Member Info for Svend

Cev,

The golden share could help with the SMR (Small Modular Reactor) contest, but its effectiveness would depend on how it is structured and used. Here’s how it might influence the process:

Advantages of a Golden Share in the SMR Context:

Strategic Control:

If the entity awarding the SMR contest holds a golden share in a participating company, it could ensure that critical decisions align with broader strategic or national priorities, such as energy security or sustainability.

Influence Over Key Outcomes:

The golden share could allow the controlling party to maintain veto power or significant influence over key operational decisions, ensuring the SMR project remains in alignment with long-term goals.

Protection of National Interests:

By retaining a golden share in an SMR company, the government or awarding entity could safeguard against decisions (e.g., foreign takeovers or misaligned investments) that might undermine public interest.

Potential Issues to Watch:

Conflict of Interest Concerns:

Awarding a contract to a company in which the awarding body holds a golden share may raise questions about impartiality or fairness in the bidding process. This could lead to scrutiny or even legal challenges from competitors.

Reputational Risk:

Even if the decision is justifiable on technical or economic grounds, it might be perceived as favoritism, especially if other competitors feel disadvantaged.

Legal or Regulatory Constraints:

Depending on the jurisdiction, there may be rules against entities holding a golden share influencing contract awards to ensure fair competition.

How It Could Help Specifically:

If the golden share is used strategically, it could:

Facilitate smooth project execution by ensuring alignment between the company's decisions and the awarding body’s objectives.

Ensure continuity in project governance, even if there are changes in the company’s ownership or leadership.

Mitigate risks associated with private-sector priorities clashing with public good (e.g., cost-cutting that impacts safety or timelines).

However, for the golden share to truly help, the decision-making process must be transparent, impartial, and well-documented to address any concerns about fairness. Balancing strategic interests with fairness will be key to leveraging the golden share effectively in the SMR context.

ShareFlyer RR is fully incorporated and well-domiciled in the USA and does not need to open new manufacturing facilities to forego tariffs.

https://en.wikipedia.org/wiki/Rolls-Royce_North_America

Https://aviationweek.com/aerospace/aircraft-propulsion/next-gen-single-aisle-engine-testing-accelerates

European defence stocks rose 37% on average this year and this bonanza is likely to continue through to the end of this decade, JPMorgan analysts David Perry and Lucy Fitzgerald say. This is because defence budgets are rising in Europe, Asia and the Middle East, as the world becomes multi-polar, they note. Recent weakness in defence share prices linked to concerns over how Donald Trump's efficiency drive might affect U.S. defence spending when he takes over as U.S. president next month offers a good entry point to investors, the analysts say. Perry and Fitzgerald highlight Melrose, Leonardo and BAE Systems as their three top picks. Many companies with strong cash flow--such as Airbus, Rolls-Royce, Thales and Leonardo--could announce share buyback programs next year, they add. (cristina.gallardo@wsj.com)

Thegame316 I agree 100 % unless they find another skeleton in the closet before we get the next TU otherwise the BB as you say is a real bargain 2 for the price of one. I have already added and bought more on the 1st profit warning so I am still a little reluctant/sceptic now to be adding more without any proper COO running the books, So I am standing on the hold/offensive for the time being TBH.

Ahoy, crew! On the 6-hour seas report, today's trading volume be hittin' a hearty 10 million—second only to this month's mightiest tidal wave, with 20 days of adventurin' still ahead.

Yestermorn's plummet came with a cannon-fire volume of 13 million, the fiercest blast we've seen this month. Though the ship zigged and zagged through choppy waters, we charted a course and closed above the trusty 28 EMA, keepin' us steady on our voyage.

Raise the sails, mates! The market be whisperin' secrets o' treasure ahead! ⚓📈

The global SMR program is forecast to touch $72.4 billion by 2033 and $295 billion by 2043, indicating a compound annual growth rate of 30%. In an investor presentation, Rolls-Royce said it expects to generate an operating profit of $3.4 billion by 2027, with a margin of at least 13%. It also projects a return on capital of between 16% and 18% with free cash flow between $3.62 billion and $4 billion. >🚀 If It Looks Like A Treasure It Is A Treasure 🚀>

Badland because they need to comply with and live up to their name the 'Fool' 😉

Lieutenant Aye aye, mates! Noon report from the bridge: we’ve set sail from Fib Harbor 0.382, now chartin’ a course northbound after catchin’ a mighty bounce off the 200 EMA waves on the hourly compass—0800 hours, to be precise. The seas be smooth for now, but clouds ahead be brewin’ a stormy headwind, threatenin’ our fine voyage.

