Member Info for Verulamium

12.3% discount to NAV. The dilution doesn't happen until 1st Dec (and it's not really dilution if you take up your 48p shares, as the note in the RNS every day points out) so the diluted NAV is meaningless before then. Last year I think the NAV widened slowly for about a month before 1st Dec, but if the price keeps racing up like it has been the widened NAV will just be a bit of background noise.

I've exchanged messages with ii about this. It's been the same since the consolidation - they haven't linked the new Key Information Document, which you have to read before trading, properly. I pointed out that there might be some logic in this if you're buying (though they've had 6 months to do it, so it's rather poor) but to keep you locked in to a share unable to sell because it's "high risk" seems rather counter-intuitive. OK, it's only a minute on the phone if you happen to have all the right info to hand and aren't on the train not wanting to read personal info out loud but it's removing the point of easy online dealing for no reason other than their own inefficiency.

Funnily enough I listed my control panel for a copper concentrator on eBay for months and no one was interested. I'll dig it out of the loft if Leon's doesn't turn up soon.

AJ Bell had indeed misclassified it - something about automatically flagging new issues as complex. Sorted now hopefully.

Bought a few this morning after strong endorsement by Dom Frisby and Gervais Williams at the UK Investor Show (and a bit of my own research of course). No problems with one broker, but with AJBell I had to self certify myself as being grown up enough to cope with Complex Financial Instruments. Am I missing something or have they just misclassified it?

Obviously talk of £200M market cap at this stage is ludicrous, but the question is what would a reasonable market cap be if Toople was a going concern? Greg's first job is to get them to that stage - breaking even and some route to paying off the debt at the end of the year. £20M market cap doesn't seem outrageous. The 18 bagger claim is nonsensical as there's going to be massive dilution for current holders, but that still leaves room for a 5 or 6 bag. Possibly.

New ISA day tomorrow too, so any profit taking is likely to be matched or exceeded by people putting more in.

Non dilutive if the lenders all slip into a coma and don't actually convert before next January. The odds of that are roughly zero. Massive dilution otherwise - including warrants the conversion price is 36% of the lowest price in the period before converting isn't it? I think I'd have lent them a few quid on that basis - hard to refuse. Combine it with a bit of strategic shorting before converting and they're laughing all the way to the bank.

Ah, they're amazing results now. Just how bad would they have had to be for anyone here to admit they're bad? Even the biggest TOOP bears weren't expecting revenue down to £3M. Shocking.

LOL - all the contracts over the next year? Nothing announced that suggest a decent increase in turnover compared with last year. Nothing that suggests that they'll be able to pay off the loan at the end of the year without a substantial dilution. We'll find out in a few weeks, if the current auditors are willing to sign off the accounts. I'm sure they'll find someone less fussy eventually if they won't.

"The company does not announce small wins". On the contrary, history shows that it does exactly that. Every year it builds expectations of growth based on similar announcements, and every year those hopes are dashed when the actual numbers come out. Revenue of £3.5M plus should certainly be on the cards (still £1M or so less than the combined TOOP and DMSL turnover at the time of the takeover) - but they need £6M or so to break even. Then there's that loan hanging over them...

£1M or £5M? LOL - nowhere near either of those, obviously.

Certainly maqsood. Moving from a monthly loss of 110k to a monthly loss of 105k is "moving the company towards positive cash flow". If they'd meant "soon" back in March, they'd have said "soon" (it's your word, not theirs) and there should have been an announcement by now (7 months later) that they were cash flow positive. There hasn't been, and they aren't, as the results will show.

Could you point towards where they said "cash positive soon" maqsood? They said "moving the Company towards positive cash flow", but that's a very different matter. That was in March, I don't think they've mentioned cashflow since. The figures from the March trading statement have already been included in the interims of course, so it's continued progress above and beyond that that's needed.

I've got a huge holding in a major manufacturer of exclamation marks, so I do very nicely out of your posts. Please put every penny you've got into TOOP maqsood. I wouldn't wish what's going to unfold on anyone but you.

Don't worry Maqsood, I've checked the financials, which is why I wouldn't touch them with a bargepole. Remember that there was a "transformational" takeover a couple of years ago, in which they managed to reduce the combined turnover of the 2 companies by £2M or so. Transformational indeed.

To expand on my fag packet - turnover of £3.5M leaves them losing about £1M a year...allowing margins of 33% (very generous) an extra £3M of turnover will leave them breaking even. An extra £4.5M of turnover will leave them in a position to pay off the debt. All very approximate, but entirely theoretical as they won't come close.

Remember that in 2019 Dave Breith, the co-founder of TOOP, accepted £150K from TOOP in settlement for the £750K they owed him. It's beginning to look like a very wise decision indeed.

In profit this year? Meaning the year ended Sep 30th ? If so, that would be quite some turnaround since the interims. If you mean the year ending Sep 30th 2022, they certainly need a good profit, as there's the £1.6M debt that needs paying off at the end of next year.

The back of my fag packet suggests £6.5M turnover needed pa for breakeven, nearer £11M to generate enough profit to tackle the debt. It ain't going to happen.

Some dilution, with more to come. A consolidation too, as they can't issue below 0.067p.

That warning is in today's interims, along with the other risk factors from the prospectus. It's always worth reading the prospectus, it puts you off buying shares like TOOP.

Perhaps no. It's only just begun.