Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Gibbo me old friend, surely you’re not going to pull off a NickE and keep us in the dark whilst tantalising and toying with our emotions .. I expect an Egypt esque fact sheet posted on the boards by tomorrow noon, giving you enough time for an evening swag with your local MP tonight down the boozer :)
The contract has been signed.
And if speed is the worry of the client, the company with whom they have been negotiating with for the last 3-4 years, and subsequently signed the contract with, will surely be the quickest option, rather than to go back to the drawing board with tenders, legal fees, consultation periods all over again etc. . . wouldn't you would have thought? :)
Morning Gents,
Thought I would check back in as it has been a while, just to scribble down my thoughts following all RNS communications post May;
- The signed mega deal with Iran was sensibly placed on hold due to political factors out of the company and clients hands
-The last three updates surrounding the Iranian contract have all specifically alluded to the 'SPV' as being a, if not the the, critical component to what both parties are waiting for,
-This has now been placed in motion
-The acquisition of KeyGuard, strikes as being a mutually beneficial deal for both WSG, and the previous owner (who in no doubt is likely to be a former acquaintance of the Fowler household somewhere down the line)
-The deal will be set to increase turnovers and revenues for WSG for a very low initial investment,
-The acquisition alone shouldn't be enough to increase the SP, however its a smart, albeit modest business move, in an area of their domain, highlighting a company who is now making more intellectual decisions, combined with strengthening the business and adding to revenues,
-The African MOU outlined in the Dec RNS, is no doubt in my mind the second MOU that was discussed Jan 18.
-Regardless of research and projections of financials, another managed service contract is another managed service contract, and WILL strengthen the SP
-The latest communication detailing that the contract had now been signed by WSG 'at the request of the client', is a key indication the client/ department of the client, is ready for the go ahead of the contract, however of the understanding that their end is of a more complex structure in terms of sign offs, (a government) therefore with the WSG's intention signed and sealed, this will help expedite the process, and reduce the unavoidable further delays/travel times/meetings with a joint signing ceremony
-For me there are two imminent managed service contracts about to land, one of which we are aware of the financials, which alone is set to be transformational
-I believe there will likely be some form of bedding in/understanding of the SPV required before the Iranian contract will officially be underway, however going off the reports from 2017/Q1 18 of the 'urgency' to start the contract, this would seemingly be even more urgent now, nearly 2 years on, therefore again, a process set to be expedited
-Without even wanting to hazard a guess towards the time frame of the African MOU,(we don't know when the clients current security contract runs out) the aviation industry is a competitive, dynamic, fast moving industry, therefore no matter where in the world your airport is, the sooner you have agreements and contracts in place, the better.
Shaping up to be a really positive start of what I believe to be the turning point here, and a low SP shouldn't take peoples heads away from the facts we have in front of us,
Hope all is well with everyone . . I still read daily, but will start to chime in
DHC you do amuse at times, Im off to buy a lottery ticket weds, so if I pop round and look at a few fancy show homes well out my budget in some plummy home county later on in the day, according to your logic, my numbers are 'definitely' going to come in, right? I wish I'd have known this all those years ago ;)
Dear knows how you've stumbled across finding PF, or an uncanny lookalike at the very least, in that video . . what quite do you get upto in your free time!?
Best
Afternoon all, just checking in after a while away from positing on the bb . . I have been dipping in and out infrequently as I'm sure many others have been aswell, but while we are seemingly tied up in the middle of this political warfare (after years of waiting you really couldn't have written this scenario as a better predicament for a WSG shareholder to be caught up in), I really don't feel any amounts of research, despite how impressive it has been at times, will have any real impact on the SP untill we signed letters on the table, and the RNS we all want.
The optimist within feels there are more positive signs out there in the media than negative, suggesting we should be in a strong position to bring this home, but I think generally the way AIM is at the moment, the market wants concrete proof, as opposed to the rumours, guessing games and interpretations of news articles and research which once upon a time would be strong enough factors to cause the rises and dips we have all witnessed.
I feel the US's focus on Iran at the moment is a move, and more than likely there will be some alterior motive that will play out in the future because of this... with that in mind, I strongly believe that there will be a positive resolution eventually, whether thats in the shape or form of a new JPV for instance, who knows.
