Member Info for Porky9

OK - I have said all that needs saying. Points made. I will say no more for now.

Lets hear from the horses mouth the justification for these decisions at the GM. If by the end of June decisions have been made on the acquisition program, 201 etc and if the 30m needs to be issued but i can see a clear path to revenue without greater than 130m of shares in issue, i will support then.

Until then i want to see clear plans they can turn this around without constant running to SH for cash..

GLA see what she has to say....

@HeresHopin
That's exactly the point, we HOPE they will see sense and something positive lands

@PM2022
Oh come on.. there is a limit to shareholders support, i wouldn't mind but they have 3.5m cash they don't need any more, its f'cking greedy, make that work first before you ask for another 30m shares to be issued. Just too easy to get free cash rather than earn it as i see it.

Also, there are other ways to finance an acquisition not just equity, loans, buy outs you don't always need massive cash sums down - not to mention the big elephant in the room getting at least some cash out of THX - they want to retain the exclusive they should make a contribution.

I am VERY passionate about this business because i genuinely care, they have so much potential but lack any commercial acumen, its such a dam waste as it stands.

They are about to take the lab lease up any moment, spend 450k of cash kitting it out and two staff members, no revenue in this year from it, so cash burn is guaranteed to go materially higher. No sales and marketing to get business in, i mean who in their right mind would spend hundreds of thousands on a lab without any clients to service and moreover not make any provisions this year to get a sales team established?

There is no rush to buy shares at the moment as i see it with the decisions outstanding. I'm expecting that by end of June we will know more on 201, expecting a new partner will be required.

Lets see what is said at the meeting, how they will justify this.....

@nomlunga
Apologies, you are very right
General meeting called to get the resolutions passed. Not an annual one.

@ells
They Stuffed the short term upside due to the 10p placers and 11p placers that will need to be cleared. Buying now you are talking fine margins until that lot clears. Buyers are those down averaging, we need to know if the 30m gets will get issued or not

Not long to find out...

IF resolutions 2 and 4 get passed at the AGM to have the 30m extra share dilution overhanging us they need to have a bloody good reason for doing so.
Waiting game now......

F Me @PM2022 so I comment here just to waste my time? if i didn't care about the future of this business i wouldn't bother. It has massive potential and could make a real difference to many but they cant do the same and expect a different outcome. Changes need to be made, they have the cash runway now to do it and make it work. They just need to focus on what's important NOT looking at future raises already having just completed two recently.
See what the AGM brings
Take care now
Pork's

@PM2022
No nothing, i have 400k of stock, albeit i'm in for free, I'm not adding but watch it dilute before my very eyes and frankly its school boy errors. Good God Man she cant get a grip of THX after all this time?? I say again she would not put up with this situation if it was her own money on the line.
Further, i hope you are right, only a couple of days to go to find out but i don't see how you can be so confident:
The bulk of investors NEVER read or discuss in these forums, they invest because like many we dream of day when cancer is cured and want to help and many probably wont vote at all or just tick yes to support the board whatever.
Lets see.......

Like it

* They need to hold THX feet to the fire for sure
* Stella Needs to BUY shares and if the intention is another raise at discount agree to BUY then but be clear.
* Suzy can also BUY, that email reply the other day was poor, she is on 160k a year, if she is committed and knows she can get the mcap higher i don't see why she cant afford at least some stock. Lead by example.
* Call time on Martin Lampshire - Out with the old school and in with A new fresh NED required with ideas to help the forward drive.
* IF moving Suzy to a Chief Science Officer (CSO) role or some other status Commercial Operations Director (COO) above Cathy on the science side and bringing in a new CEO to replace Suzy is not a consideration, then they need to add to the board a another Director with solid negotiation skills to be involved in ANY commercial negotiations going forwards.
* God Knows i think EVERY shareholder would VOTE Adam on the board in a heart beat but the guy might not want the job or be able to take it on due to other commitments.
* Call time on Kevin, sorry but he is residing over this. I am questioning the Value Add. Not sure what he costs us each year?

