My round up11 Apr 2024 17:32
Im a large holder so today was a good day despite any SP moves.
Obviously id have loved it to go to 10p but the fact it can now start to be valued on future and real cash flows is a huge comfort.
This deal alone will be coming at at about 14p/share on a PE of 10 for the first year but with grow considerably. When they get off the EU blacklist and when the new airport is completed, passenger numbers will rise significantly. I am also aware the line dropped about cargo screening is mega and could be worth more than the passenger screen part of the contract. So all in all this is fantastic and underpins a much higher SP which will happen in time.
Fowler has stated many times they will not use equity for this contract and there is no reason to doubt him now after 3 years without a placement, when that is confirmed with UKEF funding etc it is an additional green light for SP rise.
Now that this deal is done, it adds credence to the other MSCs that are apparently in the offing. Add another of a similar size and you can see immediately how the initial company target of 26p will be met.
This is a fantastic day, i see absolutely no reason to sell just at the beginning of the rise and new dawn for the company. This is going to be one of the big success stories on AIM in the coming years.