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Further activity on LinkedIn again today. I appreciate the activity, but let’s see some commercial progress that they can report on.
Let’s see what they are building towards, because they can swagger but can they deliver?
I see constant likes and engagement from JCB, with further historical collaboration between Emb and JCB too.
To be honest, either the production capacity is commercially exploited and we will see a massive transition into a cycle of continuous news flow, or it continues in its current format in vein.
I just can’t see how with what appears to be considerable traction behind the scenes how this isn’t about to materially re-rate into a significant business on the basis of what is most important here, revenue growth.
If in fact, that in the fullness of time the board are to deliver in line with their most recent forecasts, and that this transpires to be confirmation of that fact, then the journey as a shareholder could be wild. It’s really difficult to contain the excitement for what could be as if they don’t deliver many will be waiting in the wings to gloat in shareholder losses.
Pending disclosure as to who this OEM is and with the small cap market on the verge of a recovery imo. He1 has only served to prove that there is a lot of cash on the sidelines waiting for the next big story. IMO this is it, and from what I have seen, Saietta go about their business very quietly, so this LinkedIn post appears to be ballsy and also liked by Tony Gott himself.
I’m trained to not expect an RNS in the morning, let’s hope for a pleasant surprise.
Brilliant spot feeks.
So in line with the ceo of Saietta VNA’s interview that stated production would start in February 2024. This has essentially been confirmed by their LinkedIn account today.
Now my biggest question is, that if the initial PO’s were in production from September/October 23’, then this production must be associated with the forecasted launch. Our current funding and cash flow position would only allow for this should the PO facilitate for it?
On that basis, agreed, news must be imminent.
Good night on the sauce?
Your revenue forecast is related to the 24/25 tax year which begins on the 1st April 2024.
Gross profit margins are commercially sensitive information.
Agree the company need to report on commercial progress.
Don’t agree that one of the key benefits of a high growth company listing on aim is to raise money. Unfortunately it’s been in the backdrop of challenging market conditions and over stretching themselves.
We need to allow them this time (March 24’) to deliver on what they said they would. However frustrating it might be, however, Friday afternoon was a very strong day for the company and its share. With less than 27% of the company in free float, volume drive the share price in either direction, and on news of the VNA joint venture went up 300% in 4 weeks. Expect the same and more if it delivers in the next two months.
At an incredibly good price to.
Do we think that a supply chain partner in China is possible? It had been mentioned before in a previous interview that they would look for partners in America, Europe, Asia.
Without a Chinese translation I have no idea what that video says, however, it would appear that we are on a broader radar than what has been disclosed to date.
Seems strange for a Chinese based company that seems to focus on soft launches, to have hashtag’d a relatively small British company alongside some major 2 wheeler OEM’s. Many of which are based in China. I know there was talk about the Chinese market prior to India, and the 2nd OEM doesn’t have to be Indian based.
We certainly have things going on behind the scenes, they need to keep this workforce busy one way or another.
Https://m.youtube.com/watch?v=JeT-e3cwg7E&pp=ygUHc2FpZXR0YQ%3D%3D
Look at the hashtags, any ideas?
I find one of the hardest parts of investing is buying a share that is falling. However, in line with the corporate news that has been internally forecasted here, it would only take one of those milestones to land for it to materially change the direction of the share price, and we all know what happens when the share price reverses, free float restricts new entrants looking to build a size able positions without causing a material rerating to the share price.
I took the time yesterday to look at the newsfeed and more specifically the Tr1’s and compared it to the companies major shareholder register that was last updated on the 8th January, company website. It would appear that all major institutional shareholders participated in the most recent raise implying financial support remains strong.
With the most recent justification for restricting the most recent raise to provide funding only until the 31st March due to advanced discussions with the respective OEM’s allowing for additional funds to be raised on more favorable terms, I can only think that the most recent sellers have exited as the window of opportunity for the company to deliver gets ever smaller.
I hope for something, but if they can deliver everything they have suggested then this has to offer significant value at these levels. It’s time for the company to commercially deliver, especially when the company structure would resemble that of a company that is set for significant growth, or already has considerable revenue.
Could it be this, I have placed my chips on this being the second OEM and the projected 800k unit 2 wheeler contract for 2025.
hxxps://electrek.co/2023/11/10/honda-confirms-swappable-battery-electric-scooter-production/
Can anyone add color to this (added here too hoping someone knows more)?