@Pinkpuddycat
I don't think Res 4 will fail, I think they will get it over the line somehow but we will know soon enough. So in this event, the BOD need to really outline EXACTLY their intentions and timelines going forwards.

I would rather them by say end of June 23 collect the £1.3m agreed from THX and the outstanding lab fees on top, what Nov 21-June 23 call it an extra 20x $10k USD $200k or £160k by then bringing in £1.5m as opposed to a cheap discounted raise 30m at 7p bringing in only a few hundred thousand extra.

I don’t disagree with many of the posts here regarding the 201 negotiations.

Personally, as most of you know I was totally gob smacked the day that news landed in November 21 that they had gone in with a start up. In fact I would actually say quite upset about it as we were all expecting an established partner.

Prior to this I had been doing everything I could to promote what they were doing. You watch the old videos from “it bloody works” to the updates, you know a drug can take ten years to the market but I was firmly of the opinion this could make a real difference and we were so far down the road with it from its transfer to us from Cancer Research UK, so much already invested in it, both time and money, that it would be a sure winner but that opportunity feels wasted.

I felt it was initially a crap commercial decision to give this prize asset to a start up with such limited capability and it has since proven to continue to be a bad choice.

On the Science side, I don’t doubt Suzy enjoys working with THX, they are “friends” but commercially they are a bloody nightmare and lets not just talk about initial milestones, the £1.3m, the paying of lab services bills, how are they going to act even further down the line if they cant deliver on what they promised at this stage?.

Also, what does it tell the market? What does it tell potential investors in VAL that we are a push over, what does it tell potential new project owners? Work with VAL and they will give you away to another start up further down the line.? Commercially there are ramifications for making a poor decision like this and as shareholders we have given VAL too much slack on this.

I know some wont like me for saying this but at what point is enough? Commercially I would cut my losses, take the IP back from THX and look for another partner but one that is of a sound financial footing to be able to pay the milestone down payments rather than chasing the Ace with THX. Show the market we are here to do business.

IF VAL are completely and utterly besotted that THX will come through then they need to impose a strict time lime, not leave it open ended on an “anytime forever” basis and if they want to remain partners on an exclusive basis they should pay for it so much a month in addition to the Lab support fees – this is commercially the right call. We are not here to subsidise their business; anyone can do free.

At the AGM I’m hoping she will expand significantly on 201 be open and honest. If THX were the only option tell us that. If there are issues to position it, tell us that. If its awaiting patents tell us, where in the process are they, when submitted when the rough time lines expected?.
Shareholders are not blind idiots, most of us are from business backgrounds, we are not stupid, and we deserve better than this but moreover, the drug itself deserves better than this., it could make a real difference potentially, they need to do better starting NOW.

Pork’s

@Iceman888
I fully share your views.

I am not quite on the same page regarding Suzy. IMO I think she is a brilliant Scientist. Its clear she is passionate as hell about science, she comes over as a real nice genuine person and I really like that. In the Q&A interview she talks about reagents and all the sciencey stuff with genuine excitement. Like Sheldon Coopers girlfriend Amy on the Big Bang Theory. BUT when in a pressure spot, gets a bit nervous, smiles or laughs and then looks to Kevin for help.

At the end of the day, you expect the BOD to make the right calls. As it stands they are comfortable as they are doing the same things on the legacy products but expecting a different outcome. Doing the same things on Raise and spend. With Suzy I really see her more as Chief Science Officer (CSO) than CEO and if I was a NED on the board I would be pushing for that and then looking for someone with real strong negotiating skills to drive deal making.

I know I sound harsh and @Webbo etc will no doubt insult me but as I see it Suzy is lovely but just lacks that commercial acumen and we have a window again now to turn this around

Let’s she what she has to say at the AGM.

Pork’s

@Webbo502
Look I genuinely do not intend to offend, I am sorry if this is the impression you have of me. This is a stock BB and this week has been an opportunity to discuss events ahead of the impending AGM where have been voting on resolutions.

Look, the SP is where it is today due to the actions the company has taken and nothing else, starting with the decision to ignore warning signs that THX were not going to deliver and pushing through a 10p placing to keep the lights on and then only a few months later forcing another one on us now at 11p but it also included warrants which were not necessary as they just add to further future dilution should the SP start to recover further down the line.

