Ben Richardson, CEO at SulNOx, confident they can cost-effectively decarbonise commercial shipping. Watch the video here.
As previously mentioned management has no option now but to do placing if they do not share price will keep drifting down as people will be expecting it to be done anyway. Only way for this to end is to bite the bullet. Once Company said it was looking into a fund raise it was over. Not doing it means share price will not go up as shareholders will still be waiting for it have to bite the bullet and take the punishment and hopefully draw a line over the fiasco. Hopefully fundraise will be used effectively and result in a share revaluation.
I personally do not think one needs to merge with a Company they can work together quite happily. Mergers cause all kinds of problems and the shareholders normally lose out. Too many issues to deal with including if I am not mistake that UJO is 3 times the size of Egdon. Enough problems dealing with day to day business to bring in problems of integration and office politics.
The threat of a placing will mean that the share price will not rise significantly as people will sell in to any rise fearing a placing. The royalties will still be purchased from existing cash reserves as there is now significant cash flow for the Company.
Confidence has been badly dented but as I said yesterday you can not base an investment on a daily change of a Companies share price. When you invest you are buying a part of a business. You either have confidence in a Company or not. If it is the latter you do not hold the share. As previously mentioned I would like the board to give us some indication when they believe the Company can give a dividend.
In fairness UJO do now have an income stream unlike most other Companies on aim and should show a profit in 2022 accounts which in itself a rarity. Would like some indication when the board will be hoping to pass on a dividend to the shareholders. We do not have to become a mid tier Company at break speed I would prefer a steady rise but with the shareholders receiving a return.
As long as the Companies fundamentals are solid then a temporary fall in the share price as long as you do not sell does not really effect you unless you need the money back. In the same way when house prices take a dramatic rise or fall it is not a loss or gain as it has not been crystalized. Having said that it is horrible when you are looking at substantial losses.
Uncertainty in the market is always very damaging. Whatever is decided should be communicated swiftly. I personally believe the share price has fallen to much considering the positive half year results. As Warren Buffet stated the market can fail to reflect the value of a Company longer than you can stay solvent. Carrying a 60% loss on a very large investment so hope that this situation is rectified.
I have also been in UJO for 2 years and about 50% down on a large investment I agree with your sentiments but I believe the Company has a future but starting to believe it will take a couple of years. I will be holding for the longer term. Good luck with any future investments.
I hope if there is a fund raise it is for an absolutely brilliant deal as there is no reason for funds and frankly I am sick of constantly being diluted with a corresponding reduction in share price. I hope something big is happening and MM are just shaking the tree of weak holders.