Page 12.
hxxps://saietta.com/media/un0j54cz/sed-update-presentation-october-2023_website.pdf
“Saietta is also progressing towards successful completion of an aftermarket contract manufacturing project to be undertaken at the Sunderland manufacturing facility.”
Then from the November presentation, page 14.
hxxps://saietta.com/media/32iht5m2/notice-of-general-meeting-december-2023.pdf
“Contract manufacturing of Electrical Steering Pump”
What is this? I’m struggling to find any information on it, only for it to add revenue to its Sunderland operations, £58m in just under 4 years according to companies internal forecasts.
Great spot on Ayro order.
Their will come a time when these updates will drive the share price performance here.
Unless I am getting the wrong end of the stick, Saietta VNA isn’t going anywhere, Annual production capacity is 150,000 units with scope for further expansion, it’s the foundation to cost effective production per unit given the reduced cost of transportation to and from suppliers and client. Plenty of annual capacity remains until OEM 2 comes into play with its 5 year 800k minimum expected unit forecast, at which point I don’t think anyone would be worried about financial expansion.
Let’s hope that these motors take the market by storm and the minimum expected quantities are significantly exceeded.
I understand that the share price reflects a need for the company to deliver. However when putting all available communication together, in addition to further contracts for new product lines, full production is coming.
Company working capital requirements through to the end of March 2023.
Page 14, Notice of General meeting presentation
https://www.saietta.com/media/32iht5m2/notice-of-general-meeting-december-2023.pdf
The company will be in a strong position with clear visibility over its near-term, de-risked commercial pipeline. Putting it in a stronger position to secure future funds on the most favorable terms.
Q&A with Tony Gott (03/08/2023)
From 17:15
https://youtu.be/kPwFvNMdhlk?si=qzqOmmVDff4l9ogA
Normal OEM methodology, we will get an initial order for quite low volume, a few hundred units, with the contract operating for 3 months and that is against a backdrop of the forecast for next year.
Confirmed as eDrive supplier to Indian LCV (27/09/2023)
https://polaris.brighterir.com/public/saietta_group/news/rns/story/w9mmpgx
The customer is a global OEM and one of the largest manufacturers of light commercial vehicles (LCVs) in the Indian market. The purchase order covers approximately GBP420,000 of systems for the first three months of production. However, target volumes indicated by the client for the first year of production is expected to generate revenue for Saietta VNA in excess of GBP11.2 million.
Full year results ending March 2023 & Operational update (19/10/2023)
https://polaris.brighterir.com/public/saietta_group/news/rns/story/w17pj6w
“In October 2023 production of the AFT eDrive for the Lead OEM commenced in Delhi, India at Saietta VNA's all new 33,000 sq-ft factory.”
Saietta VNA partner (20/12/2023)
https://m.youtube.com/watch?si=xPHbREiq-8YZEMsZ&v=AO6_SB-kX_c&feature=youtu.be
SED joint venture partner recently stated that the AFT will be in full production from February.
So my point is, following normal OEM processes, and with production having started in October for the initial purchase order on the 27/09/2023, at some point in January we can expect a further RNS for the forecasted larger backdrop of full scale production for this associated order. With the same that can be applied to the additional purchase order (13/11/2023). What appears to be a transformative first quarter for SED, at these all time lows, the bear market has gifted us with one hell of an opportunity imo.
For anyone who hasn’t read it, it is really worth a read. I believe the company are confident of significant commercial traction over the next few months that will elevate the companies fortunes both on and off the stock market. Self imposed deadlines of March 2024 are likely to beaten, of which several transformative milestones are lined up, including a second relationship with a new OEM.
As it stands we really are a sitting duck to a potential takeover bid. Yasa Ltd’s takeover price speaks volumes without the same level of commercial traction that the directors appear confident of here. If we are truly about to come out of a bear market, this can only help our cause.
Interestingly “the company is already in initial discussions with commercial/strategic customers re future funding”.
Give it a read.
https://www.saietta.com/media/32iht5m2/notice-of-general-meeting-december-2023.pdf
TRQS, thank you.
Your thoughts on the product itself? Competitive advantage over competitors etc?
TRQS, having read your posts, all of which are on SED, can I ask your professional background? Understand if you don’t want to share, but I would find it of interest.
Inbound
Https://www.youtube.com/watch?v=B59yZPPUqGw
14:15
When discussing the big 4/5 OEM’s in India, he references the agreements with one and the OEM’s and a second that is soon to be ratified.
With the AFT eDrive already in production, I would speculate that a large PO is imminent.