Member Info for Davde

Admin included about £3m in amortisation as a consequence of modern water acquisition. This will not increase proportionately in 2022. DVRG will not make a net profit in 2022 imv but will be positive in EBITDA and cash generative before exceptionals.

I doubt they would have rejected the bid without the support of their major institutional shareholders. It is now up to the BoD to deliver on the contingent value with subsequent returns to shareholders. Just have to wait and see!

Tend to agree market over reaction to inflation figures. Yes it will impact businesses in general and profits will be damaged to some extent. RTN has done a lot to mitigate these headwinds in terms of hedging fuel, rate caps, lease terms and recruitment issues. Just need to wait a bit! The interim's may spark some sustained life into the SP!

bvcxz70 believe you why! Do you have inside knowledge and posting a public board! This government have not indicated yet that they wish to have another way of managing rail services so not sure where your assumption is coming from re future. They need to give notice unless the government cancels contracts, then compensation will be due to FGP.

So deal not agreed and we now have to wait for special dividends from earnout, contingent release and asset sales. Looks like they increased cash element but reduced contingent amount so less offered overall!

DVRG will not make a net profit in 2022 imv. The loss, like last year will be caused by amortisation (a) and depreciation (d) both of which are non cash items. The real issue for me, is will they be cash generative after interest payments and tax paid (credit last year of £1m) but before capital expenditure and exceptionals. If they are that will be a good result as cash is king in a growing company. The good thing about affiliate payments for STC, this is almost instant cash to DVRG, is my understanding, which will make cash management easier. Very pleased with the progress DVRG has made to date and confident SP will reflect this in the coming months and years.

Can you explain how it will get worse?

The contingent element of 45.6p is worth circa £342m (750m shares * 45.6p). It is made up of earnout for transit of circa £197m ($240m), £117 from greyhound liabilities and pensions which they think will be released. This is all I could find, so leaves about £28m from other sources e.g. sale of surplus properties in US. The questions for the board are, is the valuation of the contingent amount correct or should it be higher and does the 118p represent a fair value for the remaining core businesses? It must be close in valuation terms for both core business and contingent elements or the board would have rejected outright which they have not and have now extended discussions twice to reach an agreement.

I emailed wallbrook last week asking same thing. Response was ODX have not indicated when they will be ready as yet. Under AIM rules they have 6 months from year end to issue results so need to be out by end of Sept. the have issued results in both Aug and Sept previously.

robs12 is aupec not energy economics in note 6? revenue well down in this area.

I agree ODX SP will improve once details of the CD4 sale and royalty payments disclosed. The only other issue is the govt repayment which I believe will not happen, or if it does will be small. In the next 15 months ODX will continue to implement their revenue growth strategy for H&N using upto the £3.6m raised as a consequence of warrants being exercised at 4p. How far the SP will get above 4p before warrants are exercised will determine the level of rerate. Once it becomes clear how well the strategy for growing the H&N revenues is will determine the ODX SP in the coming years.

Tend to agree, very unusual for PMG to issue such an RNS, for me the last line in RNS says it all "GPA is one of the North Sea's largest undeveloped oil projects and its development would serve to increase the UK's energy security once onstream". The stars are aligning at last!

Certainly a steady update, cash pile will be growing faster with improved profitability.

Getting a bit confused here, the Alva site produced lateral flow tests for global health business whilst the other site did the H&N activities, is that not why at one stage they looked to transfer CD4 to the other site, there was no mention of H&N activities being transferred.

"Competition risk

The Group's current and future potential competitors include, amongst others, major multinational healthcare and environmental health companies with substantially greater resources than those of the Group. There can be no assurance that competitors will not succeed in developing systems, products and services that are more effective or economic than any of those developed by the Group, which would render the Group's products obsolete or otherwise non-competitive. The Group seeks to reduce this risk by ensuring that a professional and high standard product and service is provided to its customers, maintaining confidentiality agreements and selecting leading businesses in their respective fields as collaboration and joint development partners capable of addressing significant competition, should it arise."

This is from the strategic report in accounts as to how DVRG deal with risks and uncertainties, competition risk is always there and can be mitigated but not stopped. It does however help if you are first in the field and have large amounts of data! Getting over excited again need to watch my BP!

Think we continue in current range until outcome known.

Muggins the final results RNS segmental report puts Life sciencies (LS) at £2.8m for 2021 up from £2.4m in 2020. Data AI £2.0m up from £0.9m in 2020. So old labskin £4.8m in 2021 up £1.5m from £3.3m in 2020. Monitoring £4.2m in 2021 up £3.1m from part year income from MWG of £1.1m in 2020.

MODERN WATER was £4.2m in 2021 not £6m.

Not long to go until we start to see extent of the damage, or not, for Alva exit, intangibles write off, maybe too early for cd4, maybe evaluation. Hopefully a update re trading and maybe cd4 news. So lots to talk about soon!

FGP are still discussing the offer, deadline 21/7, when it maybe extended again or a conclusion reached. I suspect the discussions are about increasing the cash element from 118p and reducing the contingent element from 45.6p. If they increase cash element to anywhere in the 135p to 150p range they maybe in business as think the II's will want to deal. It is all about the bidder taking more of a risk re earnout and legacy asset sales. If another bidder comes in (unlikely imv) then a higher price could be achievable. We will see what happens re deadline soon.