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Because of the 29.9% clause in the loan agreement I've often wondered whether the private investors are very limited in number, or perhaps we are just being prudent against a potential coordinated hostile takeover. This is JG's baby after all, and I'm sure he'd hate to have it stolen from him at the last hurdle due to lack of vigilance...

The point being 10's of apparently separate, but in fact coordinated private investors could have financed the £530k. The company wouldn't be aware of their plans until the loan note is converted and they are required to declare above 3% holding, even though any individual may have less than this.

Anyway, I doubt anything of the sort is at play, but best to guard against such scenarios as standard practice - I think it's more likely to be a few friendlies.

"Issue of Convertible Loan Notes" (May 04, 2018)
https://www.inspirit-energy.com/article/4049183-issue-of-convertible-loan-notes
===[
Any Ordinary Shares issued on conversion of the CLNs will rank pari passu with Existing Ordinary Shares. Conversion of the CLNs is subject to a restriction that no conversion shall take place in circumstances where as a result of the conversion the Noteholder or any party deemed to be acting in concert with such Noteholder, as defined in the Takeover Code, would own more than 29.9% of the issued share capital of the Company or otherwise trigger a requirement for the Noteholder to make a general offer for the Company pursuant to Rule 9 of the Takeover Code. The CLNs will not be admitted to trading on AIM or any other exchange.
]===

@dougal, existing debt of £315k (£100k JG, £20k NJ, £95 GIS, £100k YA) was converted into the Series A Convertible Loan Notes, and £530k was raised from private investors through the issue of the Series B Convertible Loan Notes.

Indeed @graham, and this from April confirms we have at least one close to or at designed for manufacturing stage:

"Product Update" ( 26 April 2019)
https://www.inspirit-energy.com/article/4049254-product-update
===[
The above improvements and efficiencies have provided the Charger with peak electrical output in excess of 6.4kWof electricity during a running cycle of 2,000 hours against the unit’s previous output of 3.0kW, whist maintaining 15kW thermal output and a 20% reduction in the size of the appliance to below 800mm.
]===

That's looking increasingly likely @dougal. Of course one of the reasons for forming a privately held subsidiary is precisely for the opaqueness it affords. I'm now of the opinion that from a companies house perspective publication of the plc's consolidated group accounts are sufficient disclosure for a 100% owned ltd. Although this doesn't explain why the ltd published its own accounts in previous years. Perhaps this year it is particularly important the ltd doesn't disclose certain recent activities?

If we are coming to a head, it almost certainly means we'll either see a handful of current investors kicking themselves for not selling out whilst they had the chance (us!) or many handfuls of potential investors kicking themselves for not buying in at these seemingly giveaway prices.

I'm of the opinion that for whatever reason (and I've previously speculated on a few) a weak share price currently suits our BoD - we'd have significantly more news flow and publicity otherwise - assuming we aren't being lied to. IF we have good believable game changing news, this state of affairs will change, and we won't see these bargain basement prices for dust. IMHO.

If I hadn't reached my target I'd still be buying - and if I didn't have any shares I'd have a Strong Buy punt - but as ever, everyone should do their own research and reach their own conclusions...

Ob.

Great reminder @jimb2. I suspect some of the market might be concerned by these comments from Joe Lowry regarding Ganfeng:

"Lithium 2019: Dazed & Confused" (May 21, 2019)
https://www.linkedin.com/pulse/lithium-2019-dazed-confused-joe-lowry
===[
I returned home to the announcement that my China favorite Ganfeng continues to make investments holding disproportionately high benefits on the offtake side. The Bacanora deal is just the latest in a series. Ganfeng currently has a full development dance card with their own expansions in China, Cauchari (along with partner LAC) in Argentina and supporting Thacker Pass. I view the Bacanora deal as substantiating confidence in their ability to unlock “soft rock”. Certainly great news for Bacanora shareholders but unlikely to result in meaningful supply from northern Mexico in the next five years. Remember, Ganfeng plays the long game.
]===

IMHO once (if!) the deal goes through and it becomes clearer and clearer that Ganfeng are fast-tracking this project (potentially at the expense of their other early projects), this share will (should!) fly.

"Proposed Strategic Investment by Ganfeng Lithium" (20 May 2019)"
https://polaris.brighterir.com/public/bacanora_lithium/news/rns/story/xl5dj3w
===[
Strategy would be in place to ensure project timetable of first production in 2021
]===

IMHO it won't be long before production targets greater than the planned 35ktpa are announced... Assuming the deal goes through at the end of the month - in fact perhaps as part of that announcement?

Ob.

