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Yourgene Board of Directors,

After your disastrous financial management leading to a placing that valued the company at £2.1m (ie below even the continuously revised deferred consideration payments for Ranger!), please deliver us some significant progress now. Where are we with:
- Ambry Genetics cancer testing launch in UK?;
- Strategic divestment?
- Strategic partnership investment?
- New major contract for Ranger per article in December?
- Other commercial developments / progress?

Redeem yourselves! (if that is possible)

As annoyed as I am still re 2022 and placing, just get this company back to £100m market cap!

Yep, one thing that is true is that he never sold and in fact, continues to add. As I said, he told me so in the CMD. One must imagine he knows the future of company!
Does not make me less frustrated with what happened but it's reassuring there is a future. And I hope a takeout around £100m+ at some point.

By my quick calculations, he added circa 132m shares or £400k.

Well, at least one thing was right - Bill Chang never sold and in fact, continues to add!
I remain appalled by the low valuation in recent placing and why/how we got there, but that's now the past and with the placing out of the way, let's hope shareholder value will be rebuilt!

Looks like rollover to me.

Hi Bakky (and Twix),
I will do what I believe needs doing to limit/recoup my losses.
What will be interesting to see will be participation by existing institutions / major shareholders ie BGF, Amati, Steven Myers, Life Sciences etc. We already know Bill Chang is taking up quite a lot although he will be slightly diluted down. Note many said he sold down!
I don't think it is deceit, I just think it has been naivety and incompetence. I think they thought revenues, divestment and strategic investment would come sooner but the environment turned resulting in delays. In such event, I would have deferred investments, preserving cash to get us across the line. But it is spilled milk now.......they are getting a placing done, effectively a pseudo rights issue.
From my review, Lyn invested four times:
1,000,000 @ 7p (2022)
294,000 @ 17p (2020)
243,902 @ 10.25p (2019)
500,000 @ 10p (2018)
With his current participation of 83,333,333 @ 0.3p, I work out his average as being circa 5.2p.
I suspect he will want a return from it or limit losses!
Why will it be different this time?
- the experience alone!
- the signals are there;
- insistence of non-exec director by BGF.
I still think a multiple of sales (4-5x) or GM (8-10x) can be attained. Not the 10x sales or 20x GM but still healthy . The foundation are there so just need this funding to get across the line.
Good luck all.

Hello all, wishing you and yours a Happy New Year and a healthy, happy and successful 2023.

Have read through and digested the shocking RNSs and circular posted late December. The whole placing and placing price still baffles and hurts! Really should never have got to such a position.

Having said above, I am now resigned to the fact it has happened and will proceed as planned. I am also convinced the future is already mapped out. Post fundraise, broadly, institutions will own 70% of YGEN, directors 15% and retail the rest. Lyn, John, Adam will all have higher %'s than before ie lined up. The way I see it:

> We will get divestment news Jan / Feb;
> Full year 2022/23 will be within and at higher end of guidance;
> We will get several more commercial contract news;
> Strategic investment by end Q1 with warrants to take large chunk of company;
> Improved FY 2023/24 trading outlook: likely £24-26m with positive EBITDA, and growth continuing into 2024/25;
> Takeover between 3.5 - 4.5p.

The only assurance we have now is that institutions and directors have put in quite a bit. So, they know. Take that as the signal / comfort. Doesn't make what happened any less ugly.

All the best.

I think CFO needs to take responsibility.
CEO won't go. Just stumped up £250k and past investments too.
They have a plan to recoup their investments, and handsomely too, no doubt about that.
Just very annoyed it got here.

The fundraise is done, as I expected, and oversubscribed to £6.4m (before expenses), subject of course to passing of resolution which will also happen.
The retail offer is pretty meaningless given you can buy in market at 0.331p now. So, I suspect it's a non-event and hence they raised above amount.
As of now, you can either add in the same way the institutions and directors have or just hold.
I am with the Sorcerer (and Davand) - the deals will now flow, conservative forecasts will be beaten and quite frankly, a takeover at 3-4p likely thereafter (as part of the strategic investment). They all get a slice of the action. All planned.
There is fundamentally a great core business and technology - we just got shafted by poor financial planning and management, unless of course we follow their actions / lead today.

Was so flabbergasted by the placing at 0.3p that I only got a chance to read through the interims in detail.

Growing core by 20% and expect this to be the case or more in the next 2 years. Lots of wins but realisation of revenue from their implementation is later.......

Still investing lots for growth (£1.1m Canada, £0.6m US, £0.8m R&D, working capital) is good. BUT poor financial planning and funding to do so, very poor. We really didn't need to get here! £10.1m in stock and debtors!