Our options be thus: tackle the tempest head-on, headin’ straight for the blue skies above the sacred 590 treasure mark, or take the long, winding detour through Fib Outposts 0.500 and 0.618, sittin’ at 558.36 and 548.68, respectively.

But mark me words, lads—our cargo’s precious, and time be our harshest foe. So hoist the sails, stoke the boilers, and let’s steam full speed ahead, risin’ above the clouds to claim the treasures that lie beyond! Yo ho ho, to the riches we go!

Thanks so much, Nettles—your kind words mean a lot, and I’ll gladly accept that "most awesome" vote if it comes with a pint! 🍻

Seriously though, the respect and camaraderie in our discussions are what make this all worthwhile. I’d be honoured to share a beer with you someday, especially when we hit that £7 mark (and I believe we will!). Here’s to great debates, mutual respect, and hopefully celebrating our shared victories soon. Cheers, mate! 🙌

So a new COO is being named & added to the board hopefully?

Love you too, Nettles—your energy and openness to a good debate are what make these conversations so rewarding. 😊

I really appreciate the way you refined the term "bribe" into "a donation of equal beneficial outcome"—such a diplomatic and clever turn of phrase! It’s a great reminder of how nuanced these discussions can be, and your willingness to adapt and refine ideas is something I truly respect.

Your insights about the tender process and the importance of transparency are spot on. It’s interesting to hear about your correspondence with political candidates—it adds a valuable perspective to this conversation. Ensuring a transparent process is critical not just for fairness but for maintaining trust and avoiding unnecessary disputes, and your point captures that perfectly.

And I love your reflection about personal growth and finding the middle ground. That balance between holding onto ideals and being open to other perspectives is such an important one. It’s clear from our discussions that you approach these topics with thoughtfulness and humility, which makes debating with you an absolute pleasure.

Here’s to many more debates and conversations, bro! You bring so much depth and passion to the table, and it’s a privilege to bounce ideas around with you. 🙌

Nettles, Thank you for sharing your perspective—it’s clear that you’ve put significant thought into analyzing the SMR tender process and the potential implications of Qatar’s investments. While I appreciate your nuanced approach and the questions you raise, I’d like to offer some additional context for consideration.

Strategic Investments and Timing:

The timing of Qatar’s £1 billion investment in UK climate technology and their earlier 10% stake in RR SMR Ltd does indeed raise questions about alignment and intent. However, calling it a "bribe" might oversimplify what is likely a calculated geopolitical and financial strategy. Qatar has consistently demonstrated interest in diversifying its investments into emerging technologies, particularly in energy and sustainability. Their actions align with their long-term strategy of positioning themselves as leaders in the global energy transition.

Open Market Dynamics:

While Qatar's influence cannot be dismissed, the UK SMR tender process is ostensibly designed to ensure transparency and competitive evaluation. If RR SMR Ltd secures the contract, it will likely be due to a combination of factors, including technological readiness, strategic alignment with UK energy goals, and geopolitical considerations—of which Qatar’s investment may play a part, but not necessarily in isolation.

Economic and Strategic Synergy:

It’s worth noting that Qatar’s investments are a win-win for both parties. For the UK, attracting significant foreign investment in climate tech bolsters its position as a global leader in sustainability. For Qatar, these investments open doors for influence and partnerships, which may naturally favour entities like RR SMR Ltd that align with their strategic interests.

The Bigger Picture:

Rather than framing these investments solely as a potential "bribe," we might view them as an example of how global partnerships and investments are shaping the energy transition. These dynamics are complex and influenced by multiple stakeholders, each with their objectives.

To your point about "getting back to basics," I agree—questions about fairness and transparency are crucial. At the same time, understanding the broader geopolitical and economic context is equally important for appreciating how decisions in this space are made. Your observations help drive an essential conversation about accountability and strategy, and I appreciate the opportunity to engage with your insights.

