Member Info for extrader

If Peakhope's Devonshire Warwick Capital LLP is the same as this one, their capacity must be pretty limited :

https://find-and-update.company-information.service.gov.uk/company/OC398053/filing-history

" Unaudited statements to 28 Feb 2022 show net assets and members' capital of £ 28,538. "

No 000's omitted. But , to be fair, it has risen from an (equally unaudited) net assets and members' capital of £ 1,498 in Feb 2020.

Seriously ?

not IN ADDITION.....OR...

Turnover = 50m, OR balance sheet total 43m...

Followed by this from the 30 Nov 2020 Trading Update :

.."2. Client Company Origination

The portfolio of Client companies continues to grow and now includes MID-CAP and LARGE-CAP businesses from Italy, UK and UAE. Gross origination of Client companies has increased 16% since September 2020...."

Maybe SYME's not clear about what constitutes an SME ?

...the relevant bit being..."So SYME have basically told you, any company with over 250 staff, or turnover or balance sheet totals of more than or equal to 50m euro or 43m euro, are ineligible to use SYME as they have to adhere to standard IFRS rulings...."

If SYME's target market is SME's ,why does the 27 July 2020 Trading RNS refer to :

.."Demand for Supply@ME Inventory Monetisation© from pipeline client companies remains high.
The average target client company typically has €100m of turnover. The average target size for each inventory monetisation transaction is circa €15m..."

which are outside the criteria for SME's discussed earlier today ...??

GingerHippo,

.."Extrader, if the SME sells it to the funder at cost, as established above, they have every incentive to buy it back from the funder, in order to sell it on at market value, thereby massively reducing the risk to the funder..."

Firstly, its effectively at 'less than cost' - as established above - so I agree the customer is a motivated re-purchaser under normal circumstances.
But you reduce risk by having effective contingencies for when things go badly, not when they turn out as you hope or expect.

Remember the adage "'In theory, there's no difference between theory and practice. In practice, there is' .

AFAICS

.."I may of missed something but SYME have always said their target is SME's and have never said anything different..."

You obviously weren't around when AZ was 'bigging up' SYME's prospects with Carrefour, Rolls Royce, etc....
Of course, he probably MEANT 'suppliers to these household names', but that's not what he said.

Ho hum (= 'ah, well')

.."This means that manufacturers only get 85% of cost of product in cash until such time as product is sold..."

Out of which they'll presumably have to pay (in cash) VAT or equivalent on the ' sale', quarterly or however frequently the taxman requires.

GH said :
.."Risk and reward is transferred to the funder..."

Unless you have a very wide pool of assets monetised, the funder/investor has (unblended) risk that is out of all proportion to the relatively meagre reward on offer - a couple of % above 2 or 3 year cost of funds, IIRC.

AFAICS

Some encouraging sector comment from Jared Dillan of the Mauldin Group

.."One thing that has worked out is purchasing the SPDR S&P Biotech ETF (XBI) in May—anytime you get a chance to buy something at distressed levels, you should probably do it. This isn’t a trading newsletter, so we’re not going to flip it now that we’re up 15%. Biotech continues to have a lot of promise. The sector will also benefit from what seems to be a
Republican wipeout in the midterms. Lots of amazing stuff going on in biotech, the bear market notwithstanding....'

The thesis being that acquisition activity in the biotech space is picking up. In May, Pfizer acquired Biohaven
Pharmaceuticals, and GSK acquired Affinivax. In June, Bristol Myers Squibb acquired Turning Point Therapeutics. And, in July, Merck started talks to acquire Seagen. This trend will continue. That, along with lower inflation, should drive up biotech stocks....

Time will tell...

Some encouraging sector comment from Jared Dillan of the Mauldin Group

.."One thing that has worked out is purchasing the SPDR S&P Biotech ETF (XBI) in May—anytime you get a chance to buy something at distressed levels, you should probably do it. This isn’t a trading newsletter, so we’re not going to flip it now that we’re up 15%. Biotech continues to have a lot of promise. The sector will also benefit from what seems to be a
Republican wipeout in the midterms. Lots of amazing stuff going on in biotech, the bear
market notwithstanding....'

