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You're right, marketshare is a big thing, and EVE has strong sales overall irrespective of expenditure and ultimately profit.
They must have spent plenty of cash on marketing. That can be dropped particularly if sales have maintained good levels without it of late. A quick blast every now and again as opposed to constant TV adverts would save a fortune.
EVE has been chasing expansion which is expensive, particularly in ****ty market conditions and rising costs.
So there is clearly wriggle room to cut cost. I wish we could just get an update sharpish so we know where we are
Everything at HEMO progressing really well imo. Very happy with progress.
The SP on the other hand doesn't correlate quite yet. But it will, imo. We're getting there. HEMO tech is novel and it will be proven to be so soon. The SP will catch up.
Interesting points, good observations
All in all sounds like a saleable business to me still!
Indeed. Its as simple as that!
Easily dealt with. Documented for all readers. Its my opinion something is more likely to be happening than nothing. You disagree. Bosh.
Alan Rosenthal is confident. Now this could mean nothing. He could be a billionaire and has invested 0.02% of his portfolio in EVE.
Again, I tend to disagree with this ultimately cynical view. I believe AR continuing to buy as an already 1% holder reflects a modicum of positivity. AR believes in EVE and hes put his money here his mouth is.
Although I am invested so confirmation bias is real! Lead us to the promised land Alan ha
Oh absolutely DG
I think the DD process from both parties will be more sizeable than the sort of DD I do on Ebay when buying something! ha. The whole due diligence, research and negotiation process will take some time.
I supposed with NDAs involved then bidders arent public knowledge meaning the other companies wont (shouldnt) know who might be in for EVE (whether entirely or an equity stake).
Thee is no fixed deadline - but if you truly want EVE you wouldnt want to dawdle and it gets bought out from under your nose before you have made a move.
I just wish they'd get on with it! ha
Of course talks could have fallen through. This is always on the table. Hopefully we (investors) get to know soon!
I just feel EVE will be doing all they can to secure some capital as well as implementing it with plan of action to reduce fixed costs, marketing outlay etc.
JHFH good to see you over here. As long as you are happy with losing the lot then just sit back and see what happens.
If no one has come in for EVE now then they never will. No one’s waiting three months before making a move. We know they were in talks with a small number of interested parties (I’m going 2). Conversely you’d imagine some sort of talks are likely if the FSP process hasnt been concluded.
Why do you have to make it so difficult for everyone to post?
I’m posting my views! They’re very simple. I don’t need to write a 2,000 word dissertation! I think it’s fairly logical based on what we know personally!!
Don’t we get a ‘no deal’ update? Or an FSP concluded?
Exactly stxx
Admin is a last resort. I’ve taken it off the table from my view as a tactical play.
Surely some news should be due soon? How many weeks have they had now?
Hopefully it’s a sign that the time is being used to positively. Certainly more chance of something positive taking a longer while than a ‘no deal’. Imo of course.
But the supply chain, returns, repairs etc will just stop if they go into admin won’t it? Who’s gonna wanna buy it after that for example?
If you (bigger fish) want the products and distribution then you have to buy it pre admin surely to continue things smoothly and ruin the brand for the customers?
Last word. I win!
Wyndrum, lots of words being used between you and investinme but it’s a seriously tedious read for investors haha. Can anyone give us an idea of share price targets? Estimates timescales to an offer? What is plan b if no offer?
In terms of your q about the price being held down when buys are 2 to 1 I’d agree, that’s how I see it too. But I also saw us moved up by the same MMs the last few days on minimal buys. So I think the daily moves are just swings and roundabouts personally.
I hope for someone to offer of a buy out or an equity stake but of course have no idea really what will happen. There is definite upside potential from here but also the risk of complete loss. So it’s a big call to make! 2.5% of my pension pot says they won’t sink!
You pays your money and takes your chance. For all this invested with much higher averages I hope beyond hope there’s a materially positive offer due or an action plan of sorts that can give EVE the chance to restructure and grow!
It all feels very precipitous with a yes or no to a large equity investor. Although is no priced in at this SP? With a small premium for a potentially successful deal being done?
My view is also they have a plan b for now if nothing materialises. But obviously not sure how long that may last.
Anything in particular pushed you further into the negative groove? There has been no formal news to form a new opinion from so just wondering.
We could do with an update. Limbo isn't fun at all. Fuels the fear.
No, i’m Alan Rosenthal!
Ronnie's brother, I told you! ha
But seriously, no one with 1% holding 'averages down'. Averaging down is a mugs game. Invest with conviction and if you believe some sort of success is around the corner.
Ronnie's bro sees success topping up as he is.
I think EVE has a reasonable future. Its a gut feel, brand, product etc. Expenditure just needs managing properly!
I assumed they earmarked capital for marketing purposes based on predicted sales
Then the sales dropped
Thus resulting in marketing overspend
This chasing of growth is an expensive business.
in simplistic terms for me the Board wanted to continue expansion and sales were up last year and early this meaning they were on track to break even. Sales have dipped since the inflation/recession problems which although EVE could see fixed expenditure trimmed potentially to reduce costs this will stop the expansion they have been targeting.
So new money is needed to chase expansion. No new money would mean trimming costs and settling for stagnation…
I know this is a simple outlook and things are more complex than that but it’s as I see it.
The cashflow seems to have been completely mismanaged to have burnt so much cash of late but that’s a different matter.
Would a new investor trust the current CEO to continue? It remains to be seen. The evidence for the CEO doing a good job isn’t great though.
Good point DG. Only RNSs due for certain scenarios… that we can assume haven’t happened yet.
Simba talks fell through in 5wks. No falling through
Talk updates as yet which is a positive. Also as you say we know a small number have progressed to due diligence stages.
So overall I’d say there are reasons for optimism as things stand that something is being sorted. New capital was needed to continue expansion as per the RNS.
For longer term holders though this alone is not enough. Any deal needs to be satisfactory SPwise
It would be nice to get an update at some point soon!!