Member Info for DJP4976

That’s certainly an option that’s crossed my mind considering LSAI loan secured against all Sorted assets, but would be last resort in my opinion and not the best outcome.

Best outcome would be £5m injection from sorted management/investors at the same price as concert party of 0.2p. This would show the market extreme confidence sorted can be turned around and backed by significant funds from everyone involved. This is also the preferable route for the share register/freefloat to remain largely as it was pre suspension, which to me is important.

Second and least preferred option is Sorted management/investors don’t want to commit any funds, meaning LSAI will inevitably take control of Sorted, but this could leave LSAI in a venerable position if they don’t have enough funds to stabilise the enlarged business, if they can’t raise enough funds between themselves or other investors they may need to raise with retail and that could see a discount to get a raise away.

Anyway, I don’t believe any of this wasn’t thought about prior to entering into the loan agreement, and I would like to imagine LSAI management may have had at least a good idea that they would secure the funding from sorted vendors prior the the last announcement.

Remember this management is completely new to the old guard of 2021, they’ve now gone, and this new management is largely being controlled by the concert party with the likes of Richard Hughes and Mahmud Kamani, so I’m happy to give them a chance and see what price the deal is done at.

Watch this interview from back in 2019 where Richard Hughes stated he plans to do lots of deals with Mahmud and mentions he plans on buying businesses in distress or technology businesses, this is both

https://vimeo.com/368818072

I genuinely can’t see them doing a deal for less than their 0.2p - these guys didn’t get to where they are at today but doing a deal for less than their entry, and it’s not like it was pocket change, £3.8m in at .2p. We suspended with roughly .14-.15 of cash so levels.

I can’t see it being a premium to 0.2p any more as they want the sorted investors/management to stump up £5m to align with themselves, I reckon it’ll be 0.2p, and if no further funds raised with retail, the free float will remain largely the same as before suspension so will remain very illiquid.

Still just a waiting game. Fairly confident we will hear something shortly as Sorted cash burn needs to get under control asap, which likely they already have started to implement cost savings, but if the board want full control of all cost savings the RTO needs to happens as soon as possible.

Still struggle to believe the RTO gets done at less than 0.2p considering the almost £4m that went in at that price, just can’t see the likes of Hughes and Kamani doing it for less than their entry.

What is this event Reefles, and will there to be a link to watch it back?

Couple of chunky buys there 300k and 650k - clearly buys due to the price and the strength considering the sells last couple days

Have you got a link to where he has publicly stated they can buy back at ‘any’ point?

I had contact with Ed about this only yesterday. He can not authorise a buy back whilst inside, same as he can not purchase himself whilst inside.

Once no longer inside, he can authorise a buy back and then if he is made inside again with price sensitive information, the buy back can continue as it was authorised before the new price sensitive information came to knowledge.

This of course is not suggesting that there will be a buy back, Ed simply answer my question as to whether he can authorise a buy back if inside.

just remember, sentiment is the most powerful thing in trading and that can change very very quickly. you only have to have a look at prem at 0.02p to 1p with ceo george roach, amongst many many other **** to hero companies to know that!

Yes you are right, I may well be foolish, but I certainly won’t be hanging on to it if it starts going against me, I’m a short medium term trader more than long term investor, if this starts dropping back through previous lows I’ll cut it and move on, I have no problems taking a 15-20% loss, rather than holding on and potentially be 50-60% down on investment.

Like I said before, now at this level with cash and receivables outweighing market cap, it’s probably in the best position it has been for a long time to see a steady rise, let’s see how it plays out.

I’ve got to be pretty honest here when I say this, but all this whining today blaming this and that, and most of you long term investors with high averages, you need to start blaming yourselves a bit more for investing in something that was trading at or above it’s NAV? Is that a great investment strategy? Buying something that is reported by its own annual and half yearly results as being overvalued ? No, so maybe start taking a bit more ownership on yourselves rather than laying ALL of the blame elsewhere.

Fact is right now, today, it’s trading at sub cash/receivables, I’m invested at lows and see a minimum 100% upside back to 4-5p area, considering the 70%+ discount it current sits to a NAV.

I don’t care what’s been done and said in the past, as long as the board haven’t knowingly shafted shareholders with a hugely discounted placing etc which as from what I can see they haven’t, I wasn’t invested then where as I am now a all time lows.

The fact is if the board decided to do a rapid fire sale of all assets and sold them all at a 50% discount to book costs and distributed funds to shareholders we’d get almost 5p or roughly 150% from my entry.

Obviously that’s not going to happen, but I feel a good example of the value that’s on offer at this level and it’s just a case of waiting for it to correct which eventually it will.

Difference being at that time it was trading miles above its NAV, where as now it’s even further below its NAV

Nothing major about any of the investment companies just said SEED extremely undervalued and in a great position with market cap covered by cash/recievables, valuing the rest of the portfolio at 0.

Talk around by backs that he mentioned a few times couldn’t say whether they will or won’t, but interesting in his closing sentence he bought it back up and wanted to remind everyone they have cash and authority to do a buy back. Like I said he couldn’t confirm or deny, but I certainly got the impression they will do one, otherwise why bring it back up, a few people I’ve spoke with got the same impression also.

He also said he’s a shareholder himself and would like to become a much larger shareholder when it allows as he spends most of the time inside, so he basically said he is currently inside.

Yes they definitely are over a barrel, I’ve been through that document myself. It’s either this option or administration unless someone else fancies backing them.

The fact our directors want sorted management to align themselves with the LSAI shareholders is key, no one wants to lose money, if the sorted board are presented with a plan from LSAI board which must have already been in place prior to RTO RNS, that shows large cost savings and a quick path to profitability, and they agree to invest everyone involved will be aligned in getting the company turned around and the share price much higher

That link doesn’t work.

Also September wasn’t mentioned by the company, but a news article published after the RTO RNS.

But I would agree it’s likely it would need to be wrapped up fairly quickly to stop Sorted going into administration and cost savings implemented asap.

Another 500k delayed buy shown up after close following yesterdays 500k filled buy after close also.

Someone’s buying nice chunks, Good to see

It’s an off market transaction, those shares must have gone somewhere, maybe we’ll find out if we get another TR1 showing where they went

Must be an off market transaction between one party to another or maybe a ISA transfer (not sure if that is even possible with a suspended share, who knows but agree is strange almost 3% of the company

Nice 500k delayed buy just printed

Yep, just a waiting game now but from previous articles suggests will be before end of September which isn’t long to wait for a suspension.

Again, I’m as confident as I can be this gets done at a minimum price of 0.2p, so as long as the deal crosses the line, we should be opening much higher than where we suspended