Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Think companies will be reluctant to sign multi year deals with a business that currently doesn’t look as if it can last beyond 2024. Without a lot of new signings there is no way that they can meet their forecasts. Have signed 2 new contacts in last 4 months - one tiny.
Institutional investors can sell too, including those who bought at 50p. The lack of any announcements of new contracts in the RNS cannot have helped the share price.
When is the FCA report due?? What penalties can they impose? Can shareholders who were mislead by the announcements of contacts expect any compensation.
FORECAST closing cash position as of 31st December 2023 of $16.0m to $16.5m. ACTUAL end of 1st half cash $3.2 plus $30m fund raise - means a cash burn in 6 months of $16.7m - if the forecast is right. Will the company need to raise more cash and if so at what price?
RE RNS: Results for Jan -June will show current rate of cash burn and if the business has enough cash to be likely to survive - and surely management will comment on current trading. From the annual accounts said high $5m creditor figure included bonuses due. If they have been paid after what has happened then everyone should sell - the company is doomed!
Only 'cos I sold holding at 120p - mostly at much, much less than had paid for them - though had bought some post fraud debacle, at £1 - the lack of any news persuaded me to sell.
On the contrary - listen to everyone and make your own mind up. The lack of announcements of new contracts (only two this year) has been worrying, especially as they promised to post details of even small contracts. No trading updates even at the AGM clearly caused the share price to weaken. An update is promised on Monday - it may change sentiment here and send the share price back to £1 or down to 50p but no one posting here knows what it will say.
OR - some of those who bought at 50p are selling.
Manifesto how do you explain the share price since the AGM? Share price 30 August: 83.8p. Share price: 6 September 70.8p – down 15%. The market clearly didn’t believe or didn’t hear the VERY BULLISH STATEMENT AT THE AGM. The best way of giving the market information is to use the RNS system.
I admire your optimism. Company had $19m cash at end December but owed $5m - largely ‘cos of bonuses due !! Raised $30m but unless sign 100 new contacts the size of the GM contract every year will still need more cash soon.
Unless the 1st half results are published soon (last year was 6th September) there is nothing to stop the price dropping
Good to hear that sales are over £1m a month as this is much higher than the £600K a month average for the last year which are the latest figures released by the company. Would help the share price if the company issued an RNS confirminf=g this and the pipeline of new contracts that people who went to the AGM say they were told.
Companies are unable to give out any information that could influence the market at an AGM unless they have previously issued a RNS so that all shareholders have the information. Very odd to hold an AGM without giving out a market update.
I will be staying away from Wandisco or whatever the new name is.
Price 6th October was 495p - don’t remind me!!
Almost 2 months since last half year ended and no trading statement ( last year was issued 11 July). New CEOs have been known to “kitchen sink” their first update blaming the previous management for the difficulty of the task ahead. Though what any trading statement or first half results (last year 6th Sept) will do to the sp is anyone’s guess.
Company has issued 47 million more shares since share price was £3-£4 and the turnover is still less than $10m. New CEO said would announce even small contracts, but since beginning of July have been no announcements and that one was for less than $10k. I will wait for some actual results that so there is a significant demand for their technology before getting back in.
From the Annual Report: "Any new sales executives joining the business, in a rapidly changing marketplace, may take longer than expected to reach full productivity in concluding sales transactions." Think you should wait until at least the end of the year before considering getting back in.
A Wandisco salesman must have a job getting his or her foot in the door “Wandisco , we had a chap from you last year. Told sorts of lies, said I had agreed an order, nearly got me fired” Name change urgently needed - but the potential customers aren’t daft- will be a very difficult job to get any business at all.
Unlikely to be new orders in August. Everyone is away and after the fake orders debacle will have to be real - signed and sealed. CEO has said will report even small orders and the last one was just over $7k on July 11th. Should have held the AGM at the end of September.
According to the placing document Wandisco is aiming at 10% of a $2bn market. Gross margin is expected to be 85% and overhead costs likely to be 65% of revenue. So IF market is $2bn and IF Wandisco gets 10% of the market (current share is $9.8m out of $1.4bn) and if costs and margin are correct Wandisco will be making $40m a year. BUT that is in 2028 -5 years away.