There is a solid business here, just not properly executed financially! Barry H has a lot to answer for.

Oh well, get the funding done, grow the business and get to CF positive.....then maybe we might realise 10x revenue of £28m valuation which would on fully diluted be 10p.

As I said, institutions and directors contributing £5m does reassure me, even if it feels like daylight robbery! And so avoidable in my view.......

Nor sure I understand your question Sorcerer.
The 383m shares being taken up by the existing directors are independent of whether they are directors or not - it is shown today since they are directors. Looks like John Brown, Bill Chang and Lyn Rees stumping up £100k, £600k and £250k respectively. Guess they will know if the company has a future!
The 1,283m placing is a done deal. I wouldn't be surprised it is announced as closed and done tomorrow, subject of course to resolution being passed.
Then there is the 333m retail offer.

Sorcerer, I am truly baffled with the placing price too........especially given my view that they have effectively done a pseudo rights issue exercise.......perhaps it is to ensure take up.......

I am going to get it out of the way. This is absolutely appalling. I never expected we needed to do a placing, especially after the interim update, let alone one at 0.3p! The low share price is also a reason I didn't expect us to go down this route.
They mention divestment and strategic investment by a partner, and I reckon that got delayed resulting in the need for this. Nonetheless, the poor working capital management is another huge disappointment even if EBITDA came in as expected.

Now, onto the placing. Having read through it all, we are raising up to £6m with 2b share issue. This is split 1,283m with institutional investors, 383m with the directors and 333m will be retail. That's roughly 64.1%, 19.2% and 16.7%. I obviously can't work out the exact splits of the share register today, but I reckon not far off today's proportions. So, effectively, they are doing a rights issue without calling it one. I was hoping it there was a fund raise, it will be a rights issue and if the proportions hold true, then I am more comfortable with.

The interim update suggest NIPT new clients with annualised income of £2.7m and Ranger running above $2m now. I know how many will feel right now, INCLUDING me, but I intend to take up my retail offer (will see details tomorrow) because I suspect they know where this is going too in 2023!

BGF asking for non-exec director on Board so long they hold 10%+ also suggest they will be picking up their allocations to keep at same percentage or more. What I can't understand is why do it at 0.3p and not say 1p, with less shares? Same money!

What a shocking state of affairs. But I will be holding on and participating.

I correctly identified Labcorp as one of the unnamed customers (subsequently named).
I referenced Pacific Biosciences some time ago. Watch this space.
Am also keeping a watchful eye on Thermofisher and Illumina.

I am here. Added some this week as I said I would.
I am with you Twix - think they are waiting for deal closure to land with interims due before end year (calendar).
Will be also good to hear progress on Ambry - NIPT there and oncology here.
Assembly technician being hired in Canada. Think you only need assembly folks if you are needing to install quite a few Lightbenches!

Natdan, have a read of below:
https://www.yourgene-health.com/images/investor-relations/YGEN_Open_Day_Business_Update__FINAL.pdf

Stats20, so you are saying the large holder selling down has not communicated to YGEN or that they are colluding and withholding info? If the former, then how is that YGEN fault? If the latter, I think you will find most of the major shareholders are respectable organisations / individuals so, unlikely!
I really think we should stop such conspiracy theories......
.....and I also hope YGEN will announce the big deal / takeover that I think is imminent!

My thoughts are:

(a) There is either a forced liquidation (and as share price falls, it continues) or portfolio realignment - nothing more sinister than that. But this will end at some point;

(b) A significant commercial deal under negotiation (perhaps the Nesbitt referred to deal) - multi-million Ranger tech supply agreement, with upfront payments + warrants for equity at say 5p conversion rate.

As far as I can see, company performance on track. But not our SP! Let's see.

Hi Twix, I am afraid I don't focus much on my average since I have accumulated over time. One thing I do keep track of is what I would like in return - 12p+ for me. So, I guess my average is high single digits.

The article posted by FF just validated what I think / feel. We are only starting our journey of significant growth. Adoption of a disruptive tech takes time, impinged by Covid, and now with 3 megalabs including Labcorp effectively having validated it, and potentially another big one far exceeding them, then many will come onboard. Those names remaining anonymous will eventually also disclose to call out their competitive advantage having adopted earlier.

Increasing number of NIPT lab installations: +15 this year, tick;
Increasing adoption in Ranger: 3+ by end this year, tick;
Switching of genomic services to replace Covid: Move into Oncology with Ambry, tick;
Need fundrasing: Company already said as much they can, ie no in trading update.

I will pick up a few more this coming week.