Member Info for moneyspider

I would imagine that the COOP will honour the rates until the contract expires.

Now moving on to Yu Group - well overvalued...

Just recovered some losses with a short on Telecomplus. Another energy supplier that will have some difficulty.

The Government is consulting on the price cap for this winter. This is likely to be fixed well below the level that TEP sells energy to its customers. This will expose the high gross margins that they are making compared to the other players in the market and they will have to reduce tariffs. Got to be a good sell opportunity.

I suppose all of the AIM market is a game with winners and losers.

Don't play this game - the company is being sold - can't see why anyone would risk money when this has been made clear.

Think that you are wrong here - from RNS: The Company Convertible Loan Notes are convertible into either Preference Shares or Ordinary Shares. On conversion into either Preference Shares or Ordinary Shares, such Preference Shares or Ordinary Shares would carry votes exercisable at a general meeting of the Company totalling, in aggregate, over 50 per cent. of the Company's then issued share capital. The holders of Preference Shares are able to vote at all general meetings of the Company as if the Preference Shares had been fully converted into Ordinary Shares, while also ranking in seniority and preference to the holders of Ordinary Shares on a winding up or liquidation of the business.

If you vote against the sale they will just convert their loan into Preference shares which rank higher than ordinary shares and take the money.

I don't understand why the regulator lets companies with insufficient financial muscle sell energy to customers. If you look at the new players on the market they are all selling at a huge loss and will go bust. Just doesn't make any sense.

I don't understand why people are still buying the stock? This is just like Intelligent Energy where it collapsed.

Haven't a clue

Looks like Good Energy are wanting to ramp up supply to business customers. Every man and his dog will soon be in this market. Margins will erode here, saw this happen in the domestic market. One way now for the share price.

Raised money to increase energy supply customers (failed) , put in a new expensive billing solution (failed) and now telling us that they want to get out of energy supply! Clutching at straws here for a strategy. No future here

Probably the best stock to short this year - they are more than 5 times overvalued on their numbers.

Can't believe that they had just published that they were making profits and generating cash, then a call for �12m equity. How can they be allowed to do this? Pumping up the price only to raise money at a massive discount. CEO took money out on the last raise - he should be providing debt to the business if they need money. Awarding themselves �250k salaries and bonuses on top. If I had invested on the back on the published results would be really ****ed off now.

Madchick - As you mentioned very good results but I think the hype has driven this now to a shareprice which maybe under pressure over the next year. The PE is massive and the profits whilst growing are tiny. I am also concerned that they have a low value on the bad debts at �110k for their turnover. This if corrected to normal for energy industry would wipe out the profits. Time for me to take my profits and run for the hills.

The value of this business is growing everyday. Initially I though that they would have an issue challenging other business energy suppliers but it seems like they are forecasting significant growth. May it continue.

Looks like you were right with the release this morning.

Can't see the value of this business at �114m. Margins in energy supply are not good and lots of new competitors in the business space. Is this really worth half of the price paid for First utility? Be interested to know views here?

Now that British Gas have indicated that they are scrapping Standard Variable Tariffs and SSE/npower are to merge. TEP can't claim to be cheaper than the big six anymore, their margins will come under extreme pressure and likely to fall a long way. Plus there are over 80 players in the market. Customers of TEP will soon realise that they are being ripped off. This has got to be a stock that could be a good sell opportunity!