Member Info for Mikemine

I see the Market has woken up to the latest news in the RNS.

It's all guesswork about future revenues. The problem IES has ATM is the IBM syndrome. Years ago their adverts included "nobody ever got the sack by buying IBM." IBM were world leaders in large scale computer installations then and the parallels to lithium batteries are obvious. Lithium is the default go-to battery that dominates the market. Its a safe choice. If IES can break people away from this mindset, the sky's the limit. Stick a few Mistral installations around the World and suddenly VFB's become buyable. IES will continue to make inroads without Mistral but life becomes easier with Siemans onboard.

A 75p target price represents just under £150mn valuation for a company that has sales of £117mn, which will be on upward trajectory, and eps, I assume that means earning per share, of 9.1p. If I've done my sums right that give a P\E ratio of around 8 which, to my mind, for a growing tech company, in profit and in a huge and greatly growing market that is politically favoured is ridiculous.

The interview could be an eye opener for many but they missed a trick by not saying that, apart from Oxford, they have orders from all over the world. It sounded as though they were still in the proving stage and not the commercial stage. Good to get on to national TV though.

An old stock market saying is "buy on the rumour and sell on the news." Today, although the SP is up, the selling is obvious. If previous patterns are followed, buying should increase in the following days when PI's have time to cooly look at the news, digest what it means for IES and plan an investment strategy. Certainly a £22mn increase in the order book should attract some attention.

I quite agree Hawker. Companies like RENX at this stage of development are always running out of cash, even beyond breakeven. Amazon was running at a loss for years and needed eternal funding. What we should focus on is does RENX offer something unique and are medics and insurance companies willing to use it and pay for it so RENX can make a decent profit? If the answer to both questions is yes then we have to sit back and watch the very capable team bring it off.

With all the insurance deals achieved who needs FDA approval? Would be nice but not really problem.

Not necessarily Dive Centre. Losing a recommendation for a takeover should not sit well with any management and even this lot might not be able to withstand the pressure to leave that would surely follow.

I think that this RNS says more about the FDA than it does about RENX. Clearly the FDA is falling down on the job. RENX applied to the FDA ages ago and decision making should have been a fairly straight forward and speedy process. After all, there would be no risk to the patient from the tests. This RNS is just updating the public on the continuing malfunctioning of the FDA.

Thats the funding out of the way. Lets now hope there will be a string of announcements regarding orders.

Dawsongroup are offering VFBs exclusively to their customers. No mention of offering lithium.

https://www.talk-finance.co.uk/economics/dawsongroup-to-buy-battery-storage-products-exclusively-from-invinity-energy-systems-plc/

This is a tough market in which to fundraise and to raise over £20mn in an OVERSUBSCRIBED placing speaks volumes. The key partner in Taiwan must have a bigger insight in to the company and the market than any of us on these BBs and they decided to take a strategic stake in IES.

I don't believe the SP was talked down to enable a placing but I am glad that IES won't need to borrow again whilst funds last. On that subject, with the additional $4mn, IES should have enough to fund through to around September 2024. That's a long time in business and politics and IES is in both areas because of Net Zero. I can quite easily see HMG introducing incentives etc. to make battery storage more accessible and needed in the UK. The Grid is already struggling and there is a long wait to get new projects connected to the Grid, over 7 years is common, so it makes sense to make the most of the generation capacity you already have.

It looks more and more as though Mistral will be the golden product for IES and perhaps VFBs in the West so I'm waiting eagerly for updates on that.

No investor likes to be diluted but that's life I'm afraid. I'm sure Schroders didn't hold a party but they came in big nevertheless. IMHO this placing speaks of confidence but now IES have only got this year or so to deliver.

I thought it added up to £25.5mn Genghis including the extra £4mn.

They seem comfortable about the cash and cashflow situation going forward to 2024. This concern by P/Is could be holding the SP down.

Well, the Americans liked the news. Trading well over there.

In this environment where cash is hard to attract, I think McC has done well to secure this amount. It's only my opinion but, when this really gets going, this will be but a vague memory.

Although I don't think FDA approval would have improved sales etc that much to date, it is obviously important to lots of investors. SP wise it has been a very decent week but when the approval comes I can quite easily see this getting £2.00 very quickly

Almost 2 years ago Larry and co must have seen that the price needed to come down and the world needed vast amounts of long duration storage. On came the Mistral project with Gamesea which Larry says will bring the cost down but getting on for 50% and the scale of the hardware will be of a large order. Thats called vision and IES's vision will see the company as the go-to company for long duration storage. I don't see any other VFB company out there that will be able to match IES for experience, expertise and product and in the meantime lithium is rapidly losing it's edge in the market.

From an investor's perspective we have to believe that Larry is being truthful of course. The risk is still there but it's getting much less IMHO and the rewards from here on in could be substantial. As always, this is only my opinion so DYOR.

Thanks for that Washerupper.

Why divide by 2?