Member Info for RyeSloan

And price at a nice high for the re-investment! Oh well shouldn’t complain about losing a share or 10 on that really ;-)

Looking nice and solid here so far, management seem to know what they are doing and it will be interesting to see what the new products and the bigger and better factory do to the bottom line.

Never gonna shoot the lights out overnight but for a slow n steady SIPP holding this share is a good ‘un.

Fair enough, hadn't seen today's RNS. Reading it though it doesn't change much, it's very clear that they will need to fund again this year and clearly before the cash runs out in 'Q4'. The point was that people were making a suggestion that as placing had only just happened it was silly to suggest another one was in the offing. Yet it's very clear that there will be even more funds needed in the current financial year. When £20m+ doesn't get a £60m mkt cap company much more than 9 months of keeping the lights on then clearly the risks are pretty damn high.

There is a lot to like about DDDD and I wish all holders the very best...I'm just not sure that they won't be diluted out of the pot of gold at the end by the time they get there. But each to their own and he who dares n all that!

A placing that they said funded them for around 6 months....that was 3 months ago. This company will need more funds and reasonably soon, they said as much themselves. Quite whether they will have achieved their value accretion before they do in order to avoid another fund raise at a large discount is certainly open to question:

"The minimum net proceeds of the Fundraising, together with existing resources, is expected to provide sufficient working capital to fund the Company for at least the next six months, which time period includes key data readouts on the first and second of the three items above. Should positive data emerge from these studies, the Company believes this will provide a material validation for its approach to developing LBPs and also serve as value accretive events for Shareholders. Management also expects that such positive data, if generated, will provide a platform for attracting new investors and raising additional capital, as well as providing further opportunities to expand its partnerships through licensing and other collaborations"

Let’s hope so Trek!

Nice to see the SP recovering. The news today is superb, as it’s says in the RNS this opens up even more markets / applications on a product that’s already being proven commercially. Grafysorber outperfoms existing tech / processes by miles and properly ranks as transformative. As we now have the correct corporate structures in place to take advantage I’m genuinely excited as the scale this tech could reach quite quickly. This is not something new being proven in a lab but a commercially proven product gaining EU wide protection that will allow us to ramp up selling and penetration into multiple uses / companies across the continent!

Add in the GiPave progress and there is clearly a lot to like about DCTA.

This company is owned 75% by Phoenix Asset Management. They also fund the huge loan that keeps this company running (at 5% over Libor of course). Then there is the related party connection with LCD a company now run (allegedly) by Mrs Davis, a company that Hornby paid £1.6m for 49% of. LCD had net assets of under £0.5m at their last accounts.
In other words the very last thing on anyone's mind in this company and it's major shareholder is the PI.

You may wish to buy some of it's expensive toys but I'd far from tempted to buy any of it's shares!

Ahha there we go....huge placing at a huge discount. The scary thing here is that the documentation suggests they expect this cash, all £18m of it, to last them a mighty 6 months. 35% dilution for keeping the lights on for 6 months. Wow.
Got to like the concept behind what they are doing in the lab but as an investment you are gonna need some serious cojones here.....

Thanks, appreciate the clarification as I hadn’t fully realised the difference of approach.

Surely more likely linked to the fact that this company must now be running on fumes....I'm amazed that there had been no comms on finances from the company since the Interim's. In those interims they explicitly stated that they expected to have funds to run to Q4 2019 and additional funding would then be required. But here we are in Feb '20 and barring a vague comment on MSD buying shares at some point on certain conditions there has not been a peep about cash.
Currently their cash position (or lack of) makes this un-investable IMHO.

Aside from the fact that our other investments are meant to herald in a era where animals are not required to be slaughtered for food in the first place (I.e. this is wholly complimentary) I think you need to understand just how energy And resource intensive making leather is. Also cell grown leather can be given properties that are not really possible with current processes like type of finish and thickness etc. In other words the savings go way beyond not having to kill an animal in the first place.
It’s also very likely that this type of cell based product will be first to go commercial at scale so more than happy to see us double up on this.

One thing I don’t get is the ‘only company in the world’ comment as surely this is exactly what Modern Meadow have been busy doing for almost a decade now.

Looking at the holdings notifications I would suggest that ASI have sold the entire EVE holding of the Woodford Income Focus fund. This would tie in with the re-launch of the now named LF ASI Income Focus Fund this week. I very much doubt that it will be re-opening with any of Woodford's dogs still in the portfolio as they will not want the drag on performance. The remaining sales are from Jupiter and Link. The Link holding is the hangover from the Woodford Equity Income Fund who's holdings were re-registered to Link.

