Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Not sure that’s right. Look at note 10
Looks like no buyers for this atm
My calcs have debt at year end of £180m. In the year after this will reduce by another £8m or so (assuming flat EBITDA of £90m). This is after £20m interest, £5m restructuring and £10m deferred
FY26 you’re generating c.£23m of FCF after £20m of interest and again assuming flat EBITDA of £90m
Biggest upside here is a sale of TICC but that obviously hasn’t happened for whatever reason
It’s in Asos own stat accounts! They give you visits and conversion
Working marvels! Look what happens when you spend a bit of money buying shares in an illiquid stock
“Eminently sensible” just to hold excess cash apparently
Makes sense in my view. Take some shares out at a massively suppressed valuation to NAV
With such little liquidity in the shares I think this will have a huge capital upside for us all
Dividend is great also
Yes it’s disappointing that M&A has continued at such a pace when it was obvious last year they should have batted down the hatches
I disagree re organic growth and think that’s a great area for the business. These sectors are highly fragmented and serves by ageing family run businesses. There is a need for a more developed and sophisticated partner
They really do need to pause M&A now. £9m in the half in interest is not ok
Wasn’t last year the same? The RNS reads as though it was?
I do also agree with investing cash (it’s the better return on capital) my point is buy backs should be considered to 1) close gap to NAV 2) they now have c.£60m of cash! Last year they deployed £20m. Let’s say they have a good year and make the most of this dip and deploy £30m that’s £30m of idle cash
A special divi would be even better tbh
With £60m of cash surely a small buy back of stock would make sense now?
£10m would give us a better eps to then see some value uplift from the funds management business?
I’m not sure your number are correct?
I saw this today on LinkedIn. Although the chap who joined from Marlowe wasn’t head of the M&A function
I’ve just been trying to work out where net debt will be at the next results. I couldn’t get to a good number
My workings were
Say EBITDA of £45
Less capex of £10m
Less tax of £5m
Less interest of £10m
Less leases of £10m
Less acquisition costs of £5m
Less restructuring costs of £5m
So that’s £0m of cash generation!
Then net debt was £191m at Mar-23. Since then we’ve paid £13m for IMSM. £9m for Clymac and £6m for two others. There’s also £8m of contingent consideration to be paid so that puts gross debt at over £225m!
So the acquisitions must have been paid out of cash?
One line that does confuse me is this “. At the time of approving the financial statements the Group had an undrawn committed borrowing facility of £22.3m and to the extent to which further acquisitions require more than the committed facility” so is this saying that in Jun we’d paid off £22m of debt?
I’m going to email IR
I think it is just the debt and interest costs. Marlowe has a good business but SMEs are being hit hard
I guess the market is waiting to see what impact
The one good point is rates look like they have peaked and a cut would be fantastic. I think a cut will come sooner than people thinks given the impact on housing etc
Just keeps dripping
TICC deal is off as far as I’ve heard so I think we are back to worry about FCF
Really need some good news on paying down debt now
Would be nice to get an update or some good news to shout about
Apart from clearing debt what is the positive here? This was supposed to be a game changing deal which ever Jose supported
Instead it seems it’s been a flop (remember the rebrand that lasted about a month?) doesn’t this highlight just how far off the pulse Asos is with gen z as they haven’t transitioned topshop as stated
Instead Asos loses an own brand which connects with older (and richer shopper)
Real shame but admitting defeat here doesn’t bode well long term
Asos has flopped quite a few own brands now. Asyou was another launched to great fan fare. The business won’t turn around on thin third party margins
What does an acceptable bid here looks like?
Using the same EV/ PBT metric as 7IM (only data point I have) then £640m would be the total value. Finger in the air says that’s north of £30 a share!
Given £28 was the peak you’d have to be around that level?
All this said of course markets and the macro environment has changed (but 7IM deal was a month or so ago)
Management need to do something to breed some life into the shares
Admins are rising and Begbies should benefit
They used to have ingenuity sites but cancelled them. Now it seems THG just take pictures for them
What a tech division
I’d sold and now back in at a price below my original buy
7IM was recently sold for £255m PBT of £9m to £11m (not fully known). I must be missing something but BM is making £30m PBT at the same valuation
Hopefully PE come and buy this
You’re right and that’s why each of the main accounting firms have hundreds of staff working on just this area of tax
If you think that margin is right and all those PE firms knew that in DD you’re a fool. And all those very expensive accountants are just saying “play the rules”
There are huge marketing and admin costs which will all be suffered in China. The transfer pricing analysis will show the “mark up” for these services is correct and that the 14 staff here couldn’t deliver it so all that roles in the cost of the product paid and or corporate services
“ Secondly the eagle eyed troll has omitted to say that the Shein £1.1bn revenue figure is actually for 16 months and incorporates two golden quartersz including 2021 when the high st was largely closed. I'd say Boo's equivalent revenue would be c£1.4bn. So, as the troll says, Shein is impressive but Boo even more so.”
T4G you’ve incorrectly compared U.K. only revenue with boohoo GLOBAL revenue! Please can you correct your post
Also for the margins (this is for all and not just T4G) the 50% GM margin will be made by the tradeco part of Shein which will be a low tax area (probably still China). The goods are then sold with the margin to the U.K. Shein wants to make a very low profit here as then it pays little to no tax! This is just common tax structuring