Member Info for MrBB

Empirical evidence of our progress by way of increased revenues ,improving margins & cashflows & ,ultimately ,profitability ,will convince the market of our potential ,when our SP will hopefully move higher based on facts & results as well as prospects for continued growth in our 3 divisions

They could have taken placing shares had placing been arranged rather than the potentially highly dilutive cln.Theycould have also taken part of the cln package -had they wanted to,Poor commitment & belief in the prospective success of the company -despite Greg's very positive tone .Let's hope numbers with q2 give cause for optimism

Most of us felt the PIRI deal too dilutive as we struggled to see the value in Piri for 20% dilution However maybe Al saw a jewel in the crown (eg Pluto) & the possibility of selling some minor holdings for cash ,to provide liquidity .Surely there had to be a sound rationale & ,if there was ,it’s a pity that neither Tern or Piri were able to communicate that to shareholders.Our SP has started to recover but whether it will regain the momentum from prior to the announcement of the ill fated deal (with dead costs of xxx)depends on either a substantialrevaluation of a portfolio company or a corporate event crystallising a much higher value

+ possibility of more Fleet contracts for retrofit & hopefully news of contracts with Fleet OEMs -apart from the possibility of long awaited material Aviation contracts .Clearly our problem valuation wise ,currently,is that we are still viewed ,rightly ,as a cash flow negative company & until breakeven /profitability is clearly on the horizon we will remain tarnished by the threat of needing another raise in a much less benign environment .Should we need more capital there is always the possibility of another major shareholder emerging .Once uncertainty lifted our SP will hopefully rise towards broker targets -hopefully

Surely ,if Mobileye were to buy anyone it would be ourselves ,with view to the surprisingly large market lead which we have,allbeit,according to Paul & Nick,neither of whom are known for ramping -although QC & others may wish to prevent that.Psychologically it is easy for us to envisage a fierce fight for us between the main protaganists , at a much higher SP than our current lowly 6p-but we still have to prove our progress by signing the contracts resulting from the RFQs which we are expected to win & then to see our revenues & cashflows increasing substantially over the next couple of years & , maybe, then we will receive a fuller value for our stock than we would now.

Markets currently are very cautious ,especially regarding companies which may need to raise additional funds .
The announcement of a significant RFQ win (or two would help together with material Aviation & Fleet news but as we are now very close to the FY22 trading update & it is crucial that we have achieved market expectations ,as reiterated just a few weeks ago ,despite all the very well publicised headwinds affecting The World .FY23 has just begun & PM won’t commit this early to FY23 forecasts but I am sure that the lifers amongst us are all hoping for revenues of A$80-100mill with larger increases pencilled in for FY24
Ever the optimist !

IF Greg is able to make any of the red flags disappear ( new source of funding from another potential suitor,escalating US revenues, escalating revenues in EU & UK,acceleration of Chinese milestone,sale of any territory,new licence for japan with decent upfront payment,collaboration with a major US distributor,Greg or other influential investors buying significant numbers of our shares) which in itself will be a tall order our SP would respond rapidly but I appreciate that many ( sensible folks) would rather buy at 15-20p into a more derisked company & forego the 3/4 bags that could happen on the unlikely (according to The Market)news that salvation awaits.
I am a very stale bull with a much higher average & am not optimistic of a recovery of my invvestment, let alone profit & catching a falling knife is an appropriate phrase

Agree entirely with your points DH1981 & your points are 100% valid -this is not an investment for widows &/or orphans & old gits like me should know better !

Presumably news due soon also regarding our Korean licence,as this deal was signed 5 months before Canada.Take your point DH1981 but the risk/reward scenario here is now such that it is absolutely very high risk,but that brings with it the potential for very high rewards,if they can survive long enough to see traction in respect of revenue growth in the US ( & elsewhere)

Good news that we are on track for Canadian launch next year although pity that their authorities insist on drugs approved by the very rigourous FDA have to be re approved in other countries.£250k milestone which will help keep the lights on for a while longer & around 12 months before revenues & cashflows will start.
Unlikely to have much impact on our miserable SP

Us progress particularly exciting as there is massive US potential-apart from potential from our entry into new markets.Buy backs will clearly continue,with approaching $1bill in the bank & our yield should increase substantially with view to increasing earnings.
My only regret is not having a substantially higher stake !

I would imagine buying £0-£60k worth of shares in market would push our SP higher but buying £300k-£600k would probably in itself result in a doubling & only possible via a private placing,should Val currently need more money -so the best case scenario for those amongst us who are long is that several interested parties start trying to build disclosable holdings in market

Who was the Board who brought Beaufort to Val ?

Any number of catalysts could push the SP of a £9mill up materially & rapidly,eg,Tx surprising many & raising their funds,301 news,news much earlier than expected in respect of 1 of our Uni collaborations,appointment of a heavyweight Non Exec ( last week I gave as eg Dame Louise Makin),an unexpected partnership to develop SDs lab concept ,an interesting new investor could appear on the register.
The World ,apart from the investing & finance World is a very uncertain place currently but we are now well funded,with interesting projects & potential & as much as our SP could stagnate in a poor market until news arrives ,our SP is likely to increase substantially on receipt of any positive news & 15-20p cannot be considered to be unattainable as we only issued an additional 20mill shares,not 200 mill.I will be looking to add more,when funds permit & hoping all remains quiet until then.

Confirmation of the Tx deal would be a reasonable spark -should it happen & now Val is fully funded some of the other projects SD has been working on may come to fruition + new shareholders of interest could appear on The Reguster .No news could see SP drift back a big meanwhile

Holdings RNS today suggests that some think there remains good value here-apart from our Chairman.

Apart from Pauls infamous "imminent " gaff he has generally been fairly conservative ( as was KK before him).His recent interviews have been more bullish than usual but ,in fairness to him, he cannot release news of contract wins until they have been signed.
He could however issue a reassuring brief trading update confirming , hopefully, that FY22 expectations have been met ( promising a detailed update for next month ( as has happened in previous years).Lets hope expectations have been met otherwise our SP is likely to continue its course in these very uncertain & volatile markets.

Greg super confident & happy to emphasise all the positives without mentioning or apologising for the elephant in the room ,ie 90% value erosion .
If he truly believes in The Project ,what he is achieving & hopes to achieve he should ,quite simply ,invest a decent amount of his own funds in The Project which may give some confidence that STX really will survive & thrive .My view currently is that he talks a great story but is not putting his money where his mouth is .
Second quarter figures should also be released ASAP as we presume based on Greg’s confidence that growth has continued

PG

Attracting someone of the calibre of Dame Louise Makin ( ex ceo of BTG Group) as a non exec would tick many boxes-brilliant track record,a lady,extremely well connected,would help enable Suzie to be more ruthless,could buy a stake if she buys into the plan & her addition would probable encourage a very sharp recovery in our SP