The thesis being that acquisition activity in the biotech space is picking up. In May, Pfizer acquired Biohaven
Pharmaceuticals, and GSK acquired Affinivax. In June, Bristol Myers Squibb acquired Turning Point Therapeutics. And, in July, Merck started talks to acquire Seagen. This trend will continue. That, along with lower inflation, should drive up biotech stocks....

Time will tell...

.."It's laughable that some folks think AZ will want his shares back when they are worth what a 10th of the price he pledged (Sold) them for.."

It would indeed be laughable, but unfortunately, it's not correct : go back to the original pledge loan RNS and you'll see that the shares were valued for security/collateral purposes at between 0.075 and 0.09p (from memory), ie pretty much at the previous nadir.

They then went up approx 10x over the following one month loan availability period, aided no doubt by a lot of helpful info , most of which AZ must have known was in the pipeline.

See earlier correspondence, ad nauseam, on this point !

ATB

..depends whether you get organized or not. Anarchists have a problem with that sort of thing.. ;->

.." I stated on this sewer of a BB about 6 months ago, that I met the guy who was offered TF for half a million three years ago in Singapore..."

Wow ! That post must have been 'disappeared' pretty quickly ! It's certainly not there now, AFAICS.

Do you recall/did he say why he'd turned it down ? And why it was up for sale in the first place ? Three years ago would be round about the time that Navitas Resources (a forerunner to TF) was imploding, AFAIAA.

(1) NR Capital Pte Limited ("NR CPL") goes into insolvent liquidation,see
hxxps://www.sgpbusiness.com/get-pdf/eg/5af32281-8a7e-11ec-b068-f48e38c3a128.

(2) This is the fund management company that TomJames and John Collis used to create and run the USD fund [ the Euro fund came later] now managed under the TradeFlowCapital Management Pte ("TFCMP") label, as shown by Tom James's sgp linked-in
hxxps://www.linkedin.com/in/tgjames/details/experience/

CEO & CIO - Commodity Fund Management
NR Capital Pte Ltd·
Full-time Apr 2016 - Aug 2019 · 3 yrs 5 mos
Singapore & London
Fund Management in Commodity Markets.

All very curious.
Any extra light you could shed would be welcome.

I'm obviously having a bad day at communicating * : I mean/meant - as the alternative (vanity/sanity/reality) makes clear - in ASCENDING order of importance.....

* it doesn't matter how clearly you think you've expressed yourself : if the other party hasn't understood, then you've not made yourself sufficiently clear....or the other person is being deliberately obtuse.

Which obviously couldn't be the case here.

;->

Hi TB

No, I'm not. But I did mistype 'in the billions' for intended 'in the millions'.
As the following line, in order of importance suggests : turnover/profit/cash OR 'vanity/sanity/reality...

The point - as exemplified by TF's negative contribution - still stands.
HTH

.."If we had revenue in the billions our SP would be much higher than the IPO price...."

Since we're in pedant mode ( ;->), revenue 'in the billions' would be a good start, but would be worth little, if it's unprofitable - and can't be made so :

'Turnover is vanity; profit is sanity; CASH is reality'....

Note that TF, with its (cumulative) US$ 1 billion 'goods-in-transit' monetised over the last few years still reports (per the FY RNS) little revenue and (growing) losses.

AFAICS

4m shares is a 0.8% holding (500m shares in issue).
At £ 215k, or a bit less than a year's salary, I'd rather it were our CEO getting his interests (more) aligned with ours.

IMO

.."But why was no figure given this year?.."

Quite. What has become of the convention of permitting 'like-for-like' comparison ?

Well, by its own statements, TF has now done over US$ 1 billion in transactions…and - per the latest SYME. group results - still unprofitable.

So yes, any poc will need to be followed by a rapid ramp-up in business volumes…and early evidence that there is a clear path to meaningful profitability.

AFAICS