Member Info for MrMagorium

Someone who is plowing their cash into this, is referring to anyone who isn't as "Thick".

I've seen that before, but watch what happens.

The Govt will only bring back advertising of Covid to national audiences if there are pressures on the NHS to the point it could seriously start to collapse. Even factual information is sometimes censored believe it or not!

New variants are noted as being pretty mild and of comparison to a common flu, to those without an underlying health condition. The guidance is that people don't have to isolate, they can go about their daily life as normal.

A Lateral Flow test isn't going to stop Long Covid, that's a completely seperate issue.

My point, is that they need to use the short-term covid cash, to grow awareness of their other wellness tests, as these could offer a medium/long term solution for society.

Not sure the regulators, aka government, would allow it and besides, following their goal of implementing herd immunity, Coivd is just a routine illness now that people get, overcome and recover.

This business can't rely on that revenue stream forever and must work towards shifting the momentum to the wellness tests, where I would much rather they focus their marketing spend.

Maverick, I'm not seeing an 8p offer here.

I'll eat humble pie if I'm wrong, but the red flags are all over this.

If there is an upbeat RNS regarding interested parties, which Neil has referred to, then of course it may spike and lure in a few folk thinking they are going to win big, but the outcome is always the same unfortunately.

If I buy at 2p and can successfully get out at 2.5p that makes me 25% on my money. The flip side of the coin is I lose the lot.

Mathematically doesn't look worth the risk, unless you are predicting to be getting out around 4-5p. Then I totally get why you would consider the risk, but may as well go red or black at casino.

This share definitely feels like a Goose, Maverick.

Maverick,

The marketing campaign was a hail mary to get sales moving towards 200 mil, but given their profit warning, that clearly didn't materialise as they are now deep into a RCF and forecasting to breach their covenants.

Directors buys mean absolutely nothing in this scenario.

Check out their remuneration and compare the value of what they bought vs what they have milked out of this business, and what they will continue to milk when it changes hands. They do it as a way of trying to cover themselves when the company goes under.

They will just put their hands up and say "we did everything we could, we even bought the shares as we believed the company would continue"

Bear in mind their employees will also likely have shares, and will also potentially lose the lot, so it's a "we're in it together" scenario.

Difference is a window fitter earns about 30k working their nuts off, whereas a director earns around 300k.

Just as another warning this company seems to have an involvement with FTI Consulting (Debenhams) and Liberum (ITS).

Both companies coincidentally shafted their shareholders, and I do hope Safestyle don't go down the same route, though it seems inevitable.

If you were to take the Goodwill out of their Balance sheet from latest results, they are effectively a negative equity business.

Ie. The Physical assets they have won't provide enough to cover their outstanding liabilities. So, what's the brand worth?

They are in an almighty pickle.

I'll be honest in my view and there's a few folk here who saw what happened with ITS and Purplebricks.

Once a company gets an 'advisory' firm in to sell the business, the battle is already lost for shareholders. It hints at desperation and the vultures love a company that is on it's knees in this position.

I couldn't press the sell button quick enough this morning after the RNS yesterday evening.

4 mil market cap, which believes in the next fews years it will be able to deliver 20 mil PBT on earnings of 200 mil revenue (see last results presentation for reference)

IMHO there's no chance current shareholders will get to see benefit from such a performance, even if those forecasts turn out to be accurate. The reason is because the business looks like it is about to be sold.

Question is, who wants control of it and what price are they going to pay, knowing they are going to need to also inject extra capital. Multiple interest may suggest a bidding war on the cards, but only time will tell.

If the Safestyle Managements predictions are correct, the potential suitor could buy this, restructure the balance sheet and refloat this at a circa 200 mil+ valuation within the next decade. This is where the real money is going to be made...

AIMHO GLA DYOR

This is tanking bad, but fundamentally doesn't seem distressed. Just need an RNS to understand what RTO is lined up, if there is one!

Yeah, I'm not too sure about the California reference.

I like that he makes it pretty clear there would be no shortage of partners within Europe entertaining a JV with Line, which could be a real benefit for them getting into Europe or the UK. That could be a game changer.

It sounds to me like the priority is Tasmania for now, which they are looking at raising 10 million for.

What's interested me, is that a former director of NZI, James Wharton, is tory politician. Not sure if he was involved with the visit to number 10, but I don't think it's a place you can just waltz into without having some connections...

share *******'s calls always seem to be wrong. when i see them on the bb i do the opposite of whatever they call. hopefully not a red open tomorrow.

Https://www.proactiveinvestors.com/companies/news/1029068/line-hydrogen-founder-visits-downing-street-to-discuss-zero-carbon-green-hydrogen-1029068.html

How can they place at 30p, when par is £1?

Investors here now, can hopefully salvage what they are able to from a White Knight, and hope for some form of takeover offer, which as of yet, nobody appears committed to making an offer.

There has been a couple of players like JP Morgan and HSBC walk away, which gives you an indication of the general consensus. They all seem to want parts of this company, not the whole hog.

Good luck all in the Morning, I hope shareholders for once can benefit in these scenarios, or at least recover some of their losses as part of whatever plan is put forward.

Agree with your logic Lazy, there needs to be some clarification regarding the 40 million valuation.

How is the company getting to that number? I've not seen any of their accounts, and given they are Aus incorporated, there isn't to my knowlddge a 'company house' equivalent, which would give this detail.

This could be the downfall, of the overall deal...

As i interpret it, interested Banks want their loan book and deposits, they do not want the expensive leases that come with operating a branch network unfortunately.

I can't see the jumps manifesting that some are predicting? Not when I read analyst's predicting a -500 mil equity value that will required plugging.

Its a forced marriage and the shareholders are left like Turkeys waiting for Christmas.

People can just log in to their bank app and process a faster payment nowadays lol. We've come a long way since 2008, with regards to "bank runs".