Now we find from the resolutions for next weeks AGM they want headroom for yet a further 30m shares. So long term holders are starting to wonder where the focus on revenue creation is, they are hacked off with constant dilution and potentially more of the same without consultation. The company currently has enough cash for operations, they need to make that work first.

Most of us have voted against resolution 2 & 4 but we wont know until the AGM but suspect they will get voted through all the same. In which case its how they work this. Time will tell.

In the meantime the Q&A was incredibly informative. My view remains that based on the current business plan, unless they change it, will take a good period to materialise and will need more cash but let’s see what they have to say at the AGM next week.

But if you want to ignore all that, be my guest, DYOR its all there. Have a great weekend.

Pork’s

As Mark Treharne is the Development manager, not sure why they don't get him to head up a small sales and marketing team, say 3 sales and 2 on marketing and have them punt the lab services to EVERY UK company in the UK that needs these services and work to get Lab 1 profitable in the fastest time possible but WTFDIK.

If they are going to spend our money make it directly relative to revenue creation.

As it stands, cash burn is going to continue to be horrendous and worse when the lab comes on line, what's the point of a nice shiny new lab in Nottingham if you just retain for own services, business wont fall on it, they need to pick the phone up and go out and get business, they need sales and marketing to do that. IMO

I would say a further raise and more dilution practically guaranteed. We will know at the AGM shortly depending on which way the vote goes.

NB. I agree with @PM - get the lab up and running, make it viable THEN come to SH and look for further raises IF its needed then

GLA

The CENKOS report effectively says, they are in the final stages of renting a lab in lab based in MediCity in Nottingham.
The equipment will be £350k, they will have £50k of other and recruitment costs, and £200k in staff personnel for the lab that will consist of two people and lab manager and an assistant.
As confirmed by Suzy it will be two to three years before the lab is profitable, CENKOS confirm ZERO revenue from the lab in the first year BUT it brings own projects inhouse rather than outsourced.

I do wonder how practical it is to have a lab in Nottingham with Valirx based in Nuneaton which is over 1 hrs drive away

@PM 2022
Yes, agreed they are still saying 201 will complete with THX but frankly it is going to take time, a lot more time by the looks of it otherwise, they wouldn't be so hell bent on a) getting more cash in now from share issues and b) wanting another 30m on the back burner ready to go if they know £1.3m is going to land from THX any moment soon for this deal.

Meanwhile, The BOD are not doing anything to try secure any fees from THX whilst cash burn increases, or even look for another partner that has funding whilst this continues, this is the issue.

Anyhow as i say the market it will make its own mind up. You take care now.

@Snootysnipes
Agreed. Also when you are locked into a proposition that will take potentially a number of years to come to fruition, you have lost opportunity from putting that money to better use elsewhere.

@PM2022
Actually agree with you, you prove the model and build out from that. Problem is its become too easy to raise and spend. Unfortunately, I believe the resolutions will be past.

@Valtree
To be fair, can’t argue with your point. We have had two raises very close to each other and results will be out in April, this will likely demonstrate more cash burn, the lab will be signed increasing cash burn and they have no qualms about issuing more shares. Meanwhile, there is no focus revenue creation and the lab will be two to three years off being profitable. At this rate I can see the Share Price going back to where it started in April 2020 at 3.5p

@ALL
I think we have a real great guy in Adam, but I really feel for him now he has been massively supportive but the Board dynamic and direction of the business has changed significantly before him. He will need really deep pockets to keep feeding this one, in some ways they are taking advantage of his good nature.

At the end of the day, investors will make their own calls on this and the market will price this accordingly. Await AGM update on the 2nd Feb.

GLA we are going to need it.

