big rewards if successful and a possible IPO to release shareholder value.

Alora paid c11p for its shares in last years placing and that's why I said it cannot be happy to see Landstead get its holding up to 22% following a 2p placing.

Art Deas wasn't tempted to go again at 2p and I just wonder what he thinks of McCarthy at the moment.

The confirmation that the trials are starting soon will be a big boost for us all.

ATB

Biff

Many thanks for your erudite dissertation on Lanstead, Professor.

Who would have thought Lanstead are financiers not managers and I, only an investor here for 8 years.

If you read what I actually said in that Lanstead are running the SHOW....... in terms of being the largest shareholder and only source of funding at present and can control or inhibit any upward movement in the SP as they are pure funders who wish to make a quick profit et al.......and I posited the question as how must Alora feel in terms of it taking a massive $25m risk on a long trial(s) while Lanstead get 22% of the company for a couple of million in a tightly controlled financing structure.

I apologise if you thought I meant Lanstead were managing the company although I suspect they would do better than the oily McCarthy.

Finally if investors here don't know anything about the Alora Group, a major investor in Immupharma and parent company of Avion ( Immupharma 's partner on Lupuzor )and Acella Pharmas, they should go back to my detailed posts of 12 months ago .

ATB

Wow

New all-time lows today .

Alora must be delighted with its £1m investment at c11p.

Our new CEO , former Chairman , Tim McCarthy has promised much and never delivered in 10 years.

I don't think the spiv could manage a two piece jigsaw let alone a public company.

Lanstead with c22% of the company are now running the show and I wonder how Alora feel about that given it is supposedly going to chuck in $25m in the Lupuzor trial and taking all the risks.

Alora should buy the whole lot and partner with a large US /European Pharma on all the therapies and cut out the middle man ,Immupharma.

Alora doesn't need McCarthy and the other 4/5 employees in Immupharma to achieve its goals.

Joe

In case you missed it , Reichenberg was the Head of Investor Relations and no one has replaced him.

David Levi is only communicating via RNS and I suspect I am not very popular with him anyway.

My numerous previous discussions with Ethernity's Investor Relations were not of any benefit to me to say the least.

I was suspended for alleged defamatory comments about Bergen which is ridiculous.

As a shareholder I have every right to forensically examine the background of Bergen who is the de facto majority shareholder in Ethernity in the absence of any clear information on this entity.

At the current SP ,Bergen could call for over 100 million shares and have over 40% of the enlarged share capital.

Obviously Bergen doesn't want to do this as , in the absence of a derogation from the Stock Exchange would have to make a bid.

So the death dance between Ethernity and Bergen continues for another 6 months with a double Catch 22 situation...if the SP rises Bergen will sell into it but the SP cannot rise ( except in the event of super positive newsflow) because no sane investor will buy knowing Bergen will pounce.

Conversely if the SP falls further Bergen's de facto holding rises further and prevents Bergen from calling for its shares in bulk.

A right mess and still no sign of the Finance Director appointment, 1st Half year report or any new business.

ATB

JT

Expect one of the other 8 personalities in my head to post another schizophrenic message at around 9pm this evening as the full moon rises..

JT

A tad unfair insofar as my post of last evening ( the positive one) started with the statement that the market and the SP suggests the company is toast and the final paragraph states that now we have lost everything and written it off sometimes the unexpected can happen.

The bits in between were alternatives to liquidation ie

US/ Israeli tech investor and proper management.

For a few $million an acquirer could buy out Ethernity and integrate its tech IP ,Patents and its tax losses into a larger profitable operation and grow the business.

Obviously there would be no role for existing managers.

JT

In the immortal words of the great Philosopher Homer Simpson.."Drink is the cause AND the solution to most of life's problems"

I not sure my post was that positive since it was based on the fact that at the moment Ethernity is almost toast.

I am just saying that the scrap value is worth something to maybe a US/ Israeli tech investor and with proper ( new ) management, the company could prosper.

For instance the tax losses forward of c$40 m are an asset worth c $10/12 m ( $40m ×33%) to a profitable acquirer

So rather than liquidation I feel there are still a few other options.