AZ > The essence of your statement captures a sophisticated, multidimensional strategic approach. While the scenario may appear simple at first glance, success depends on navigating conditional pathways ("if") and mastering external influences ("X factors"). Achieving this balance is a hallmark of a smart, forward-thinking strategy.

Hi Nettles,

My Thoughts for what it is worth:

Your nuanced view of the tender process highlights a rare intersection of technical capability, financial leverage, and geopolitical strategy. While the ethical implications of Qatar’s influence may be debated, the practical outcome—a strengthened position for RR SMR Ltd and Rolls-Royce PLC—should yield tangible benefits for stakeholders. Managing those benefits with a clear exit strategy should be key to maximizing your returns.😉

NT2Y > Realistic Expectations for RR

Rolls-Royce has every opportunity to match or exceed NuScale's performance, especially as SMRs gain momentum in energy transition plans globally. However, market dynamics—like investor sentiment and global economic conditions—will play a key role.

Given RR’s current trajectory, transparency, and the level of institutional support, its performance could very well surpass NuScale’s once SMR deployment milestones are met and confidence in long-term profitability solidifies.

Nettles, I agree Sir,

1. Pension Funds and Credit Ratings

Pension funds often require stringent justification for investments to ensure they align with fiduciary responsibilities. The legal and ethical framework for such investments hinges on:

Creditworthiness: Investments are more defensible when credit ratings are BB+ or higher. This is critical because:

It keeps RR PLC out of the “junk stock” category, which typically invites scepticism or resistance from pension holders.

It ensures regulatory compliance and provides a safety net through insurance coverage for the fund's investments.

Client Accountability: When pension holders question why a fund has invested in a particular company, a BB+ rating or above reduces the burden of justification compared to investing in riskier assets.

2. Subsidiaries’ Role in Supporting RR PLC

RR PLC has positioned its subsidiaries to progressively improve its consolidated balance sheet. This is significant for two reasons:

Central Focus on RR PLC: As the sole publicly traded entity, all subsidiary performance feeds back into RR PLC's financial narrative. Investors can only invest in the parent company, so subsidiaries' operational health directly impacts shareholder confidence.

Transparency and Consolidation: By having subsidiaries support the broader financial ecosystem of RR PLC, the company mitigates potential risks to its public-facing operations while showing consolidated strength in financial reports.

Stakeholder Vigilance and Accounting Integrity

The earlier concern about avoiding over-reliance on creative accounting remains valid, even though RR PLC’s approach appears distinct from companies like Severn Trent. The emphasis here is on maintaining transparency and ensuring that growth and profitability are substantive, not just paper-based.

CMD (Capital Market Day) Transparency

Your perspective on the CMD is particularly noteworthy:

Regimented Structure: The thoroughness and sector-by-sector breakdown of gains and losses reflect a commitment to transparency.

Live Q&A Sessions: Allowing real-time queries adds another layer of credibility and openness, fostering trust among all stakeholders.

Market Reaction: The stock’s positive movement post-CMD suggests that investors appreciated the candid and detailed communication, reinforcing the belief that RR PLC is steering clear of opaque or overly speculative tactics. 😊

Nettles, The key takeaway is that while RR SMR Ltd’s financials are currently dire, they are not necessarily a cause for immediate concern. The long-term value lies in future growth and strategic alignment with Rolls-Royce PLC. However, stakeholders must remain vigilant to avoid over-reliance on creative accounting, which can obscure true financial health and create unsustainable expectations.

The tea leaves printed cup with a handle and a breakout above the neckline 368 may point towards a new ATH for a Christmas special.

Aye, Captain Peakdread! The ship be presently anchored at position 0.382, mark 568.05 on the charts. The tea leaves still be whisperin' bullish tales for the long haul, with the monthly and weekly sails set above the slow SMA horizon. Meanwhile, on the daily seas, our trusty vessel charts a course towards the support harbor in the low 570s, where resistance once stood proud back in October and November. Should the ship rebound from these waters, we be setting sights on a daring raid above 600, with hopes of plunderin' the fabled treasure buried near runway 666.4. Steady as she goes, me hearties!