Watched the Q & A, (before I go off to post letters with my cat, lol) oh dear it is what it is, take your own views:
https://www.brrmedia.co.uk/broadcasts-embed/63d17647777efd4a8b516102/valirx-qa/?popup=true

Firstly, Adam you were awesome, we can’t ask any more of you. Dam shame you are not CEO it really is. It just illustrates perfectly to me that Suzy is brilliant on the sciences, clearly excited about reagents and the science’s behind molecules etc, etc but has absolutely zero business acumen. It is what it is: -

07.30 – “Delivered great progress to Shareholders, interactions improved, building genuine value, since April 2020 we have taken the mcap from half a million to £10 to £15 million you know that’s a share price from 3.5p to something in the 10-15p range”

So, she considers value has been delivered. There you have it. Adam was right to point out the SP fall in value in real terms with the dilution endured.

The board are hell bent now on the tCRO creation to come online shortly once they sign the lab contract but Suzy confirms it will be two to three years before its profitable but they can at least bring current work outsourced in house. This will increase cash burn, something Suzy initially had under control when she first started the job, now its something that’s increased following new appointments, pay rises and the change of business plan. It will take time.

They want option to issue 30m more shares as headroom, flexibility “in back pocket” should right deal come along for an acquisition. They want an acquisition to make the lab business different to other lab businesses in the market.

Stella wants to see the company have at least 12 months working capital headroom. Acknowledge that its better to raise capital at higher prices but they would rather do a raise at 7p If the right opportunity came along than wait until 30p and miss an opportunity.

On 201, they will continue to give THX time to raise own finances “until such a time as THX say they can’t raise the capital”

My own view on all of the above is that this one will take time, the investment proposition has shifted significantly and I expect more dilution for sure if resolutions are past to grant more share issues at the AGM on 2nd Feb.

See how the AGM goes and events unfold, if resolution passed to issue more shares without further authority it will be a bad day for Shareholders as lack of focus on revenues and no accountability for THX will continue and further future dilution almost guaranteed IMO. It will be a good day for the current BOD as they will have the mandate from us to do what they like. Interesting

Pork's

Will watch later and digest

Nothing will incentivise a board more to deliver results for shareholders where they have personally put their own money on the line. Skin in the game. Options are a nice to have bonus down the road for any staff members BUT they are no replacement for hard cash at risk.

@Iceman888
Its not a case of Kevin and Suzy asking Stella to buy shares to support, Stella should be chomping at the bit to buy shares, she should be thinking bloody hell i can get stock now at 11p and once we do X y and Z i can get the company market cap to Y value and make a killing here and i can influence that.
BUT, In truth, she knows that IF res 4 gets through next week that's another potential 35% dilution on the horizon in the future hence best to sit on the fence for now and would be mad to buy now. I can see why she is waiting, no hurry.

As it stands, when the new shares from this placing list on 6th Feb that's 3m shares the second broker offer in addition to the 9m placing shares so lets call that 15% dilution and lets not forget because they included dam warrants (i really despise warrants) if the SP does start to recover there is another 25% of shares they can issue anyhow

Frankly its this scant regard for diluting existing shareholders with continual raises that is putting new investors off - they need to address this.

Anyhow catch up soon,

Well I’m hardly anorexic myself tbh, more of a large sized sow, these days, lol

Didn’t get as much chance to fish this last season, business interests were getting in the way of fun.Going for it this year though as soon as weather picks up, my hip replacement doesn’t like the cold you see....

Yes, still holding but not Not happy with recent events. Just hoping they don’t get their way and get the resolution passed for another 30m shares, that’s practically another third of the share capital in dilution. Need to break the raise spend cycle and see the board show some leadership. Anyhow, watching how events unfold.i think they got the message.

Good luck to you

@OB
How are you, you bald old git :)
Narr bit of banter never killed anyone
Much love
Pork’s

RNS 30/12/22:-

As soon as practicable following passing of the Resolutions at the General Meeting, the Joint Administrators intend to make an application to the court to be listed for a hearing on an urgent basis to approve the Company's exit from administration. Provided the court approves the listing on an urgent basis, it is expected that the hearing will be within approximately two weeks of passing on the Resolutions. Should the court approve the exit from administration, the Joint Administrators will vacate ofce (and the Board of Directors will resume their full authority) following receipt and nalisation of the court order which would be expected to be within two days of the court hearing.

Resolutions passed on 16th Jan 23 so now just waiting on a court date to relist and go live. Must be getting close now. Good Luck