I agree @dougal - I'll be quite surprised if we are still in business and haven't multi-bagged by this time next year. But then again, didn't I say that last year...? ;-)

The end of the beginning perhaps! ;-)

Indeed we must be running on fumes which makes me think by the end of this month, perhaps early next is when it'll come to a head. Is good news imminent? I do hope so after all of these years... We sure could do with a JV partner with deeper pockets than us coming on board ;-)

Another angle worth considering is that perhaps we have dropped our expenses and overheads to the absolute minimum whilst we wait on a certain funding direction to become available to enable us to progress the Charger to commercialisation? It's sure taking its time if so!

Ob.

As I said on Thursday, I wonder if we've either used a technicality of the AIM rules to discontinue strike off, or we've demonstrated that by publishing the accounts we would reveal an NDA. I suspect the former, but if the latter I doubt we'd be able to delay for too long. i.e. it would be on a promise that the accounts, and implicitly certain aspects, if not all of the NDA will be published imminently...

@dougal, why do you say that the Gunn's hold all of the shares in the Ltd? The Plc (the company me and you hold shares in) holds all of the Ltd shares.

I wonder if we'll see large trade volume in the run up to the end of the month?

Ob.

It's curious that our previous leader commented on twitter "Britain to launch new scheme to pay households for unused renewable power - Reuters. Great news for Inspirit Energy PLC.", but nothing from our current leader. https://emojipedia.org/sleuth-or-spy/

Well considered article with a good final summary which I've quoted below

"The Smart Export Guarantee - smart export or exporting is smart?" (11 JUNE 2019)
https://www.biaenergyconsulting.com/new-blog/2019/6/10/the-smart-export-guarantee-smart-export-or-exporting-is-smart
===[
So what do you tell your future micro-CHP customers about the smart export guarantee? Well, right now it’s not good news. Firstly, there is no replacement for the feed-in-tariff generation subsidy we’ve lost and this is a massive blow for our nascent industry in the UK. Worse still, while there is going to be an export tariff of some sort, it’s not yet certain if ‘blue’ power generation qualifies and there is a chance that the payment will be too low anyway to recover the cost of gas used-up in making the electricity for export. Things may improve in future if energy suppliers value flexible generation more or if electricity prices go up in general (relative to gas), but the best message is probably not to mention it much at all. The greatest value micro-CHP can provide is by fulfilling the internal building demand for energy as this will always be most expensive. There could be some extra value to be gained in export for flexibility services in future, and a ‘grid-aware’ micro-CHP unit that could export more on demand would be beneficial, but for now the focus should stay on self-use and the energy savings.
]===

"INSPIRIT ENERGY LIMITED"
https://beta.companieshouse.gov.uk/company/07160673/filing-history
===[
08 Jun 2019 Compulsory strike-off action has been discontinued
04 Jun 2019 First Gazette notice for compulsory strike-off
]===

It's 5 days later and no public reason has been given as to why strike-off action has been discontinued, just:

===[
Cause has been shown why the above company should not be struck off the register and accordingly the Registrar is taking no further action under section 1000 of the Companies Act 2006 pursuant to the Notice dated 06/06/2019
]===

I'm wondering whether we might have shown them an NDA we can't announce just yet.

Or it might be nothing - a technicality of being a subsidiary of an active holding company?

Any other thoughts?

Ob.

It's curious that our previous leader commented on twitter "Britain to launch new scheme to pay households for unused renewable power - Reuters. Great news for Inspirit Energy PLC.", but nothing from our current leader. ???

:-)

Before today's announcement I was concerned that mCHP wouldn't be included, or if it were, it would be for less than 5kW, or for residential only. Nice to see my fears were misplaced on all three counts! :-)

It's also interesting to note that the guaranteed prices can't go negative, meaning the electricity companies have to deal with times of curtailment keeping it simple for the generators. I wonder which side of the meter this decision will push the batteries? Market dynamics can be complex! ;-)

We should announce an RNS on the back of this news...

Ob.

Published today by the looks of it:

"THE FUTURE FOR SMALL-SCALE LOWCARBON GENERATION" (June 2019)
https://www.gov.uk/government/consultations/the-future-for-small-scale-low-carbon-generation
===[
Detail of outcome

Government has decided to introduce the Smart Export Guarantee (SEG) in Great Britain from 1 January 2020. It will be available to technologies up to a capacity of 5MW, including:

solar photovoltaic
hydro
micro-combined heat and power (with an electrical capacity of 50kW or less)
onshore wind
anaerobic digestion
]===

Great news for us. Now let's get this show on the road! ;-)

Ob.

... discontinued.

From the accounts: "Inspirit Energy Limited (IEL) is currently pursuing the development and commercialisation of a world-leading micro Combined Heat and Power (“mCHP”) boiler for use in commercial and residential markets."

Note development *and* commercialisation.

That's one way of looking at it! My take is that we have yet to file the necessary paperwork. They have a habit of leaving it until the last minute... Just hope this approach doesn't bite them one day.