However in the mean time, with the UK's and Europes stance, WSG and PF have no reason whatsoever not to continue with this planned project in the light of whatever sanctions the US are imposing. We have no business in the US, and it would be ridiculous to turn this opportunity down in the mind frame it may limit us with US based opportunties in the future . . with the size and magnitude of this contract, WSG could stop trading with every other business they are currently engaged with, solely focus on Iran, and still have completely transformed their company around.
That alone speaks volumes about what we are hopefully about to embark on in the not to distant future!
All the best to everyone, heres hoping for another festive boom ;)
DS
I really have seen it and heard it all on this board now. I’m sorry but this one has to be the all time fav, WSG breaching market rules and receiving secret loans from PF’s kids because they can’t afford to pay the wages 😂😂😂 Amazing. It’s a good investment to be fair ... Because your old man will slip you a few k of free shares in the long term. 👍🏽👍🏽👍🏽
Joe if you had the choice of being able to be given shares for free , or purchase them out your own pocket, what would you choose? And what sort of remuneration would it be of PF to expect the guys in the trenches to purchase them after all their hard work? It’s like owning a theme park park, bringing put a brand new rollercoaster, then expext your wife, kids, and employees who helped make it happen queue and pay to get on like the rest of them. Regardless of your argument , it’s now a direct, personal gain incentive for all involved to see the SP rise.
Joe - the fact that the directors have been able to deal, makes it crystal clear that we know as much as they do RE. the political situation with Iran. They have released info to the market that the contract has been signed, and subsequently 2 contracts with Iran have now been placed on hold - the irony in all of this is that due to Trumps withdrawal, and the SP subsequently heading south rather north on contract news, has now allowed the directors to get in at 13p!!! Never in their wildest dreams must they have envisioned that when they would finally be allowed to deal again, would it be at 13p LOL! Great reports coming from both Tehran and Brussels regarding noises in which direction we look to be heading in, I believe it to be a V interesting summer for us WSG'ers! All the best for a warm wknd GLA
That is a good article, one of the most in depth I’ve read in terms of providing an insight into the mechanics of how the Iranians conduct working with foreign businesses - we can all appreciate the complexity PF has consistently alluded to. Ironically, it’s even more beneficial for Iran now that WSG fit the small/medium business bill , as it seems as though they’re going to struggle working with large international organisations in any sector.
Just done a bit of reading up on her and see this as a very interesting update. Someone with her background and experience wouldn’t get involved in a co. like WSG at this age unless there’s plenty on the horizon
You invested in a high risk, volatile stock on AIM which is hugely politically sensitive. The only reason that you, me, and the rest of the LTH's here have been able to speculate about multiples of the SP when 'the big one lands' this past year is because equally, there is the potential for a downside. This isn't a main market security company who enjoys the luxuries of working in the high flying airports of stable western world nations - this is a small company trying their best to make a dime for themselves by targeting areas of the world where most would fear to venture, despite the clear financial gains that are there to be made. So to remark that you wouldn't have invested a penny last year knowing Iran was the location, suggests to me that either you were blinded by the lights of the Oman hype, or you weren't really fully written up on what type of company and markets WSG have both the desire and capability to work in just now. With an SP of sub 20p and a Mcap of 15m - signing a contract of that magnitude in Iran where the potential is as PF states 'transformational', is without a doubt a massive accomplishment. I'm not going to sit here and ramp away saying it's all plain sailing from here onwards, because clearly, there's a new found obstacle course to be politically tackled now, which again, the BOD will have no control over whatsoever - and is going to frustratingly require further patience from any long term investor who is still holding out for the multiples we have all envisioned. If the go ahead is given to us from the UK/EU (which I personally think will be the case), don't for one minute think that something won't happen within the next 15 years to de-stable economic certainty between the West and Iran - its simply always going to be the case unfortunately, due to what .. vast cultural differences, power struggles, oil pipelines, the need for war etc. etc. - however; It will transform WSG It will lead onto operating and working in more of the 58 remaining airports It will generate revenues that blow any form of current revenue stream out the water and most importantly, IT WILL demonstrate to larger airports, and nations a like that they have the capability to 'do a job', and clinch further, more lucrative contracts going forward. Stick in, it's all part of the fun and games of AIM. If it was as easy a case as buy in at 13p monday and sell at �1 friday, we wouldn't be the only grumpy old buggers lurking these boards day in day out :)
The contract has been signed. Thats delivery of a 24m Euro p/a contract, recurring for 15 years.
