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The 5063 trade made a very small profit on short term trading. Bought on 17th at 19.75. Hardly worthwhile but I guess a profit is a profit

Bid is the situation worth the drop last week . Ethernity are just going through the normal funding process. The MMs gave away loads of cheap shares last week. Thank you MMs.
The EGM will signal a opportunity to tell us how they intend to proceed. I don't think that they will have any trouble raising funds, they don't need much, they are in a excellent position within the market. They are in a area that understands the tech and the business. It's the AIM that doesn't hence the poor valuation since January 2018. This has provided an excellent opportunity and I am very happy to watch this play out.

"We have followed Ethernity's progress as a solution provider for the burgeoning 5G network providers in China. We are confident that the ACE-NIC100 will be instrumental in enabling deployment of optimal 5G performance."
Nice words. I believe that many devices we haven't even thought of will be connected through Ethernity devices. This acceleration and flow tech in the 100 will be the most used and will see the 40 only for very specific installations. Ethernity will advance to 400 over the next year or two.
However where Ethernity really make the money is in the firmware and virtual solutions.
As I have said before this is near 100% profit. The virtual and firmware is a data transfer and download all completed from Israel. As the portfolio increases solutions will broaden and the products will be rinse and repeat at no cost.

Don't be a muppet

Techtronics. A big name to be associated with. The up and down stream sales is really key to channelling users to the ACEnic-100. Ethernity ACEnic-100 will become the mainstay of many products in the relatively near future. This deal opens China up for thousands of smaller manufacturers that will bring volume to Ethernity as well as the upstream manufacturers like Sony.

As of Wednesday negotiations were continuing.
It appears that when they say a x cash advance that payment may be milestoned.
I think that they have a few months to deliver funding but I suspect that it will be complete very quickly. Certainly it has had a huge impact on the share price.

Certainly it's achievable value but much will come from dividends. The margin beyond breakeven will be near 100% because selling a million units costs no more than selling one. Ethernity are on a royalty stream with third parties. Manufacturing and installation are third party functions, Ethernity just get paid for the access to the tech. Ethernity then sell specification enhancement and bespoke applications.
So with the cost base and human resources set once sales increase the company will be producing huge amounts of income through royalty. The royalty is not just at point of sale it is ongoing annual like a licence to use the solution. The solution is dynamically customisable and upgradable so Ethernity stream new products into the hardware to create virtual products.
Fixed costs and recurring revenue means that profits will be huge and expenditure will have strong visibility. Therefore we can expect the directors to reward themselves and us with substantial dividends. In fact dividends I see as the majority of the return over the extended period. Certainly in 5 years I think £2 annual dividend is very possible. Personally I expected that to be obvious by now and the market to have latched on to the numbers. I had expected to enter profit by now but the whole market moved much slower than many expected. I think that we are two years behind but it is coming.
On the positive side had it moved like I had expected I would be sat on 40k shares instead of 200k so I don't fear dilution.

The 11 vacancies for jobs at Ethernity doesn't look like a company about the go bang or in decline . Human resources are the biggest challenge to staying ahead. Israel is loaded with talent and opportunity. It is a oasis of hope and a really vibrant place. I love to visit.

Who is selling to Asia? There won't be any retail selling to Asia it simply doesn't work. It is the vendors that sell locally. Ethernity are in the mass market but have very defined products that insert well into vendors offering. When they sell Ethernity sell.

Major Chinese investor would make US deals much more difficult. I see the result within David's peer group

So they go into administration with all the partners and others reliant on Ethernity ongoing support and delivery, absolute nonsense. BS that they haven't even started looking or were banking on the grant. It was clear that they didn't fit the criteria especially when they said that the disruption of Covid 19 was minimal.
I hope that there isn't a placing for funds at this low price. David will look a bit silly after making a full disclosure and buying shares at 40p. He certainly won't be diluting himself at 130p
There are many potential sources of funding from associated parties or partners, from institutions in Israel from the directors themselves. In the form of finance against contracted royalties.
When they called the EGM they had applied for the grant so if they were banking on it why call the EGM.
This business is very strong and Israel supports tech businesses especially those who supply Military and 5g.solutions.
It is perfectly normal to hear nothing about the finance arrangements before the EGM. They have cash and a facility to advance income streams so good for a few months however it won't take that long.
This matter is distracting from the job at hand. The market is moving quickly and Ethernity are moving quickly with it. We approach a high news zone. It may be that this sector is not for some if they don't understand what is happening.

The EGM is a vote about the right to issue more shares. Details of the funding however gained won't be issued until after or the vote will be about the funding not the right to issue.
They made the EGM decision long ago well before they made funding efforts. How do I know? Because David would not have been able to buy any shares with that inside knowledge. He disclosed, he bought.
The right to issue may actually not be required right now who knows but it is a simple process. We will hear immediately after in my opinion. I hope it is not a share issue based on the previous x days but it could well be. Even if that is the case the market is so huge £10 a share is still very possible once profits stack up. I can't emphasise enough that globally the market is huge but it has not started yet. One contract already delivered could produce multi millions without Ethernity lifting a finger.

Yes just the usual what can and largely can't comment on. Appears to be business as normal. No comment on the share price etc. Market update in due course. Directors dealing with the matter diligently etc

So when challenged over the finance situation they company reply assurance that the directors are dealing with the matter diligently.

These will be largely new pipeline products and additional applications. Certainly the NFV and 5g market is where the immediate developments will be and where Ethernity has market leading often unique products or features.
I believe that they are developing a avionics solution for military and commercial to allow for remote compute within the avionic environment. It will be a big sector but as we see Aviation is on holiday at the moment.

Equally there was a 9500 yesterday morning. Easy way to lose pocket money

Plenty of those around. On to todays big story.

25k share sell out if the gate. WINS look like they want to take some at 20. Maybe they see a opportunity to balance from some of their sells at much higher prices. It is a lottery with just 4 MMs and low volume.

I would definitely like to take part in a rights issue even well above the market price with other benefits attached. I don't see any risk with the finance just the cost. So for me the lower my average the lower my risk as it is closer to any funding price.
I don't know exactly how they will resolve the funding but I suspect that it will be a combination of solutions including Directors and probably a Israeli institution on the government backed investment guarantee.
The viability of the business financially you will only see once the market matures. I can say that even if Ethernity play a small part putting their solutions into vendors products it will be many millions of recurring royalties. There business will then be progressing the products installed with additional features and increased performance each of which can be sold on with zero deployment costs. This is a near 100% profit margin business beyond breakeven.
I don't think that Ethernity will sell themselves rather act through vendors as routes to market are established and trusted. Looking back tells you nothing. The future is huge and Ethernity are certainly in the top flite

The two 22k look like a bed and isa or similar. I think for many it was simply averaging down. I have appetite for a bit more of that.