However we will never see our original investment back again.

So here we are with an investment in Ethernity that the market and SP says is toast.

It is only a small SP drop more to liquidation and total write off so why am I thinking as a quote from a commentator on ADVFN described me as a" 70 year old who still thinks he counts" thinking all may not be lost yet.

My rationale is that normally AIM companies go bust when they have too much debt , in a dying sector , are extremely overvalued and their products are obsolete to name just a few factors.

In Ethernity's case it appears to have tech that companies such as Tarana and the Chinese/ Indian OEM want and with proper investment could build on this.

Surely for the sake of a few millions $ the company could prosper after years of R&D , 6 US Patents and finally in a red hot sector albeit after screwing up in terms of forecasting and mismanagement.

It just seems to me that the business could be viable particularly after slashing costs and reducing staff, if relatively manageable issues such as Bergen and cash breakeven can be overcome.

I know JT will accuse me of getting hot again but it seems , given the fact the company is effectively valued at zero, that it may with some luck and proper management and maybe an Israeli/ US Tech investor

get itself out of this predicament.

When we have lost everything and written it off sometimes the unexpected can happen.

This post was brought to you thanks to Arthur Guinness and a nice Monte Christo cigar.

While I am on the theme of the worst AGM I have ever attended , none of the the other Directors appeared on video apart from a cameo from the new Non Executive Director, Richard ( or was it Gordon) Bennett who briefly appeared from what looked like the back of a taxi with his laptop and swiftly turned it of and never said a word like the other invisible Directors present.

Baruch appeared briefly at the end to say that himself and Levi were not allowed to determine or be involved in the pricing of the 3p placing and were shocked at the level....in other words blame everything on Reichenberg.

The incompetence of Albagli and the silence of the other directors was shocking imho.

I asked Albagli whether the Board had full confidence in the management team that got us into this mess, to get us out of it.

He said management had the full confidence of the Board.

Jaysus

LWHL

It was Comedy Central

Albagli couldn't remember the name of one of his fellow Directors and had to ask Levi for his surname.

Albagli appeared to have never heard of Bergen when I asked him about this " Palm Beach based outfit with a tiny office " .

He conducted the AGM like Joe Biden after a stroke!

Skid

Apologies for my message coming out in lower case.

But you get my drift!

skid

regarding the revenue forecasts made by management over the past 6 years, it was somewhat surprising and a touch unreal to see ethernity's former non executive director at the agm.

mr rafferty a highly respected and successful individual with over 30 years experience in the telecommunications industry having worked at a senior level in at&t, global one and cisco and was ceo of easynet, which was bought out , asked levi about the current years forecast revenues announced by management.

levi bluntly and rather abruptly referred him to the rns which stated that the forecast is unlikely to achieved.

rafferty retorted that ethernity has failed to meet any revenue forecast since the ipo and by implication has led to to the current dire situation.

levi then said that the company will only correspond with shareholders via rns in the future as information given by management and ir appears on the chat boards.

given that there has been no market sensitive information given to investors in any communications that i am aware of other than the bergen extension issue given to me and traceylied which i suggest should have been announced at the time of the subscription agreement.

the failure of management to deliver on forecasts made to the market in the past 6 years is the reason

why the market and investors have lost confidence in the company.

excuses for combined losses of -$40m don't wash in the real h**** world of business.

ethernity has few options left now but given the value of the tax losses, patents , listing , ip and tarana , chinese contracts it may be an interesting takeover target.

alternatively if ethernity wishes to stay independent, management must secure pon licencing deals quickly and deal with bergen ( maybe as i suggested via a friendly buyer of a convertible loan note).

the clock is ticking.

LWHL

When you survey the carnage on AIM, one may have some sympathy for companies such as Ethernity with a total dearth of funding available or if available only at a savage discount.

However there are some exceptions such as Rosslyn Data Technologies which raised £3.3m this week via a share placing and interestingly , Convertible Loan Notes .

The Shares spiked 20%.

I have suggested a Convertible Loan Note to Levi as a possible mechanism to take out Bergen , preferably issued to a friendly White Knight ( Tarana?).

