Posted in: DDDD.L
Those are good points Porky.
What I have learned going forward is that AIM biotech companies are very high risk - the odds of getting something to work is very low and they burn through cash (by way of dilution) rapidly.
The governance of AIM companies is also poor as we don’t truly know what is happening.
My lesson from all of this is that AIM biotech is not worth the investment, or at the very least you need to be prepared to loose everything.
I was also invested in Reneuron a while back, an AIM pharma company. Luckily for me I bailed out of it before the sp collapsed from around 60p (my investment) to currently 10p.
Anybody new reading this - just be careful with any AIM company.
Posted in: DDDD.L
Red or black - make your choice.
In all seriousness, we have been funding a research company that even when available in admin, no big pharma came forward with an offer.
As they usually don’t have income streams, the only way to fund these is by dilution.
Anyway a £10k lesson for me.
In hindsight - totally agree with that Utahsaints.
Pure research facility should be University funded - but I appreciate that UK Unis are underfunded themselves.
How much money has 4d made out of shareholders but was nowhere near to licencing.
A warning to others heavily invested in early stage research pharmas .
It’s a pity but not a surprise.
Having lost £10k overall - I go away having learn’t a valuable lesson.
Never, ever trust what and BoD tell you.
Start up pharmas, without credible income streams, are very high risk companies to invest in.
If there is funding in place for 12 months I can see a bit of a bounce in the short term. However:-
a. The BOD’s needs to be replaced to get some trust back in the Company. How much has this Admin process cost the company and shareholders..
b. A timeline of expected results over the next 12 months needs to be issued and clear. Otherwise come 12 months the fear of further dilution will further impact the share price.
I am however glad that the company isn’t being wound up - so credit to those that have come up with the new funding - albeight at our expense.
As before I will keep for 6 months and review then.
My guess is anything between 5-15p until we get some further news, or further dilution!
I won’t be piling in but will keep the shares until the summer and re-review then.
If the science was that good, I can’t see why a big pharma would have purchased dddd out of admin. However future results might confirm its good - so who knows.
I’m unsure what results are due over the next year, but will need to check if any milestone payments are due - or potential breakthrough results - otherwise I presume another possible dilution in 12 months.
I also don’t trust the board to run the conpany - hope they step down and and appoint competent people to run the company.
But the biggest one for me is how the company is going to fund itself after 12 months - this will decide if i stay or sell during the summer.
I’ve voted for it as well - through HL. However my optimism is low for the conpany at the monent - and the only reason I voted yes was because we, shareholders, have been put in a situation where there is no alternative.
The nanagement structure needs complete changing - which I hope will happen of it is relisted.
To come out of administration they have to prove they have the next 12months finances in place. So it depends what news comes out in that 12month period to increase the sp.
It is a concern that no other buyers or investors came forward - they probably could have had the company on the cheap.
Which then brings us to Duncan - is he investible and can he be trusted?
Whilst this outcome is better than nothing, I can’t but help we are jumping from one loan shark to possibly another. just my opinion!
So it looks like a hedge fund has taken over from Oxford Finance. It's good to see Duncan providing some equity as well.
Suppose this is the best we can ask for at the moment as there doesn't seem to be any other proposals.
To come out of admin they need to show funding for the next 12 months - so lets see where we are this time next year!
It has been wiped from my HL Account.
Not sure I’ll ever see it again!
Someone mentioned they have a month ontop of the 6 months to prepare a report - hence the end of January.
Do we know if this six month period could be extended? I guess if so a good reason would be required?
It’s a strange one.
Being pessimistic, the longer it takes the more money the Administrators make.
However, something must be up for it to currently take 5 months, going on to 6 months. It would be good if it could get sorted before Christmas though. So I can then close down my HL account and move on from gambling with AIM shares!
There is talk of a hedge fund closing - but I’m not aware of a fund that had so many shares.
Anyway if we are stuck in limbo, why should a hedgefund be allowed to transfer shares.
We are not talking about a big market cap - it’s about time the administration issue is sorted now so we can all move on either way.
This is the fustrating bit Fort - the shareholders were totally unaware of the loan default and subsequently have no say / input into the admin process.
Fustrating, considered we funded the company!!
If it did come back out of admin, would Duncan and Co be back at the helm? I just can’t see any faith nor trust with them leading the company going forward !
Yes I would have thought they will need to find some kind of refinancing deal to pay off OF and operating revenue for the forseeable future (is it 6months?).
They either need to sell something or find a new loan from somewhere.
I also guess the board will need to be replaced to gain some stability and trust in the company - if it can be saved.
It does look from the RNS that they are looking at returning the company to trading, rather than selling.
Suspect they are looking therefore at some sort of financing deal, or maybe selling an asset.
It’s gone very quiet regards #dddd and on this board as well.
I’ve written it off personally so anything we may get back is a bonus.
Just shows that as the ‘funders’ we haven’t got that much say in the goings on of the company, nor when its in administration.