Chris Heminway, Exec-Chair at Time To ACT, explains why now is the right time for the Group to IPO. Watch the video here.
MasterB... yes Martyn's law will be a new, a repeat, business opportunity,... you only have to look at the recent terrorist attack in Moscow... to realise the importance of this law,.. which comes in to place in 2024.
Best, M
Txs Linton.-
So if it is going to be ratified on this visit,.. it will most happen during this two day trade envoy visit,..ie today for tomorrow... and then we will await the WSG RNS...... could happen this week?.. or Monday RNS?
Either way,..not long. Happy for the sp to bob around 3-4p,.... until it drops. Then who knows,... I guess it will depend on the actual deal secured,... timing of commencement and deals of funding. - presume the market perception of the DRC contract and value will involve some form of risk factor, given the region,...-- but would still open to see head north of 6p in short order. Has been an exciting week,... thus far,... and more to come! Been a while since I was up and checking for an RNS at 7am--!
Ian,... good spot,... those figures for departures/pax are just N'Djili International Airport.- 2014 were the pre-covid figures and can't see any official numbers for years since then. Our Sierra Leone project, numbers have recovered and are now above at record levels. Hopefully the same here in DRC,... but political instability in country may impact on that,.. so not necessarily a fair comparison. If is is above 1M pax that is good news,... and as you say,.. the terminals have room for substantial increase in volume. Best, M.
2014 - pre covid numbers:
DEPARTURE FIGURE--- on which are revenue is based.
International- 244,000 x $55/passenger = $13.42M
Domestic - 144,00 x $10/pasenger= $1.44M
Total Revenue= $14,860M
That is country statistics and DRC has circa 30 airports,... some commercial, some military some freight. But if you look at the individual airports and stats.. you will see that the series passenger traffic comes from a limited number or airports... look at the airport carriers using each airport to validate this.
If you assume that WSG will screen circa 65% of the departure traffic via the 5 airports that they will 'manage'... that equates to revenue of circa $9,659. NOW... that won't all go to WSG,... the government will want a share, we assume,.. as will the company on the ground which will be providing the day to day operation, managed by WSG.
If we assume circa 60%,.. would go to WSG .. that is $5.988M,.. which at $1.2/£1=£4.9M
We tend to have a decent profit margin of between 50-60% on our managed contracts ( refer to previous years accounts)... and if we apply 54%.. the most recent figure... that would suggest WSG will show a EBITDA profit of £2.7M/annum.
ie 330m shares= 0.008 eps and 8p a share on a p/e of 10.
So my reckoning is that the DRC contract,.. adds circa 8p to the sp,...--
As I said before...... just putting those thoughts out there for anybody to come back gone.
Good luck the LTH's and the newbies.
Best
Yes ... I have... and I posted the numbers a few days back together with the departure tax?.. together with the relevant links.
How much research have you done? Would care to comment t on my calc regarding potential value of the contract to the SP,.. would be good to hear your thoughts.
Well,.... no longer an IF, surely just a WHEN,.. hopefully in the timescale that they have put out there. Just 16 trading days before the end of April.
For anybody sticking there head in here and wondering why the rise:
"I am pleased to report we have made significant strides forward with several of the large-scale, long-term managed services airports and ports opportunities, each of which would, when secured, provide multi-million-pound step changes in annual revenues. Foremost amongst these is our project in the Democratic Republic of the Congo (DRC) for which I am delighted to announce that the long-awaited ratification process is currently being completed, being the final part of the formal procurement procedure for the now 10+ year contract signed in June 2021 for security services to 5 airports in the Democratic Republic of the Congo ('DRC'), Central Africa. Arrangements are now being made for a senior Westminster team to travel to the DRC with a UK Government Trade delegation in April to hopefully finalise matters and to prepare for commencement of the project. We expect to make a further announcement after that visit."
https://www.lse.co.uk/rns/WSG/interim-results-xlz7z1q0rg4v4au.html
Sorry,.. here is the link.
https://twitter.com/wg_plc
Dr M,
Quite a bizarre post from WSG---- just re-iterates what they already put out there in the interims,... unless it is just reinforcing the 'heads up'... to the faithfull.--? Let's hope it is PF trying to show us the way.
Max,
Well it is all being driven by the 'off to DRC' in April for the hopeful final ratification. Sincerely hope that we don't get let down again and it gets pushed back as that will be very disappointing,.... we are surely due a bit of reward after all of our years of patience and understanding! Fingers crossed, 1st week in April almost done.
........ nor me,,,,, as it would remind me too much of the good old bad old days ..... please post.... " I wouldn't want to be out of this one at the week-end'.
I haven't read that for a while and I'm feeling nostalgic.
Reece,.... FYI ...HMG website suggest that the UK-Africa Investment Summit to be held in London have been delayed and date will be pushed back due to other international commitments etc.,
That is not the visit that WSG are arranging for their visit to DRC.
PUBLISHED 8TH FEB---- no date mentioned for visit!
The Prime Minister has today made two new appointments to his Trade Envoy programme.
The appointments are:
Tom Hunt MP to Bangladesh
Stephen Metcalfe MP to Dominican Republic, Panama and Costa Rica
Trade Envoys support the UK economy by supporting British businesses to take advantage of the opportunities arising from the UK’s global trade agenda. They champion Global Britain and promote the UK as a destination of choice for inward investment across all regions of the UK, helping to level up the country.
The new appointments will extend the total number of Trade Envoys to 37 parliamentarians, covering 67 markets.
The Trade Envoys will work with the Department for Business and Trade’s global network to strengthen the UK’s trade and investment relationships within their appointed markets and break down barriers to doing business for UK firms.
https://www.gov.uk/government/news/prime-ministers-trade-envoy-programme-appointments--5
I've found the breakdown of passenger travel International and domestic for 2014 and I have applied the airport taxes that we also have confirmed to that year. It's quite interesting and far more lucrative than I had initially imagined as I was struggling to work out how WSG had stated that the contract was worth $6M/annum from the outset.
So,.... DEPARTURE... volumes, on which WSG revenues are based...
2014 figures. for whole of DRC, were as follows:
International= 244,000. x $55 = $13.4M
Domestic= 144,000 x $10= $1.4M
TOTAL = $14.8M
The top 4 airports carry the vast majority of passengers and I would estimate that a MINIMUM of 65% would be using what we believe will be WSG serviced airports, 65% of the $14.8M departure tax would be collected by the managed services provided by WSG = $8.9M.
Clearly we do not know what proportion of the departure taxes will be due to WSG and the DRC were using some of these taxes for investing in new infrastructure. IF we ASSUME that they would collect circa 50% of the over all revenue, that would equate to $4.8M..... or £4M ( at $1.2/£1)..... or 12p/share ( with 330m shares and at P/E of 10)
Arguably, if the contract is 20years, a very long term,... you could argue a higher p/e?
https://dlca.logcluster.org/print-preview/4402
I'm tempted to hire a private plane, nip up to Oxford,.. and fly them over myself!!