Member Info for Peoplepower1

That's a hard one west6809 - I need to put some thought and work into it and come back to you.

So sorry that should read - REVB's current assets and not Boohoo's current assets.

It looks to me like Boohoo's current assets including cash for end of year 2022 were £117m with liabilities including borrowings at £118m. That makes minus £1m working capital so hence probably why Okehurst1 sees a fund raise needed based on these final 2022 accounts.

I think working capital is current assets minus current liabilities.

I would suggest you read through OKehurst1's posts as he's done much more homework on REVB than I have.

I think Okehurst1 has already gone through the 12 month working capital etc. for REVB in his posts so you need to read through them.

Yes Okehurst1 it could be possible.

I suppose it will depend on the institutional investors thinking which deal is best for them - a fund raise or a buy out by Boohoo.

Boohoo's results for final year ending 28 February 2023 were released on 16 May 2023.

Yes for AIM the rule is within six months of year end which would be 31 August 2023.

The majority of companies provide theirs within 3 months of year end.

REVB don't have the 12 months working capital needed to get relisted. This may take some time to raise.

It will all depend on whether or not the final year results for 2023 will be needed by and for the fund raise itself.

As a growth company, Boohoo were doing well. Then they were busted by Shein.

As a loss making company, let's say for me, Boohoo's accounts leave a lot to be desired.

The London Stock Exchange Rules for AIM aren't sufficient to stop such behaviour.

Thank you Okehurst1 I'm with you.

REVB will need to publish their end of year results for 2023 to get relisted. The management accounts won't cut it for this.

Okehurst1 - over 85% of REVB is held by Boohoo, Minto, Allsworth and other institutions. Less than 15% is held by small private investors.

Maybe the larger shareholders will be happy for a fund raise.

If you think the LSE rules for AIM are enough to regulate AIM then that's your choice. For me, they're not.

Analysts need the most up to date information which for REVB is end of year results for 2023.

Even with the most up to date information you can see how analysts differ in their interpretation of the most up to date information.

Personally, I don't think the AIM Market being governed by the London Stock Exchange Rules for Aim is regulation. It may be called regulation. For me, it's not regulation.

The AIM Market doesn't come under authorities like the Financial Conduct Authority or the Financial Reporting Council. It is not regulated. It is governed by the LSE rules. So not the same as the ftse markets.

If a company is going to relist then investors, analysts, etc need the end of year results for 2023 for their models.

Okehurst1 - I may be wrong, as I see it they can extend the suspension until the final year results for 28 February 2023 are released. I don't know how long they would take to publish them.

For me, investors would need the final year results for 2023 to work out a share price for REVB.

The suspension for REVB has already been extended from the six months rule under AIM so there's no reason it can't be extended further.

Okehurst1 - as I understand it if you wish to delist a company from AIM then you need 75% shareholder approval.

Oops - should read -

Boohoo, Minto and Allsworth own 58.1% of REVB between them. For me, they'd need at least 75% of shareholders' votes. So they need at least 17% more shareholders to join with them.

Okehurst1 - I can't see that happening.

Boohoo, Minto and Allsworth own 58.1% of Boohoo between them. For me, they'd need at least 75% of shareholders' votes. So they need at least 17% more shareholders to join with them.

For me, that's not going to happen. I'm sure you'd love this, personally, I can't see it.

Okehurst1 - if you're right, where will they get the 13.1% of shares needed to have majority control.

Boohoo's free cash flow of £30 was only as a result of reducing their stock inventory by £101m. This reduction of stock inventory was a one off and so won't be repeated.

The same for Boohoo's net cash of £5.9m, this was also a result of Boohoo's reduction to their stock inventory.

As Hexam stated Boohoo's share price is worth about 42p at present.

Whether or not you believe the £44.9m of exceptional items should be in cost of goods. It's important to look at the figures if this had been put into cost of goods. Gross Profit would have been £850.3m and gross margin would have been 48.07% as opposed to 50.6%. A huge reduction to the gross margin of 2.53%.

I can't see REVB being bought out by Boohoo because they'd need 75% of shareholders' votes to do so.

Also for me I can't see the suspension being lifted for REVB until they release their results for the year ending 28 February 2023.

The AIM Market is not regulated like the FTSE markets. AIM is governed by the London Stock Exchange Rules for it. Yes AIM companies have to have a nominated adviser (Nomad) who advises the company on AIM rules. The Nomad for REVB didn't stop and wouldn't be able to stop what was going on in REVB. Nomads wouldn't even know about what was going on in REVB. Nomads can be brokers as well as being Nomads to AIM companies. Conflict of interest.

AIM is seen as a high risk market because it's not regulated like the FTSE Markets.