Conversely, the ASIC chipmaker, Sondrel saw its shares drop 60% after announcing delays in 3 contracts citing inflationary pressure and weak end market demand.

And the final horror is Pelatro who delisted from AIM this week saying the costs of the listing were too onerous as was the total lack of economic funding in the AIM market . The shares dropped 80%.

There are many other examples this week of AIM companies not being able to get reasonable funding.

The joys of AIM , a proverbial wasteland for Investors at the moment.

JT

I mention the possible appointment of Alaya Deutsch purely as a straw in the wind as to the present situation in the company.

At the AGM I actively encouraged the Board to appoint her quickly and Albagli said that it was something the Board was generally in agreement on.

Having no finance director is not a good look given the uncertainty in the company and if Ayala is not interested in the job then that would speak volumes imho.

Obviously ,as I stressed to the Board at the AGM, no one in their right mind would buy shares in the company knowing you were only feeding Bergen.

Levi said they are looking at multiple options in relation to Bergen and I hope for all investors here that they come up with the right one.

ATB

JT

Fair point on running hot and cold .

However with the market cap approaching £1.5m and Bergen with a potential overhang of 45% of the enlarged share capital together with no buying even at 1.3p or no news from the company, the temperature has dropped from cold to icy.

I was hoping for a speedy appointment of Alaya Deutch to the head of finance and clarification on whether Bergen will extend the date of the Subscription Agreement ( which we should hear something about in the coming days).

Even if Bergen extends the date by 6 months it does nothing for the fortunes of the company or the SP in the absence of positive newsflow and clarity on the Chinese/Indian contract.

I agree that most longterm investors want out of the this company and have written their investment off.

No clarity from the company is creating a vacuum where investors are totally in the dark.

Hopefully we will learn our fate , whether good or bad,in the coming weeks.

ATB

Skid

Any lingering optimism of a recovery in this horror share is fast receding with a SP of 1.3p down 98% from

two years ago and a market cap of below £2m.

While some posters on ADVFN think I am going through the 4 stages of grief, I can assure you I am now past that and moving on and have written off this disastrous investment

Even the Uber bull TracyLied/ 504 has accepted that long-term investors have been conned which is remarkable for such an avid fan of Levi and his bunch of incompetent colleagues on the Board.

At 70 years of age I don't like losing so much money but still will enjoy life to the full.

I will still hold these Israelis accountable for the abject mismanagement of the company and the losses of over $40m and I still have friends in the City of London and will ensure Levi and Co never get near a public company in the UK or anywhere else again.

They are nothing short of criminal in what they have said and done to shareholders with lies , false forecasts, misrepresentations and delusional public presentations on Proactive Investors and at investors meetings.

Anyway sorry for long-term and other shareholders and barring a miracle Ethernity is heading for the scrapyard.

Snargate

Rerating underway following company's announcement in the half year report that it is to adopt a more robust capital return programme involving cash from the Founded Entities and possible creation of new Founded Entity( ies) to move its wholly owned drug therapies to final stages or even to sell these drugs.

Should Karuna's KarTX schizophrenia drug be approved in coming weeks by the FDA , its share price could rocket resulting in Puretech's 2.8% shareholding being worth c$300m not to mention royalties of $400m under the agreement with the royalties buyer plus milestone and other payments .

The $50m buyback had no effect on the SP and I think we may now see a special dividend of c£200 m if all goes to plan equivalent to say 60p a share.

That should get the SP moving imho

According to the Financial Times Markets Data tearsheet on Ethernity Networks, which appears up to date as it shows Premier Miton shareholding as at 4 August 2023, the staff numbers in the company are shown at 13 which probably excludes Levi and Baruch and some contractors.

So the company is now trimmed to the bone and hopefully can get to cash breakeven with a number of licencing contracts in the next month or so.

I have a feeling Levi and Baruch not to mention Bergen ,would jump at a bid of 7/8p as they would get all their investment back unlike us poor sods.

If the employee numbers in the FT Market Data are wrong then the company should correct them simply by notifying the FT of the correct figures.

Time is moving on quickly for this company now and we should know our fate very soon

ATB