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If both contracts were gone a casual RNS would not be enough. Tenner is highly experienced guy notwithstanding current events. Loss of manufacturing facility, jobs losses, 90% plus of company prospects gone! Regulators would expect a shut down for some days. Ongoing income? - CFO Tenner previously stated that 'even if we just got the minimum order quantity in the electronic (US manufacturing) business' that would amount to breakeven.
The extension was a research project on a nano material which might or might not have been a benefit to US plans. It was done in Manchester research dept. The choice not to go further with it was Totally Unconnected with the Runcorn manufacturing facility and that established project. Was the RNS clear enough or did it foolishly arrive minutes before stocks opened for buy/sell.
The 2019 project, being discontinued - not related to the ongoing main project - means that the new, improved nano materials from that project are now available to other customers e.g. display etc as BT implied. This is arguably an extra opportunity (though, perhaps, best that US Inc. chose it).
This minor glitch is still relatively positive - particularly with a new and higher level product now available. US Inc liked it but in the end not for them. They will just carry on as before in Runcorn facility.
The question maybe was ‘for reasons wholly unconnected to the performance of our materials and our service delivery’
Certainly Brian Tenner was specific on the January 2019 extension contract ‘project!’ not continuing (still paid for anyway ...).
For me this RNS did not involve knocking down a newly built factory - but somehow it seemed it did.
Was he clear enough - or did everyone just panic (no disrespect intended)? I recall my own immediate reaction to sell - not being enough time to reread and reflect.
The words - now I have again effected - ‘wholly unconnected’ probably gives Brian Tenner some space but the words ‘our materials and our service delivery’ was not quite so immediately obvious, perhaps.
- “In January 2019, the Group announced a major contract extension to its initial agreement with the US Customer, covering a range of stress testing and commissioning services of the Runcorn facility in the twelve month period to December 2019.
The US Customer has now informed Nanoco that the project will not continue beyond the current contract, for reasons wholly unconnected to the performance of our materials and our service delivery.”
Nanoco clearly referred to a contract which, bar some short term cash (still available), had no great significance as yet. Then, to ease things a bit, gave positive reassurances on future products such as Display while not reasserting the original - strongly related/relevant - US contract’s similar potential.
BoD need to respond to this but their error (quick-shot, not properly thought out, RNS message) has significantly affected shareholders in the meantime - so they can’t own up I presume. Real mess.
As I understand it the 2019 Research contract is not to continue beyond its current contract and its current payments - so just something, that was not necessarily anticipated, is not for now. The 2018 factory style contract, on the other hand, does continue?? and presumably will generate products end of the year after being fully tested as at present - due to having built a commercial manufacturing facility??? Added to which some display contracts/deals will Finally arrive in relatively:) near future. Whats the problem exactly!?
So, will wait patiently to hear of the next trial:) Current trial is presumably done and B24 now on its way - they have agreed another product in October, after all. Now in 200+ stores - but full story will be in the 1800+ stores Target has. Think I’ll just continue to hang on for now.
Thought I heard the COO, as we call it in Scotland, say that even the minimum US electroniccs production agreement would be more or less breakeven. So if we think they have done all ths work for a bit more than ‘minimum’ then prospects are good. Lidar is massive in the auto business, and elsewhere, but needs to be reduced in costs by mass production. [And its capabilities improved - certainly in short and medium term]
https://intl.target.com/p/byotrol-hawaiian-sunrise-citrus-with-24-hour-surface-sanitizing-action-disinfectant-cleaner-25-fl-oz/-/A-76150264
Seems positive if no doubt somewhat marketed, as it were. The scent seems genuinely interesting to reviewers. The outcome of all this may well, yet again, not be our 24 hour inspiration on bacteria but rather on 24 hour scent with the chemical platform somehow offering a natural (less chemical) impression of the scent. I suppose folks really see all of these products as much rhe same so its the design and aroma (and cost, of course) that makes the difference. Whatever works ....
Any experts know/advise if the large sale of shares by major investors has been duly offset by new investors? Amati and Newlands, some directors etc. Supply and demand after all. Thanks, if so.
Trade update routine came from back in old days. Not sure current team see much point in it. But at least we hear that a B24 second store company trial is more than likely.
A ‘mass’ product is the only outcome that works for Aim investors here - glad to see breakeven prospect for a small uk merged company but that does not offset the standard ‘dividend’ plc options. 4 in 1 may have a bit of solvay in its structure and may inspire an FMCG in Europe/Far East oneday. Environmentally friendly seaweed product can be very popular - but, in truth, Byotrol24 is It for any exponential increase in revenue/shareholding. METHOD (2nd largest US private company) is the example. When will probability set in??
According to Tesla’s latest event (on auto-pilot) Lidar is a low quality option for autopilot e.g. such as Waymo or Invidia. Mass fleet using cameras is what really works (worth a look if anyone thinks lidar auto-pilot dots is what Nanoco is now about). The twist then is that these Lidar companies now need to improve this method big time (too late to dump). Much as ME described in presentation regarding possible improvements of Lidar defects that Nanoco might be able to resolve.
Don’t see any Merck display this year or anytime soon??
https://www.merckgroup.com/en/expertise/displays.html
And no investment themselves in manufacture - all with Runcorn, nothing fixed. Dow and Samsung etc - whatever. What happened to Dell - waned, apparently.
Electronics (Min) breakeven next year. That’s it. Max future electronics determined/limited by factory.
Lidar, as mentioned by ME, really is a very big deal potentially for Nanoco. Nanoco only has, and is totally dependent on, the US company and the huge self drive market. Display may earn a few quid one day but would in itself barely be worth current share value anyway. It is companies like Blackberry and Waymo that do the job for the auto industry. Every carmaker is not going to do its individual process - Tesla maybe. Lidar to be improved even more for eg Waymo?? https://www.forbes.com/sites/stephenmcbride1/2019/04/09/this-is-your-rare-chance-to-buy-the-1-self-driving-car-stock-for-practically-nothing/#496cad09895f
24 hr concept always been hard to make clear for customers on their daily chores, but this is significant:
‘The new variants include proprietary, newly-developed long-lasting fragrances to give a strong sensory cue to consumers that the product continues to work for 24 hours.’
Cue word is interesting - bit of theatre or billiards(maybe pool US). Byotrol definitely working on their phasing!
The CEO has been trying to get Byotrol into the US market for years - and getting EPA approval was the essence of that, I guess. The new director has lots of directorships and opportunities other than this small, albeit worthy, company. So, I assume this non-exec thinks he can get this ‘brand’ done - on the basis of some current, reliable progress and reasonable expectations. His role is clearly stated. Thus, potentially, a big deal.
Well, that’s my tuppence worth.
Evening Lukehere
So - looks like they are indeed focussed on the big time deals we hope for with this new director.
A few once from Unilever in Byotrol now.
Btw byotrol24 website got a new look. Just for interest.
Evening Lukehere
So - looks like they are indeed focussed on the big time deals we hope for with this new director.
A few once from Unilever in Byotrol now.
Btw byotrol24 website got a new look. Just for interest.
Hi Lukehere
No, didn't make AGM this time. Not practical on the day.
My expectations/speculations are for plenty new deals with large companies in existing large markets - based on unique products. It's a maybe.
Medimark gives space for executives to focus on this.