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A further 182,300 shares only reported after the close as bought at 198p - from 9.00 am when the offer price was 195p. Very, very keen :o))

A nice 200,000 share buy at 40.75p just reported.

SUR's Warmworks JV was yesterday reappointed for another year by Orkney council to manage the rollout of up to £2.1m of funds to help local households with heating and insulation - with the council having just been given another £600,000 for this purpose:

Https://www.orkney.gov.uk/News?postid=7161

Looks like a further 2.5m buy from earlier today at 10.75p just reported late. Nice.

I came across this interesting recent podcast from Mark Atkinson, who's just bought into MWE and talks here about his reasons for doing so and general investment strategy.

Mark is an extremely long-term/patient investor, which I can identify with. MWE is his first new buy for 4 years if I heard correctly! Which is stretching it a bit even for me.

Worth a listen anyway - this is his first such podcast, and he's subsequently done a much more comprehensive one on ZYT too:

Https://www.youtube.com/watch?v=_87N7ophF3E

No-one noticed my deliberate mistake of using 4.4p EPS instead of using 4.4c EPS!

Using the correct 3.65p EPS a P/E of only 12.5 remains cheap imho.

Up 1.75p on some chunky buys this morning of 50k, two 45k's and two 20k's.

And back above the 40p placing price, which is good to see.

Good to see someone just bought 33,150 shares at 198p - a full 3p above the current 195p published offer price. Very keen.

Nice buying first thing today - just over 1.5m shares bought already, resulting in a small tick up, including a 550k, a 500k and a 344k.

The buy price has been steadily moving up and is now the full 10.6p published offer, which hopefully augurs well.

Good to see Paul Scott giving ADF the thumbs up on Stockopedia:

"Facilities by ADF - TU (in line) - Paul - GREEN - in line expectations update for FY 12/2022. Sounds perky about the outlook for 2023. Quite nice company I think."

"Full year trading update

Facilities by ADF, the leading provider of premium serviced production facilities to the UK film and high-end television industry, today provides an update on trading for the full year ended 31 December 2022 (“FY22?).

Strong trading delivering on all areas of growth strategy

Key points from today’s update -

FY 12/2022 results in line with market expectations.

Revenue up 13% to £31.4m

Adj EBITDA up 3% to £7.9m

The reason why increased revenues didn’t flow directly through to EBITDA is because (previously announced) smaller individual contracts meant more down-time as equipment had to be moved around between jobs. So this mix effect does show the flaw in the business model – gaps between jobs, which could get a lot worse the next time the industry has a recession (no sign of that at the moment though).

Cenkos (many thanks!) publishes an update note today, showing that the £7.9m EBITDA becomes £4.3m PBT. As it’s an equipment hire business, we cannot just ignore the depreciation charge.

Basic adj EPS is 4.6p, so the PER is 12.7x which seems reasonable to me.

Capex – it spent £8.9m enlarging the hire fleet in 2022, with similar spend expected in 2023. Which raises the obvious question as to whether this is value for money, given that the big capex barely moved the dial on EBITDA in 2022?

Expansion in the UK is continuing, more detail in the announcement. It sounds as if things are going well. There was previous talk about expanding into Europe through acquisitions, which I’m not at all keen on. Better to stick to its knitting in the UK, I reckon.

Outlook - we’re told several times that the order book is strong, but no figures are provided.

Cenkos is forecasting a big increase of 50% in revenues for FY 12/2023, and EPS rising from 4.6p (FY 12/2022) to 6.3p. This type of equipment hire business should probably be valued on a PER of about 12, so I make that a share price target of 76p, a useful 30% ahead of the current share price.

My opinion – I’ve always quite liked this share – it floated at a reasonable valuation, and raised fresh money for the business in its IPO (unlike so many companies which float so that a private equity backer can exit at a premium).

The UK seems to be a popular destination for big TV/film productions, so there seems to be plenty of work available for ADF, and it sounds upbeat about the future.

It’s a cyclical business, so at some stage there’s likely to be a downturn, hence why I wouldn’t over-pay for this type of share. But right now, it looks to be in a good spot, and the shares seem reasonably-priced, hence I have to give it a thumbs up as things currently stand."

Https://www.linkedin.com/feed/update/urn:li:activity:7019634115117228032/

"Cenergist 1,051 followers
1mo •

Following a successful pilot, Cenergist, together with Crawley Council, are rolling out the installation of our patented Control Flow containing HL2024 technology products in council homes. The installation of these products aims to help Crawley Borough Council achieve their water neutrality goals. The results of the pilot showed that homes could save on both their water and energy bills with the average saving being £360 per year, with the results analysed by Liverpool University."

