Member Info for Nanonano

So the last fund raise for Nanoco was 37p per share. Adjusted for inflation equivalent to 41.9p today.

How do you rate the chances of people getting their money back let alone make a profit?

We should hear from the company this month as per their last trading update rns, so not long to wait now.

Unlike you I don't get personal.

Apple Vision Pro was a good fit and best guess based on timelines, use of technology and repeated delays aligned with delays in the Vision Pro. Little to no information from the company, but in reality the speculation wasn't too far from the truth as it appears it was Apple, just for under iphone rather than Vision Pro (or perhaps the spec was changed on Vision Pro).

It's important to speculate on who the customers are, as it affects risk on investment.

Pessimistic on prospects of getting a contract through to supply?

When have they ever achieved this, STMicro?

The supply of materials to STMicro was tiny, barely worth mentioning. The only significant revenue has come through suing an infringer, and it didn't meet expectations, and the materials were made elsewhere.

Now they're suing a second infringer, once again material made by another third party, and no doubt there will be others in time, but its no way to run a business, as they're essentially behaving like patent trolls, even if they're forced into such action by large corporations.

However didn't the current CEO say that a sale of the company is in the best interests of shareholder?

"3. The 'Past Failures' Argument: The STM situation was a different project with a different partner and a different market. "

Different company, sure, different application- how do you know this?

From the information we have, which is minimal both for past and present partners, the application looks the same (enhanced sensors for NIR and SWIR) and the market is and end customer is very likely the same- Apple, pundits are predicting under panel face ID 2027 for iphone pro models and 2028 for whole range, although with this RNS perhaps the pro models will defer until 2018?

Recall what BT said before cancellation that the STMicro supplied hundreds or was it thousands of other customers when questioned on what might happen if the customers customer dropped the ball. As it turned out they had just one potential customer who did drop the ball, and although no names were mentioned, I think one can deduce from the third party media that having deferred under panel face ID for another two or three years, Apple was that customer.

Well we know the JDA is going ahead, however the timetable has shifted another year

"They have cash beyond 2028"

Do they? Cash was £14m at the end of July with £0.5m cash burn per month, so by the end of this month we should be at around £12m cash by my reckoning that gives them until late 2027.

Extra revenue is due from the JDA, but no mention of the amount in the RNS, and I believe they would need to find income in excess of £3m to sign off accounts for FY27/28.

In addition I suspect that the Asian customer is primarily concerned with one customer- Apple, and we know how capricious they can be, as they've already changed their minds twice.

It's still not a deal, and until they do announce one or something extremely positive on the commercial front (not holding my breath), then the company value is going to swirl around in the gutter, and justifiably so.

We don't know there if there is any buyer at all, serious or otherwise.

"We continue to assess strategic options for the Group's operating business with a number of interested parties."

Corporations are awash with cash, and deals and takeover are done all the time, in this space Onsemi's takeover of SWIR Vision for example.

A company like Nanoco is peanuts to them, if they want it.

No one wanted it last time, its very possible no one wants it this time either.

At present cash burn, I find it hard to envisage them signing off the books beyond FY26/27 without restructuring or significant additional business.

"The Group will be negotiating end of project terms with the European customer. Amongst other matters, Nanoco will be seeking the removal of any obstacle to its direct pursuit of already identified small scale market opportunities. These opportunities include sectors such as industrial, defence, agriculture, security and surveillance, healthcare, and automotive."

I'm sure the realisation of the above and the subsequent results have nothing to do with the present company valuation.

That's largely commercial, companies will diversify their supply chains if it looks like a long term issue.

China offers competitive rates hence why production is concentrated there, but there is a limit to what companies will put up with before they shift operations elsewhere.

Rumours are it is likely to incorporate QD's. From LG, or Samsung?

https://m.crumbd.com/read/apple-pro-display-xdr-2-built-in-camera-quantum-dot-tech/4027e5964494f249

Getting the impression this new c-suite is treading water like their predecessors.

Yet business does not appear to be flooding in.

All the display OEM’s they were working with, the smaller supply contracts they were going to service in sensing seem to be either non existent or tiny.

It seems to be worth £70k to the company-a £100k cost 70% funded by the grant. Nothing much.

"Buyer and seller equation won't accept the LG litigation, it's a valuation, liability that negates display entirely until resolved."

If that's the case, it would seem a strange choice to instigate legal action at a time when they're looking for a buyer?

To apply objective analysis requires information, and Nanoco have generally behaved very secretively, and that sadly remains the case.

At present what we do know is that the company has no business revenue of any substance, cash is running down, two JDA’s which may or may not pan out, and some interest in purchasing the company although we don’t know who they are their level of interest, and what they may be prepared to offer.

Any sale if it occurs could satisfy or disappoint. Personally any sale below the last cash raise will be a betrayal of shareholders trust IMO, which would require an offer in excess of £72m.

Fair enough, although I would prefer it confirmed from the company RNS, bearing in mind the accuracy of previous journalism.

Haven’t seen anything to support that he is remaining in that way.

If anyone has earned the right to do well out of Nanoco, it’s Nigel. I think there others, perhaps less deserving who have done a great deal better.