Member Info for Silverblade

So - 27 days until we hear what's really been going on - assuming Baines will want to offload previous issues to Salter's account. IMO the two core businesses (POC and Central Labs) should still deliver FY 2022 revenue in the region of £41/42m; with Life Sciences about £4m. Expect to see a further H2 drop in Contact Manufacturing - possibly in the region £10-12m; with Lab testing reaching £4m. With some minor add ons all in we should be in the region of £ 62/£64m give or take. EBITDA should hold steady - but PBT likely to be hit with exceptional costs. Still no idea who sold/bought tens of millions of shares a couple of weeks ago.....SB

Quite a bit of optimism being expressed here now. Market cap has now doubled from start of year. SB

Italian - the 1.6m delayed trade was made shortly after a 400k trade - both were trumped by a 1.9m (£1m) trade around noon. Look like purchases. SB

We do seem to pick them eh Vigneron. Different dynamic in each business - but both do feel like they are verging on being classified as typical AIM investments and as such come with a fair bit of risk. SRC's team seem to be more capable of executing its plan - but we are now in a position where we can no longer tap the capital markets and as such are now issuing highly dilutive share placings to continue the growth story. The senior management team are exceptionally well paid (look at the composition of the remuneration committee and the 125% annual bonus over base salary) and in total have 4.6m shares through purchases/placings v 25m shares under option via the 2021 LTIP. I will be very interested to see how the company's debt profile is being addressed and more specifically as you note what the company is doing to address shareholder returns. SB

For once it’s not just gravis - HICL, JLEN and INPP all down in last few weeks. 20% down from last year high despite a growing NAV. Armageddon aside there has to be a good chance this will stage a minor recovery soon. SB

Price was 61p a few weeks ago before market got wind of fund raising….raised £30m and wiped £45m off market value. SB

As previously noted, any corporate purchases are limited to the amount of money capable of being raised in cash or placings - although the disposal of non core businesses is also being utilised. This latest event highlights the operational focus from management which has been noted by others. What remains outstanding is any thought to investors - certainly in the short term - and a near 9% dilution to shares in circulation to purchase what appears to be a smattering of low value businesses, accepting they are being purchased on low multiples (wonder why). There is a real dichotomy developing here - stay in the hope management can somehow create some investor value; or accept they simply have no regard for such and are focused on their 2024 options which have a limited alignment to value creation. IMO - any fund raising should have been used to pay down some of our significant and expensive debt which would allow the establishment of some type of investor return from the resultant increase in free cash flow. SB

Flip flop….or something else really small….SB

I’ve been filling/averaging down for some time now donmac….what I’ve got left in the tank would be lucky to fill a flip flip :-) SB

Thanks for the update donmac - or non update as it happens!! There is more than a touch of irony with all the stocks you mention unhooked that they are performing so atrociously at a time when the FTSE is breaking record highs. The risk weighting being applied to the healthcare sector is such that many companies will simply be unable to raise capital for potentially game changing treatments for patients and health spending budgets / irrespective of the positive story. In such a toxic atmosphere lack of communication is perceived as badly as poor news - such as we have seen here and elsewhere recently. Good science and successful commercial thereafter seem to be moving away from each other - certainly for now. SB

This is getting to a point of no return - lack of any update whatsoever from the company has created a market with zero appetite to buy. What on earth is going on? SB

£250m - yes that’s correct £250m - of shareholder value lost in less than 18 months - 2/3 of the business valuation. Even discounting for the covid boost that’s still absolutely dreadful. Incredible corporate mismanagement and all triggered by a badly concocted RNS with no follow up reassure the market. SB

Based on the latest available info on the company's cash balance ($31m at 30.09.22) and likely cash burn of c.$10m a quarter, the £20m placement provides funding for Q1 and Q2 of our 2024 fiscal year ie the second half of calendar year 2023 up to 31 Dec 2023 (obviously if sales take off this year we will be in a better place).
Reading the Placement RNS again there are two interesting points to note. The first relates to the 'Registration Rights Agreement' entered into with Jefferson - I am not familiar with these 'rights' so had a look - and it appears to mostly grant early stage shareholders (in this case it would be Jefferson) in private company's with certain rights when that company is made public via an IPO. As we know - RENX is already a public company traded on two exchanges (LSE and Nasdaq) so I wonder what these 'rights' are for. Could it relate to a wider plan to raise further capital later this year once the company is derisked further (FDA, Medicare, Revenue increasing); and the $20m is to support the company get to that position - and provides Jefferson with an early return - possibly with a full nasdaq listing given they now hold 8% of the business. Jefferson can also appoint a director - which ties in with the reference about the need for more diverse representation on the BOD - perhaps alluding to a more commercially/financially focused team who could navigate the company's growth plans. If anyone else has any knowledge on 'Registration Right's' jump in - perhaps I'm heading down the wrong path but there is likely more to this placement than a simple short term cash injection. Also note - another c.10% was collectively picked by existing institutional investors of the company. SB

Tony J made a $100m donation in 2019 to fund a new AI research building in New York for Sinai, and was chairman of the finance committee for Mount Sinai Hospital System. So there’s the link to RENX. Let’s hope he’s a smart investor! Would be interested to see how Randy B views this move. SB

I wouldn’t rely on the buy sell price at the moment Scooby - could have been a delayed trade. There is no price support evident for now from what I can see. A decent set of results should have seen us trading in the 50’s. Instead we are 50% below - meaning we need a 100% increase to get back there. Any directors buying at this level…..SB

Apologies - as ShearC notes it was more like 50% of the ADR's (which in total represented 15m shares). Might be a connection with Sinai - New York. Wonder who they will appoint to the BOD. You have to think this investment has been made with some degree of inside knowledge re current trading and expected milestones. SB

Randy is still optimistic and supportive - he's betting big here from what he says. Jefferson Capital appear to have picked up all the placement ADR's and possibly some of the ordinary shares (I cant see any previous ownership). So private equity business now a major holder behind Sinai and Harwood. SB

It’s contagion unhooked - it appears the actions of Harwood/Mills are impacting on everything health related in their holdings - you may have also noted they took Sourcebio (SBI) private way below a recent placing which cost shareholders heavily. It’s simply bewildering how the wheels have come off all at the same time. On the basis it’s been nothing but bad/poor news - Vrci shareholders are right to expect the worst given the lack of any update. I hold Niox too - another in the stable / although that reported pre Xmas and was actually ok - although they have been through a time in the last two years!! ATB - they can’t all be lemons surely….SB

Hawker - I do get the need to put some perspective on this weeks need - and appreciate it was not all disaster level feedback. However / comments such as “ The Company will recognise large exceptional costs in 2022” for me are akin to a profits warning. In H1 2022 the company made a £1.6m exceptional provision - which merited no ‘large’ narrative. Makes you wonder what’s coming. Further / given the level of cash flowing out the business, and bearing in mind our H1 earnings were already suffering - our full year earnings are likely to be below our dividend payout which raises the possibility that will require to be reviewed. The fallout continues and still many issues to be fully addressed. I hold / but as others have commented this is becoming a familiar tale of Harwood led stock fails. And to now blame COVID given the positive impact at the time - truly bizarre imo. SB

I think they are hedging unhooked - just in case FDA gets delayed and using the recent price increase to raise cash. Will be interesting to see how much Jefferson have invested - they will have driven a hard deal hence the large discount. Let’s see how nasdaq reacts - the blackstone influence should not be underestimated. SB