RE: UK & India Jobs16 May 2023 09:10
Morning ITT.
That's a fair reflection. I have been involved in many large tenders and a big part of due diligence is whether the company is financially stable, the ability to deliver and the ongoing support for the length of the contract. CC seem to have the ability to deliver, it's the other points they need to prove. If I were a prospective customer placing contracts of this size I would have concern with a company that presents itself as continually needing to raise equity from shareholders to support the business. My procurement team would feel the same. Until CC get to break even I still treat this as one of my medium to high risk investments. Should CC manage to fund their growth with some level of debt it may give a bit more confidence, it seems they cannot and that alone, for me makes them vulnerable.