Aquilo Share Discussion Threads

[ibarty] 06/8/2007 16:36

Must admit that I am surprised the market has pushed this share down. ITS was only bought last year for 1.5 million so why should it be sold for more now when the business has gone nowhere, esepcially if as is suggested above they are force sellers? This will lead to an awful lot of debt IN aquillo. Maybe airs has a lot of promise but can it really afford tro bear the group debt?

[aleman] 06/8/2007 10:28

Well that is good to see - no panicking. I suppose the type of investor that might panic sold out long ago. I'm certainly hanging on to see what they have to say next. Has there been no media coverage, yet?

[philjeans] 06/8/2007 08:42

Just look at that chart - from £6 to 36p in less than two years!

No wonder they want to take it private, clean it up, borrow heavily, take out big divis and then re-float at a monster premium!

If they were genuine, they could seek an MBO and buy up the PI's shares at a healthy premium to the current price - a take over by management in other words.

Then we'd be happy/happier; but just de-listing means we can't trade; recover our cash for years and then it is often so diluted it's a worthless holding.

If they de-list, we're stuffed.

[power talker] 06/8/2007 08:31

Dont think so mercier..Its a diamond that has tried to be passed of as a rock.. Thats my buy 5525..Can still get 5k online, think i will get more.

[mercier et camier] 06/8/2007 08:20

Clearly nobody has been fooled YET.

[25wbh] 06/8/2007 07:54

this is going to drop today

[mercier et camier] 05/8/2007 21:18

thunderchicken

You know no less than anybody else. Yes they were given a 12 month loan of £1.5 million in June 2007. However such is the demand for their business after the recent floods the loan money could easily be gone. However that does not detract from the fact that AQL is one of the fastest growing insurance claims firms in the country.

The delisting is nothing more than AIM trickery. The company will be worth tens of millions shortly and clearly those who have most to gain want us out.

[philjeans] 05/8/2007 19:57

Interesting times.

I seem to remeber Alan Sugar trying to take Amstrad private a few years ago, when times was 'ard and the share price on the floor. He didn't get away with it and ina few months the share price had soared as trading miracleously improved!

We must fight this board and insist it stays listed - good times are here and the next twelve months figures will be excellent.

[thunderchicken] 05/8/2007 18:49

Here's some research I have put together.
I am no expert so please feel free to correct / add to what I have found.

Jun 06 AQL buys ITS for 1.5m
Dec 06 AQL raises 2.6m on refinancing
Dec 06 AQL sells AMS for 1.275m
Jun07 VPV gives 12 month 1.5m loan

VPV is described as a 'substantial' shareholder.

Other shareholders include:
Calculus 7.1%
Singer and Freelander 11.1%
Noble Fund Managers 17.46%

I don't know how significant this is, but Noble Fund Managers are part of Noble and Company - AQL's Nominated Advisor!!!

Private shareholders are more difficult to pin down, details were given in the results, but this was well before the consolidation and may well be way out of date.

It was stated that AIRS had broken even after only 1 year - and this was before the extra business generated by the floods and referrals

Even though there are debts to be considered, the sale of ITS and the success of AIRS means that there is plenty of money sloshing around somewhere.

I was pleased when I started reading the latest announcement, but was flattened by the last paragraph which stated that the board is considering de-listing because of the cost of maintaining an AIM listing. In my opinion, this excuse is a heap of shogsdit! There is something else behind it, and whatever it is we can all be sure that we, the private investors, are the ones that are going to lose!

Would the NOMAD advise this whilst sitting on 17.46% of the shares?
Would the institutions who invested last Dec support this?

There is to be a statement later, but could all out there more knowledgeable than I please speculate as to what is going on.

[aleman] 05/8/2007 15:01

That didn't stop SEA from being a 20-bagger. Funny this came just after the SEA attempt.

Shares Magazine July 31,2003

AIM gets tough with expedient delisters

The Alternative Investment Market (AIM), the junior market of the London Stock Exchange, has confirmed that it is to tighten up its delisting rules.

The changes, exclusively revealed in Shares earlier this month (17 Jul '03), will make it harder for a company's board to decide to move off the market just because it appears to be advantageous.

Simon Brickles, head of AIM, says the rules need to be tightened up to prevent companies with large director holdings from walking off the market, and is proposing that at least 75% of shareholders must vote in favour of such a proposal at an extraordinary or annual general meeting.

The step change sees the market move away from the Official List, which will keep its mere 20-day notification process.

A two-month consultation period is underway, with Brickles encouraging all those affected to express their views on the proposed changes.

'I would be surprised if the market were able to get away with this without some form of modification,' comments one anonymous board director of a recently listed company.

The changes are designed to protect the investment community, and in particular AIM's institutional investors, who have been affected by a series of high profile delistings over the last six months Shares commends AIM's proposed rule changes, which should help to protect investors yet further. Any interested party wishing to comment on the change should contact AIM's policy manager, Gillian Wilson, on 020 7797 2026.

[wiganer] 05/8/2007 14:46

Aleman.
The problem is that if they are trying to "pull a fast one" taking it private then it's unlikely they will be focussed on the small PI in a private company.

