Member Info for Porky9

Absolutely, Add to that the desire to get posts removed today that don’t follow the pro ramp status quo. Well good luck with that Kev as it’s after 5.00 and LSE gone home. So remove this one?

Let’s see the accounts published for H1 to end of June. There will be additional costs post these IMO due to settle the outgoing Director salaries and the new additions, BUT just working on what they publish I bet you any money we are looking at £1.2m loss in the first half and probably £700-£750k of cash at bank left. I bet they squandered the bloody lot.

So the reality is they need a placing early October as they won’t be able to pay October payroll IMO without it so I estimate they have about 6 weeks cash runway left - prove me otherwise.

The only thing that could extend that by another month is if they get the R&D tax credit in but HMRC are tightening up on what qualifies so high chance it won’t be anywhere near as high as before.

In my considered view, I can’t see anyone backing a discounted placing here even at half a pence or even lower without a complete business plan revision and a material reduction in costs to under £1.5m for the year. The current cash burn of £200k per month is totally unsustainable further, nobody with half a brain cell is going to chuck yet more cash at this, say £1.5m just to keep Directors in lifestyles for another 6 or 7 months - it isn’t happening IMO they have milked this beyond reason IMO.

I will be interested to see how this spins out now. They are reaping now the p poor decision by Suzy and Kevin to push a start up lab concept over new evaluations and now there is next to nothing in the pipeline to come through and they will likely need not just one but two more raises from here to get back to where they need to be - that’s how I see it

If shorts are closing it could get interesting...

More so if the news update does land, that will catch a few out...

Yes but even recently, its not just the once, its actually twice.

They didn't deliver on the prior raise, didn't deliver on the massively reduced revenue front revised downwards targets nor did they make enough impact on the costs side.

We now have this further massive raise again at .50 and yet still no signs of actual invoiced cash hitting the business.

@Wakeyinvestor

You can still churn for a 10% profit, nice one, but paying a 25% premium to the raise is another thing. Cash is king in these markets

Anyone can do commercial work for free. Show me the money!!

IF they can actually get paid up invoiced revenue coming into the business then they have a chance. Constant TALK of potential and pipeline no longer cuts it, they need to actually prove viability and that means actually having paid up revenue coming into the business and not being solely dependant on investors cash.

Actual collected revenue in H1 needs to be higher than my local sandwich shop and if it’s not, so the spin and pump will continue until another cash call beckons. Said before, talk is cheap, physical paid up delivered revenue is what counts now - they need to prove concept, the material decline in revenues and massive burn to deliver that remains a big negative here they need to prove otherwise.

The events here are nothing short of a total and utter disgrace frankly. For me personally my write off is sub £10k but it’s not the point is it. This situation could have been so avoided.

I think what you are doing @Chrisatrgt is admirable for sure but it kind of feels like we need some sort of miracle now frankly.

I am totally disgusted that our government didn’t put up even an 80% loan guarantee. That in turn IMO would have saved this business IMO as it would have led to a placing to refinance, we wouldn’t have lost the £120m FIG contract and they couldn’t have traded out of this. That crap decision led to this domino effect as I see it.

It’s not just a sad loss of a great company, it’s a piece of history, it’s another dent in the UKs capability to deliver something other than financial services and in the grand scale of things, the debt situation wasn’t that great. If this was a US listed company it would have got funded and restructured IMO. I’m not trying to create a conspiracy theory here but it kind of feels like there were people in play here that really didn’t want this business to succeed at all. I’m not impressed with Riverstone in this either.

So you have visibility of my portfolio now? Or do you just base your assumptions on nonsense posted in forums?

Frankly, these boards are becoming less and less useful as any form of tool for research purposes due to posters like you requesting removal of any contra points that don’t fit with the pro ramp status quo. Half a story frankly.

No, it’s gone from a 1.5p Placing to 4.5p and now at 2.5p. But as I say, it has no relevance to this penny share

I'm not sure they actually know what an invoice is? I mean do they actually know how to issue one, who's job is it, do they know how to take a payment ? Certainly don't need credit control staff to chase invoices that's for sure, so i guess that's a bonus?

In 15 years they have never had the need to invoice anyone thanks to the regular ongoing money flowing in for spends from shareholders, so i think another raise now, raise 15 i think it is? is highly likely.