As for the prospects of this share...to be honest I just don't see this company turning anything around. Massive destruction of shareholder value based on their original moon or bust approach and really they should have thrown in the towel before that last slug of cash from Woodford. Anything since has just been trying to refloat an already sunk ship. I hope I'm wrong and any holders here get a return but having followed this company for a long time (thankfully never pulling the buy trigger) I'm really not seeing how they can get out of the hole they have ended up in. That said if it survives long enough to withstand Link and Jupiter crushing the SP by offloading a huge percentage of the company at any price then there might at least be a technical bounce after that...but that share overhang is massive so who knows when that might be.

Absolutely see this rising further, the company has quite a few exciting irons in the fire...quite why it has today on near zero volume is another matter of course!

The connection with GSP seems to be paying off....this time a 5m seven year contract at 700k annual, last time a 1m contract for 3 months of work. OK we 'only' own 51% of Setcar but none the less they are some nice numbers.
We are also due the results of the Trident test end Feb so we could see some significant momentum building through the Setcar/GSP route as we progress through the year and with it some real validation of the commerciality and reach of Grafysorber. The addressable market here must be massive and as each contract comes in the belief that Grafysorber is a market leading / game changing product will grow and with it the likelihood that we will capture more and more of that market.

Bear...do the maths, even with the exorbitant fees this placing was accretive to the NAV. And as this is an investment company just where do you expect them to get the cash for investment if it is not issue of equity? Successful placing's to a premium to NAV is excellent news for shareholders. Fundamentally it's providing the funds for investment which will drive the long term gains.

Ahh don’t get me wrong, I agree with your analysis...hence why I am invested here.

The execution risk I see is the expansion that is required to make bottom line profit. We’ve already seen cost over runs at Hull, the 4th reactor still needs to be built and the overseas JV’s (Petronas in particular) appear to be awaiting progress / evidence of success rather than pushing ahead.

But as you say with the funding now in place we should see good progress from here and as ever the product and demand is not in doubt.

Essentially I’m suggesting we won’t see a significant re rate until we see that Hull in particular is de risked. I hope I’m wrong of course and we zoom up from here but either way I’m happy to wait for the gains to come as I’m confident they will.

Well well that’s quite something!

35% premium to NAV and £10m cash waiting to be invested...clearly a lot of hot money coming into the sector now. Raise done at 30% higher price than that done just a month ago!

OK it’s hammered the SP but then again it didn’t take long to recover from the last fund raise and you have to see this as short term pain for long term gain.

Holding long and strong on this and excited to see where the next investment goes...

Not sure about undervalued, there is still quite a large execution risk with this. But totally agree on the path to profitability...it’s well laid out and I’m hoping we see great progress on all fronts this year.
SP has recovered nicely from the fundraise after never actually hitting the placing price and we could see a steady (if a touch slow!) climb as the planed expansions and JV’s are delivered.

I’m not so sure on the plant based concept. To me cell based blows that out of the water...it’s not a replica it’s the same thing.

Plant based also needs continuing large scale industrial agri to continue in order to get all their ingredients, it does little to solve land use, pesticide and fertiliser use or water usage or indeed transportation and the likes. To me it’s just shifting the problem rather than solving it.

100% it will have a market and vegans will love it but cell based has a massively bigger use case. For example you can’t see any plant based derivatives touching anything BlueNalu are doing.

Well the SP on the up again. Doesn’t seem to take much to move this. The premium to NAV is obviously not stopping some adding.

It doesn’t take much to rationalise the premium due to the fact that you are getting access to privately held companies who are operating at the bleeding edge of a potentially globally transformational technology. That puts the blue sky valuations at many multiples of their current funding rounds. The company also has a good cash balance on hand to add further to the portfolio and might even get some return on their legacy investments if we are fortunate.

Of course that comes with risk at the extreme end of the spectrum so it’s no surprise to see some either misinterpreting that or not seeing the risk / reward as being correctly balanced.

Each to their own I suppose but I’m firmly in the buy and hold camp here with a time horizon of a good 5 years at least.

Double pedantry alert. The clock is actually 3 minutes FAST not late. Historically it was set that way to hurry people along so they caught their train on time at Waverley station which sits right next (below) the hotel.

Anyway hope all the LT holders do well in here....I'm still pondering an investment and should have pulled the trigger at the recent pull back but thought it might go a touch lower. Tempted just to jump in now but wondering if we might seem more delay and thus an opportunity to get in then?

It’s a funny old world! Anyone doing even a minutes research in this share would have known the NAV and would have understood that the recent investments won’t be revalued until a subsequent funding round (and hopefully ultimately in an IPO). It’s not like any of this should be a suppose to anyone!

Anyway no matter, while a double digit share price was nice to have these are a long term hold investment for me so not gonna worry about the volatility (unless of course of the SP drops back to near NAV where I will top up again).