New holdings RNS - Danske Invest continue to buy here, and they now have over 8%, with 8.33m shares:

Https://uk.advfn.com/stock-market/london/sdi-SDI/share-news/SDI-Group-PLC-Holdings-in-Company/90255097

Good point SlickMongoose regarding Chell.

CNIC is ridiculously undervalued imho....at some point an industry behemoth like GoDaddy or similar will surely pounce here at this crazy valuation if it persists.

Good to see in the well-regarded Herald Invstment Trust's Annual Report this morning that CNIC are their 20th largest investment, with a value of £11.6m (£3.5m cost):

Https://www.londonstockexchange.com/news-article/HRI/annual-financial-report/15839432

"CentralNic is a London-based AIM-listed company which drives the growth of the global digital economy by developing and managing software platforms allowing businesses globally to buy subscriptions to domain names, used for their own websites and email, as well as for protecting their brands online. These platforms can also be used for distributing domain name related software and services, an opportunity that contributes significantly to CentralNic's organic growth. The Company's inorganic growth strategy is identifying and acquiring cash-generative businesses in its industry with annuity revenue streams and exposure to growth markets and migrating them onto the CentralNic software and operating platforms.

CentralNic operates globally with customers in almost every country in the world. It earns recurring revenues from the worldwide sales of internet domain names and other services on an annual subscription basis."

https://masterinvestor.co.uk/equities/small-cap-catch-up-cyber-security-bricks-shipbroking-and-debts/

"Kape Technologies (LON:KAPE) – Teddy The Price Is Not Cuddly Enough

What do you do when a company, in which you control 54.8% of the equity, is not being afforded a realistic market rating?

That must have been a quandary facing Teddy Sagi, the Israeli-Cypriot multi-billionaire financier whose cyber security software services group Kape Technologies was suffering such a low valuation.

So last December, when its shares were trading at only 225p, he approached the group’s Board with a 265p a share cash bid for the 45.2% that his Isle of Man-based Unikmind investment company did not already own.

The approach was rebuffed.

In a statement to The Financial Times Sagi commented:

“Having weighed the pros and cons of a public listing under the current macro uncertainties and thin stock market trading as well as new growth avenues, we are firm in our view that Kape’s next chapter in its corporate journey should be within the private arena.”

On Monday of this week Sagi, who also owns Camden Market in North London, came back with his offer to the Board, after he was enabled to do so following restrictions being lifted.

Again, the offer has been rejected by the Board, who advise shareholders to await their next comments.

Immediately it became public knowledge, the shares lifted in price to touch 295p before resting 35p higher on the day at 292p.

The dealing volume in the shares was nearly 100 times greater than the daily average, with some 31.8m traded on Monday.

Last night they closed at 292.5p on the back of some 3m shares being traded.

Such a cash offer may not succeed, however what Sagi has now given the market is a very clear marker of the price that he is more than willing to pay for this cracking technology services group’s shares.

Hold very tight and remember that just fifteen months ago they were up to 455p – although it may take a long time before my 2021 Target Price of 600p is achieved.

I would guess that when he is able to, Sagi will dip into the market and soak up more shares.

No doubt he will table a proposal to shareholders that the group is taken private, but he will need at least another 21% of the group’s equity under his belt to secure such a voting victory.

Come on Teddy give shareholders a good cuddle with a better price than 285p for their shares – you know that you can afford it and you also know that the shares are worth well over 400p at least.

That does not mean that another bid would need to be around that price, but 325p a share feels a great deal more attractive."

Excellent coverage in today's press for a realtively small company like ADF.

First the Mail:
Https://www.thisismoney.co.uk/money/markets/article-11750143/MARKET-REPORT-Traders-fall-love-telecom-stocks-merger-hopes.html

Second the Times:
Https://www.thetimes.co.uk/article/6debc800-ac92-11ed-9cb3-80326348937b?shareToken=9dbfab6b8ea106bd5682fe4cd39c8b5b

"Trailer provider plays a blinder

An Aim-listed company whose production trailers have been used on the sets of The Crown and Peaky Blinders has hailed a “strong performance” in its first full year as a listed business.

Bosses at Facilities by ADF, which has a fleet of more than 600 vehicles ranging from portable lavatories to trailers for actors to rest in, expects to unveil revenues of £31.4 million for the 12 months to the end of December. Last year it had sales of £27.7 million.