[aleman] 05/8/2007 14:19

magwash - 5 Aug'07 - 11:41 - 1393 of 1397


A successful company doesnt delist. A company on the verge of bigger things doesnt delist. A company poised to generate cash flow doesnt delist.

Shareholders are being shafted here, why try to delude yourself that this is not the case ?

Successful companies do delist, or at least try to. SEA were stopped by non-execs in 2003 after it seemed a done deal. The company went on to generate cashflow and profit before it hit later troubles not really related to business at the time of the attempted delisting. The shares quickly rose more than 20-fold at their subsequent peak on the back of good results that came in only months later, so this says directors do attempt to delist to keep gains to themselves.





"That the Company gives notice to cancel the admission of its ordinary shares on
the Alternative Investment Market of the London Stock Exchange."

The executive directors, who between them hold 21,737,466 shares (38.27% of the
Company's issued share capital) are likely to be voting in favour of the
Resolution. The executive directors have verbal indications from shareholders
representing a further 11,630,960 shares (20.48% of the Company's issued share
capital) that they are likely to vote in favour of the Resolution.




The executive directors have consulted with those shareholders who expressed
concerns about the illiquidity of their holdings following a delisting and as a
result, and with the agreement of a majority of shareholders, have decided to
withdraw the Resolution and retain the Company's AIM listing for the foreseeable
future.


Interim earnings a few months later go from -0.38p to 1.35p. They tried to take it private at less than 4p!




AQL have burnt very little cash this year and business has improved. Looks like they want to keep the profit to themselves to me.

[mercier et camier] 05/8/2007 12:10

The Motors division went on a bid last year and the IT divisions looks like going on bid.

RNS speculation abounded last October that the whole of Aquilo was subject to bid discussion. With a market cap of only £2.1 million, record claims for flood damage and all lost making parts of the business gone Aquilo may yet be approached again.
Let's wait and see.

[mercier et camier] 05/8/2007 11:56

magwash

There may well be a shortage of cash but it is not as a result of low business volumes but of high business volumes. You need cash to take on additional business. the delisting will certainly free up cash for the company but will not affect the value of your shares.

"The Company's other principal trading subsidiary, AIRS, is seeing strong demand
at present as a result of a combination of flood related repair work, new
contracts and the increase in business being referred by existing customers".

The major shareholders recently exchanged £2.61 million in exchange for shares. Do not believe for one moment 8 months later they're about to write down their investment to £0.

Wait and see.

[mercier et camier] 05/8/2007 11:47

Wiganer

Wait and see. The announcement about a possible delisting could never have been made without the approval of the major shareholders. I have no doubt that Aquilo already have the required 75%.

I would certainly agree with you that this is a classic AIM shell-trick. The company is experiencing exponential growth as a result of national floods, there is a bid for the IT division and a major shareholder has agreed to accept warrants in place of cash. This to me sounds like a company that is heading for the stars but wants as few private shareholders on board as possible.

Exactly the same thing was done at Energis, Marconi and a host of others. The companies then re-floated with the directors and private equity funds making a mint. If the share dips on Monday buy. Do not let Aquilo go.

[magwash] 05/8/2007 11:41

A successful company doesnt delist. A company on the verge of bigger things doesnt delist. A company poised to generate cash flow doesnt delist.

Shareholders are being shafted here, why try to delude yourself that this is not the case ?

[magwash] 05/8/2007 11:38

"The major shareholder obviously thinks it is good news since he is turning down cash for warrants."

what makes you think they 'turned down' the cash ? More like it was forced to take on warrants or nothing at all. As AQL is running out of cash.

[wiganer] 05/8/2007 11:32

It looks like a classic AIM shell-trick. I made the big mistake of thinking this leopard could change its spots. Seems not.

[aleman] 04/8/2007 13:00

The major shareholder obviously thinks it is good news since he is turning down cash for warrants. They may need his support to take it private. But you might not want warrants unless you knew it was going to refloat at a higher price later.

Cash outflow was only £51k for the first 4 months and they are now saying floods mean things have improved. We get a bid for part of the business so will have no cash problems and other business is doing great now but the shares are so low we are delisting. Er, the shares didn't have the good news the directors have been sitting on so they WOULD be low. It is out of order putting out such announcements after hours. Still, I'm not inclined to sell. I think it might be worth contacing non-execs and regulators.

It also raises questions about all the write-downs at results. IT was bought, had an unusual large write down and then gets sold on again?

Anybody got an up-to-date list of major shareholders?

[mercier et camier] 03/8/2007 19:15

A bid for ITS and its principal operation is moving from strength to strength. Are they trying to get rid of small shareholders? YES. Should you sell? NO.

Going private with a fast growing company is how private equity funds make their millions. Sit tight and watch how things pan out.

[magwash] 03/8/2007 18:35

and what a gift to shareholders... they want to delist.

[magwash] 03/8/2007 18:33

pretty obvious they are strapped for cash. looks like they had to accept the warrants or nothing at all. As the £90k is depserately required by the business itself.