Oh no slight correction, they did work out how to issue an invoice once, on 19th July 23, over a year ago, they put out an RNS championing a lab contract first of many, a three month contract win to complete by the end of Sept 23 where they confirmed an actual invoice was raised but no figures were mentioned. The stock rallied that day by nearly a penny only increasing its market cap to a ridiculous level, to find out months later when the accounts were finalised i think it was worth less than £10k for three months work!

I'm just waiting to see the forward plans now to see if there is a plan worth investing in, i genuinely think its touch and go if he can secure support or not.

I agree, I think he is wrong also.

At 1p that’s way too optimistic, i can’t see anyone investing to support the £2.5m a year required cash burn just to fund working capital and pay the salaries. Even at half a pence it looks high. WC raises in this market are brutal. 70-80% disc is going rate.

They have about 6-8 weeks IMO to sort something, raise or bust imo.

Yes, this time last year issued on 24/8 perhaps they will post after close tonight? Either way wont make great reading, costs will be higher and still next to zero revenue. It's what they do about it that counts:

Can they or can't they get SH investment support for placement no. 16 ? Answers on a postcard not long to find out...

No @Riddler - i am not banned and never have been. Just nothing to comment about. You can't help yourself can you?

Totally disagree with you @Laura2022 (AKA Riddler and others)

It didn’t take Einstein to realise they were going to need a discounted raise, once they declared the H1 actual invoiced revenue which demonstrated further falls in invoiced revenue to less than that of my local sandwich shop, the writing was on the wall. Further, you could read between the lines of the fluff put out afterwards, it was always Jam tomorrow what an order could be worth if processed NOT we invoiced x today. So the raise was inevitable. If you couldn’t pick up on that more fool you.

Nick, being a shrewd prolific investor had the intelligence to see the situation for what it was and sell close to a penny knowing he could buy back later once the Placing came. Market placings in the market are currently still at massive discounts. That is bloody good trading.

Anything put out on these boards half the time is utter nonsense. Posters here, didn’t want to hear about a discounted raise and put fingers in their ears but it was always going to be a reality they just chose to ignore it. His comments to the BOD were 100% spot on, they raised cash on a promise of delivering a revenue target that they didn’t even get close to delivering on. He pointed that out. I doff my hat to the guy, his trades were both strategic and correct IMO and further, what he does is his business, why are some so bothered about other investors and posters do? DYOR and concern with your own portfolio not that of other investors.

Finally, despite the fact that the bulk of the stock here is now in at .20 it’s still a risk, still a total gamble. This business still needs to deliver a material paid up contract win, either a large substantial order paid up, not “could be worth” or a large paid up licensing fee. They have a window to do it in. This is not rocket science, it’s business. If they don’t deliver in that window and continue to deliver lack lustre revenue then the writing will be on the wall for yet another raise - Hence this is the investors gamble and also why some will take a 15% profit now whilst it’s on the table and sell into any spikes should they arrive. Profit is always king.

FWIW, a punt here based on the market cap at .20 is probably not a bad shot, IF they get it right. There are worse bets on the AIM for sure but don’t delude yourself that all is rosey because markets remain awful and this stock is not for widows or orphans.

Good luck

@Laura(Riddler)

No, it wasn't a poor show, it was actually a very shrewd move, its called business. To make money. Selling to buy back at .20 is how you make money. Further, with the bid at .23 he is already up 15% on the deal endorsing what a bloody good strategic move it was. Had he done nothing he would be servicing a big loss here.

With an eye watering 1,272 MILLION of shares overhang to clear in at .20 plus the warrants on top this is going to take some time to clear. Only a blithering idiot would be paying a 20% premium to the .20 placing rate at the moment.

Nice work though for those in the placement who can snatch a quick 15% ROI whilst the bid is at .23 - Quality.

Well if peel hunt have stopped selling into any rises we might have a half decent chance at a run starting. Certainly being hit hard at 3.42 at the moment so would expect this to move to 3.7-3.8 in fairly quick time at this rate.

See you at 10p guys, let’s see those NHS awards filtering through :)

Be great if this one makes the top five on the leader board today.

Good luck all

He knows full well the direction of the business, most likely NHS deals after procurement stages, after the NICE rec these should start filtering through, then you have possible stateside interest not to mention longer term take over interest.

Superb vote of confidence imo. Those short will keep pushing but general trend now is north from here. Very positive.

Well you don’t get a much better vote of confidence than that, fair play to him. Nobody better qualified to know the direction of the business from here.

Selective comment posting again i see.