The company worked on 76 productions last year, including Netflix’s Sex Education and the BBC’s Happy Valley, with each production generating an average revenue value of £390,000. Its 2023 order book indicates sustained demand for its services, noting bigger productions and higher revenues per production.

ADF, which is based in Bridgend, south Wales, started life as Andy Dixon Facilities in 1991 with an old bus that Andy Dixon, its founder, turned into a dining trailer.

Last year ADF acquired Location One, a film and television location service and equipment hire company based in Barking, east London, that will enhance its expansion. The shares rose 4p, or 7.3 per cent, to 58½p."

MarkAtkinson's podcast about ZYT and their recent AGM is well worth a listen. As well as the £6.8m cash pile, he's reminded me that there's a further £3.85m of property which hasn't been revalued since 2012!

Https://m.youtube.com/watch?v=YQy65sN4U_w

Questor in today's Telegraph says Hold - again, nicely summarised. When to top up is the quandary, especially given ZYT's illiquidity. By the time improved trading is announced (which I believe will happen at some point) it'll probably be too late, the question is how long/short the timeframe:

"Update: Zytronic

Smaller companies are often more exposed to cost and supply chain pressures, as they do not have the clout to stand up to larger suppliers, distributors and customers, and last week’s trading update from Zytronic makes it clear that the rugged screen maker is still having a tough time of it.

However, the company’s competitive position remains strong, since orders continue to come in, and a net cash pile of £6.8m provides ample support to the £13m market cap. We shall simply have to hunker down and wait.

It is so difficult for Zytronic to procure required parts that the Newcastle upon Tyne company is either paying premium prices or cannibalising finished, manufactured product so it can fulfil orders. Rising costs here and wage increases could impact earnings, especially in the second half of the current fiscal year from April to September.

It is therefore asking too much to expect earnings to rebound rapidly to past peaks of £4.6m from last year’s £611,000, but they do not have to do so for the shares to be cheap.

Average annual net income since 2000’s flotation is £1.6m so Zytronic trades on barely four times that, if you strip out the cash, while the stock also trades at a discount to net asset, or book, value. The cash and lowly price tag mean we can afford to await a positive catalyst.

Questor says: hold
Ticker: ZYT"

And hopefully now a push up to the late '21 chart point of 60p+.

The overhang appears to have cleared now - the maximum shares available to buy online now is only 100,000 shares at 3.79p.

Very happy with today's RNS, summarised as an "encouraging performance" by SABER. It evidently works. There were always likely to be at best further small tweaks following this preliminary live testing, rather than potentially (at worst) a significant overhaul, so today's update augurs well.

The next SABER and full trading update will come in early April, so not long to wait.

FYI here's the rest of Cenkos's summary today:

"Delivering on Everything and More

ADF has released a positive trading update for the period ending December 2022. FY22E revenues of £31.4m and Adj EBITDA of £7.9m are in-line with our expectations and we leave forecasts unchanged. FY22E has been a transformational first year for ADF as a listed business which has seen fleet growth, site enlargement, geographic expansion, and an acquisition of a complementary business. It has set the stage for further growth in FY23E and years to come, both organically and acquisitively. ADF trades on an inexpensive FY23E P/E of 8.4x compared to equipment hire peers on 10.2x, especially given the superior earnings growth.

? Financial Update: FY22E revenue is expected to be £31.4m and Adj EBITDA is forecast to be £7.9m, in-line with our forecasts. As we highlighted at the interim results, the second half of the year was expected to show a large jump in Adj EBITDA as H1/22A had been tilted towards shorter, less profitable productions. This was indeed the case with H2/22E Adj EBITDA of c£5.3m compared to c£2.6m in H1/22A.

There is significant revenue visibility given the c12 month lead times for many bookings and the Company has positively guided to FY23E seeing a continuation of the high value productions seen in H2/22E.

? Operational Highlights: Management have set the stage for a strong FY23E with a forecast top-line growth of c50% and Adj EBITDA growth of c55%. This is supported by the following operational developments over the past year:

? Capex of c£9m invested in new fleet vehicles to drive organic growth, with a similar amount expected in FY23E.
? Expansion of its manufacturing facilities in Bridgend and moving to a new larger operational base at Longcross, which is conveniently located near major customers.
? Opening a new office and base at Pioneer Studios in Scotland to tap into growing filming demand there.
? Acquisition of Location One Ltd to build-out highly complementary filming equipment hire services to become the premium one-stop-shop for the industry."