Member Info for platoh

Covgaz - what's an O trade?

I think you're out by a couple of decimal places with your percentage traded - 600m shares is nearer 9%, surely.

From the RNS 16th June 2022: "Following the issue of the 2,717,391 new Ordinary Shares, the Company will have a total of 7,035,794,890 Ordinary Shares in issue."

or is that a parcel of 300m being sold twice?

Pass the parcel :)

But yes, something's going on

So Harwood mopped up 200 million, but there's another 215 million been sold just recently. That's around 3% - haven't calculated it exactly, but maybe just under the notifiable threshold. Otherwise should be another RNS along soon.

Just found this recent article. Straight from the marketing dept, of course, and no new info, but nice to see they're trying to promote the company/shares.

https://www.thisismoney.co.uk/money/markets/article-11046471/SMALL-CAP-IDEA-Tissue-Regenix-shows-regeneration-way-healthy-growth.html

I'm sure a sale of that size is matched to an arranged buyer. I can't see the market makers holding it on their books.
Now another 200 million sale - wonder who that came from. Premier Miton shouldn't have any left.

Look at this RNS, https://www.lse.co.uk/rns/TRX/holdings-in-company-utrrqryrpwefdzy.html
and compare the holding reported there (234738332) with the total of those two large trades (214738332). A round 30 million difference.
Probably not a coincidence - looks like Premier Miton Group plc has sold out the rest of their stake.

Jimjam, re tax losses: this is from the last annual report, March this year:

"Taxation
The Group continues to invest in developing its product offering, and as such is eligible to submit enhanced research and development tax claims, enabling it to exchange tax losses for a cash refund. In the year to December 2021, a refund of $534k was receivable (2020: $1,120k). The year-on-year reduction was a result of the business continuing to move its resources away from research and development to more commercial activities.
Corporation tax payable in the US amounted to $0k (2020: $0k). A corporation tax credit of $157k (2020: $684k) was recognized in the period. Gross tax losses carried forward in the UK were $73,643k (2020: $69,399k). The Group does not currently pay tax in the UK. A deferred tax asset has not been recognised as the timing and recoverability of the tax losses remain uncertain."

Hi mrcynic. Very interesting. Of course, I've no way of knowing whether what you say is true, but it is consistent with the truth. Not sure why you felt the need to make the "loser" comment; not very classy.

Anyway, I re-read all your posts. Thanks for the insights.

What more can I say? Perhaps, play it again Sam.

Would you care to name one or two of those many publicly traded companies, mrcynic?

Maybe. Today is the first day of a new tax year, so they could buy another £20,000 worth

That's David C o c k e, thanks for the filter lse :)

Daniel Lee's remuneration in 2021 was $503,000. David ****e's was $318,000.
Their each buying $10,000 of shares doesn't demonstrate any confidence to me. It's not as if losing that sort of sum would cause them any great pain.
They each hold fewer shares in TRX than I do!

Usually the buyer has to pay a premium to the market price for control of the company, so you'll see a sudden increase in the share price. You will either get cash for your shares (if the deal goes through) or equivalent shares in the buying company, depending on the terms of the offer.

tl;dr - your shareholding suddenly becomes worth more; the company being bought ceases to exist as an independent entity.

If annual sales growth of 20%+ is sustained, by end of 2023 profit could be around 0.1p/share, depending on how they can keep costs under control. If future growth looks like continuing at 20-30% p/a and they're well funded, in two years time the share price could be 1.5p. But who knows? AIM is crazy. Maybe <1p, maybe 6p

mrcynic, you may well be right that this stock is headed to zero. Certainly there's that risk, which is obviously why it's trading where it is.

What I wonder is why, since you believe this, you continue to hold it. The biggest investor of us all, put together, as you said. You must hold many millions.

Looks like 50, of which 13 are current.
https://find-and-update.company-information.service.gov.uk/officers/VJffLyCqTVtOuH0YoBNctk0-w_Q/appointments

pokerchips

I'm not to trying to start an argument, just saying what concerns me about this company's prospects.
Agreed, if covenants are OK, loan facility will continue. Whether it would be extended is another matter.

@Pokerchips
"I have never heard of a lender who wants their money back if the debtor is up to date with payments"
But that is exactly what happened in 2019, TRX were in breach of their loan covenants, not failing to make repayments.
https://www.lse.co.uk/rns/TRX/update-in-relation-to-loan-facility-mzxim8cjxyt3cnf.html
That led to the fund raise and dilution of existing shareholders (except this who were lucky enough to buy in to the discounted new shares).
Just saying, it could happen again.

Thanks, Pokerchips.
12 months is not a long time. If it's not cash generative then, another capital injection will be required.
The other worrying thing (for me) is when loan repayments are due, and whether they will be extended/rolled over. The company may live on, but in the hands of bondholders, with shareholders wiped out. That's the risk I see.

2020 annual report:
"Term Loan: 5 years to June 2024. $2m current facility. Interest maximum 6.75% above LIBOR RATE. Repayments of $167,000 per month from July 2023. Maturity analysis as detailed in note 15.
Revolving Credit: Repayable in full on June 2024 at the latest. $3m maximum drawing. Interest maximum 4.5% above LIBOR RATE.
... The MidCap debt facility is subject to revenue covenants."

My guess is that the company strategy is to develop the products/market and business to the point where one of the big boys with deep pockets wants to buy the company.

Those director buys are peanuts in relation to their salaries.
The thing that worries me is the cash burn and the fact that the continuing Covid pandemic is still restricting non-urgent surgery and hence TRX' market.
However, if institutions were dumping shares, it should show in an RNS.