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Twix, must try harder ...
Another 2 million sell at 12.4875 at 3:01pm
If anything, it's looking stronger since the 3 big trades totalling around 3.75m shares. Maybe that's the end of it , I haven't seen any 100k sells since those landed.
We can but hope!
Florida, who sorted the debt write-off with TF ?
Three big trades .. 2 million, 808k and 950k went through at 11:36am, all at 12.5
Totally dire! Out of curiosity, is anyone here selling?
Three 100k's and a few 40k-60k trades so far. I wasn't checking the actual bid / offer at the open so not sure if the first 100k & 2 x 50k's were buys or sells, but given the following 100k sells, we can assume I guess!
Still no TR-1 though ...
Bakky, I’d only seen the aggregate £346k or whatever it was mentioned in the proposed placing when I speculated! As you say, £7.5k / £25k doesn’t justify the sales we’ve seen over the last few days so that’s killed that idea!
Yes, they will. The first google hit shows this, so they have some time to notify assuming the rules haven't changed ..
"A director of a fully listed company is obliged to notify their company of any dealing in its shares within four business days, and the company must pass that information to the market by the end of the following business day"
I wonder if the recent selling here may have been LR and / or AR raising cash to fund their buy-in to the MyHealthChecked placing ...
With the incessant 100k sales, you might not be far wrong that someone is pushing for a price!
Threeskins, did you notice that the GDR RNS didn’t have any numbers in it? Nice bump to their SP though!
Interesting tweet from Yourgene about a Coastal Genomics project - courtesy of Pedro on advfn
https://twitter.com/yourgene_health/status/1354776398238507008?s=21
Pacman, our Novacyt involvement never went beyond selling them some kit components for a few £100k ... Clearly developing our own 2 gene test was going to put an end to that relationship but even with 20-20 hindsight I think that was probably the right call. It wouldn’t have been long before Novacyt got their widget supply sorted out and wouldn’t need us. The problem for Clarigene is that others such as Novacyt had tied up the big “emergency” contracts before our test was ready - they didn’t have to a start from scratch!
It’s a bit puzzling why we haven’t sold more Clarigene recently though, especially as a 2 gene test that still detects the new variants.
What do you think the strategy should have been?
Florida, I was actually quite pleased with the deal structure.
One of the key aims was to get the IP of coastal and we’ve achieved that, another that they have a presence on that side of the pond. The up-front costs were kept pretty low and the earn-outs self funded. Whilst the earn-outs may mean there’s no direct earning boost to the bottom line until fy23, it minimised dilution and kept the majority of the raise available for expansion and / or further M&A.
Yep, I read most of that but my take was that if coastal made the 8.5m, their 4m payout would effectively be paid from the margin on that 8.5m, so whilst it means Yourgene won’t see profit from the acquisition until after the war puts end, neither is it an additional draw on the remaining funds from the raise.
It will be interesting to hear what Wallbrook have to say, if they even understand the question!!
pacman, IMO the market is distorted and even more illogical than usual.
There's been a lot of rainbow chasing with the result that investors looking for growth companies with (say) 30-50% growth PA are scarce - they all want that per week! We're stuck in the middle between the "safe" FTSE investors and the manic covid stocks, too risky for one and not enough potential return for the other.
When all the covid stocks lose their hype and either ended up with a big bank balance like Ncyt or back to sod-all business like many other gambles, I feel that investors will once again start looking for genuine growth prospects. LR has laid some good groundwork here for when normality returns - we are no longer a one product company.
Before covid kicked off, it felt *so* good here, after years of pain, the litigation and debt were sorted, we were pretty much making the numbers and growing fast with future projections 30%+ pa ... time to put the feet up, pour a glass of vino and watch the SP rise over a couple of years!
Ah well, that's one more top-up!
*or a TO
pacman, pre-covid, I've attended other AIM company AGM's, they say exactly the same when asked about the SP so I don't believe this is a Yourgene specific trait!
They may wibble on a bit about the product pipeline, growth etc, but apart from selling more **** and getting to the point of paying dividends of a TO, they get valued on sentiment and growth projections!
Florida,
at 33m15s in this presentation, LR states that the "contingency is self-funded through the accelerated growth"
hTTPs://webcasting.brrmedia.co.uk/broadcast/5f3a6136b14d872626437fb0/5f3bb3ec01eb4165c1439b6b
The placing was £15m after expenses and the HY results showed ... "Cash and cash equivalents as at 30 September 2020 of £12.2m"
I guess they've spent a bit on the lab upgrade but I would hope that most of that is still in the bank!
Florida,
"Acquisition consideration of up to US$13.5 million, comprising initial consideration of US$3 million in cash and US$2.5 million in equity and contingent consideration of up to US$8.0 million payable in cash and equity" ..
IIRC, the contingent consideration package was structured such that the margin on the target earnings required to trigger the contingent payout would cover that contingency cost.
So I *think* the only cash required was the $3m up front and the $2.5m equity dilution. If the stretch goal sales target gets triggered, which I think was set at around double the earn out, then Ygen lose the profit on that $16m but it doesn't eat into the £12m in the bank