I think that there is too much political sensitivity at stake for this to be dragged out over months - That and the potentially huge financial losses for companies and economies alike within the EU, I see there being quite a few politicians eager to get this resolved ASAP. There's no way IMO the rest of the nations are going to let this one fall through the net after years of trying to get Iran a bit more on side, gain some clarity on their nuclear situation, and subsequently hugely financially benefit from the increased trade, just because the little orange man wants to polish his ego a little more.
Articulates the naivety and inexperience of the Trump administration, as well as highlighting the irony of how the US's withdrawal is more likely to in fact create the instability Trump and co. claim to want to avoid; http://foreignpolicy.com/2018/05/21/pompeos-iran-nuclear-plan-is-a-pip-dream-trump/
Americas politics really are at an all time low with this parody bunch in control. The fact that they have came out in sheer aggression today with statements such as said nation will 'battling to keep its economy alive' proves to everyone, that this is much more than just discontent with the nuclear agreement in place - it's an attack due to the establishments underlying dislike of Iran. Like the UK, the US is far from the power nation it liked to think of itself once upon a time, and aside from being directly affected by these politics now due to my investment here, I really hope the EU, China and Russia stick it to that orange ***hole and co, and come up with a great resolution for company's and countries alike to continue trading there. I really can't see the rest of the nations at stake here bowing down to this move from the US, in particular relevance for us at WSG , it would show a huge sign of weakness on behalf of the EU (the whole strength in numbers concept would be completely undermined). I guess it's going to require more patience for us LTH's for now, but heres hoping the additional contract that was mentioned earlier in the year will be converted in the mean time, and the other elements of the business will continue to tick over nicely. I have faith, and the end goal really will be worth it DS
I see my investment in WSG akin to forgoing a Buddhist education learning patience and virtue! This and 2 of my other holdings have all had their ‘big news RNS’ delayed for a year now ... luckily as im in a position to sit and wait, Despite it still being agonising at times, if I wasn’t .. I’d probably be as miserable and as Sad as you Joe! :p
The link wasn’t taken down, you just needed to be signed into your own LinkedIn profile to view it
I don't trust the actions or statements of oil companies who potentially have far more to gain siding with the US, as being an indicator that the Iran situation is starting to crack. What is important to us as WSG shareholders are the actions of the UK, EU, Russian and Chinese governments - this is going to be the decisive factor for us to continue our trade and get the contract operational. 'Mogherini confirmed that deputy foreign ministers from the three European nations and Iran would meet in Vienna next week for an "experts talk." The proposals will address nine key financial areas, including maintaining economic ties with Iran, ensuring Iran's ability to sell oil and gas products and protecting EU companies doing business in Iran.' A summary after Tuesdays meet up with Boris and co. - next week in Vienna will hopefully shed some more light.
Snippet from a post of mine from July last year . . anyone would think I had a crystal ball ;) 'So for example, if the airport turned out to be let's say based in Iran - ok great we'v got the contract, great we'v got the figures, but due to the political sensitivity of that place with the west for instance, it certainly wouldn't be as let's say 'comforting' sitting back and watching our pots grow over the years to come as perhaps somewhere like Oman would provide. ' ANYWAY. Those slating the BOD are just plain ridiculous. They've signed a contract worth �25m p/a with a hugely populated nation, owning 60+ airports - how is this in anyway a bad thing? Yea its far from the most politically stable nation in the world, but if the offers there, the offers there - a small company like WSG are hardly in the position to turn down that type of business. They government hurdles and delays upon delays all make complete sense now, and the contract has been signed - if anything this should increase sentiment for the BOD. Yea trumps thrown his toys out the pram this week, but he's just got a chip on his shoulder with pretty much every deal the US has signed before he was instated, just the kind of geezer you're looking at here. What would be an issue, would be if the rest of the nations were equally pulling out and placing sanctions. And this isn't happening, and it doesn't look like it'l happen either. Balls seemingly in WSG's court now in terms of the contract anyway - I'm sure they'l be following plenty of advice from the right people in the Gvt. and monitoring it like a hawk - but what I do know is that neither WSG or the UK gvt. are going to want this to fall through. Expecting good figures on the 25th May, and look forward to hearing more updates from the company surrounding Iran and the other contracts they are currently pursuing.