Intelligent Energy Share Discussion Threads

[filster] 28/3/2017 11:13

450k shares traded today.

Last Thursday (Drone day) 13M

There is little or no interest in trading this company right now.

As I also mentioned I should have sold out part or all of my holding on last Thursday - but I was on a client site then and couldn't access my shareholding account.

[filster] 28/3/2017 11:09

No, it rose on news, then everyone digested what the news actually meant and then realised that possibly it wasn't quite as exciting in terms of revenue as it was made out to be.

As I've mentioned before I don't see the Drone use as a game changer for IEH _but_ it does capture the imagination and headlines. Stationary power should be the game changer for the moment but it's boring.

[filster] 28/3/2017 10:48

As I've been saying since September last year we need news and sales. We've had 2 of those and a trial. They need more. They promised more, but of course they need to sign on the dotted line, etc.. I'm hoping that the AGM might allude to more deals, but no one knows.

[glenkaz] 28/3/2017 07:55

Der! Meant 50% 17p high to 8 8 X 2 is over 100% that's what I meant! Blue day as this is too low now! Gla!

[andyr42] 27/3/2017 23:06

100K for now. May increase but I need to see more commercial contracts. I do believe they have brilliant technology but it needs to be transformed. I also think they will get taken over or find someone bigger to take their fantastic IPs further. Either way worth far more. Disagree with your cash sentiments as it may not matter in the end.

[filster] 27/3/2017 23:03

Not more than 500k no. You?

[andyr42] 27/3/2017 22:50

Filster, do you have a large holding, i.e., > 500K shares?

[andyr42] 27/3/2017 22:12

Restructure, a new CEO and clearly a new business model is in operation. As I said time will tell but they are on the commercial trend, will take time. But with hundreds of patents in hand, the potential and share price at rock bottom they could easily sell this business at substantially higher than the current valuation, possibly 4-5 times higher?

[filster] 27/3/2017 22:09

Yes but they will still run out of money, just that instead of only having 6 months they now have 12 months. I think cash burn was around 2M pcm then reduced to 1M pcm but only 12-15M in the bank. They _had_ to reduce the burn rate or disappear.

Of course the two recent deals will help the burn rate - but we don't know by how much.

Thursday will need to go some way to addressing this.

ETA: I am long this and love the tech, but we shouldn't run around quoting deals done by other companies or general hydrogen business - the reason IEH's share price is where it is, is because of it's precarious cash position and lack of sizeable deals to reverse it. They are getting it reduced but will it be too little too late? or are there further twists? It is a big risk right now.

I'm more disappointed in myself for not selling some or all my holding on Thursday and then increasing my holding on Friday.

[andyr42] 27/3/2017 21:54

Filster, cash burn reduced > 50%. This is from sept. 2016 results ...

OPERATIONAL HIGHLIGHTS

-- Launched and are implementing a revised corporate strategy, focused on commercialising IE's proven technology and generating revenues in the short term

o Operating business refocused on air cooled fuel cell technology with a power output from 1W to 20kW

o Changing the culture of the business with much greater commercial and results based focus

o Commercial team strengthened

o Increased emphasis on sales opportunities relating to manufacture and sale of existing reference designs

o Simplified the structure and internal systems of the company, including a unified Commercial, Delivery and Design function

o Monthly cash burn reduced by more than 50%

-- Continued and ongoing Joint Development Agreement activity with Suzuki
-- Demonstration of fuel cell applications for drones and hand held devices

-- Continued successful operation of the Interim power management agreement with GTL for 27,000 Indian telecoms sites

o Seven sites currently being powered by IE's fuel cells (generating 49.632 MWh of fuel cell powered electricity as at 31 October 2016)

o Site power availability of close to 100%

STRATEGIC FOCUS AND OUTLOOK

As previously announced, IE reviewed its strategy during the year. This reflected a lack of commercial traction across a variety of applications and an eventual funding envelope that necessitated in IE having to focus upon those technologies which were closest to being ready to be brought to market and deliver revenue growth.

Having secured additional funding, the Company has launched its revised strategy and believes the most appropriate way to deliver shareholder value, given current markets, is to continue to commercialise the business with a focus on driving revenue growth from a simplified operating base.

The UK business is now focused on Air Cooled (AC) fuel cell commercial opportunities with a power requirement of sub 1W to 20kW. It is the intention to grow this business in FY16/17 from its restructured base and to continue to reduce cash burn from the current run rates over the course of this financial year.

Four important developments have been carried out as part of the revised strategy to focus IE on commercial outcomes:

1. Instigation of a much more focused approach. The implementation of a change of culture across the business and the creation of a more focused executive decision making body will speed up the process from the laboratory to the market.

2. Creation of a new Product Delivery function. This will accelerate the market deployment of the Company's technologies and take those technologies which are closest to market to the point of manufacture.

3. Simplification of the Company systems. Over the last few months IE has been reviewing its processes and systems with a view to streamlining and simplifying the way the newly resized business operates. Going forward, the Company will adhere to a continuous improvement programme to ensure it remains operationally aligned to delivering the revised strategy.

4. Commercial team strengthened. The Company has recruited additional people with different skill sets and track records to deliver commercial outcomes and is increasing its resources in the US, Japan, China and India. These are potentially lucrative markets for IE where there is already an existing customer base.

Consequently, the Company will move to selling its core fuel cell stack products and systems to customers, while only co-developing projects under a JDA model in selective cases where it makes sense to do so. IE has enough manufacturing capacity for at least the next year to meet demand and will continue to protect its intellectual property portfolio. The Company believes there is demand for its fuel cell stacks and modules and the Company will target markets where its technology can be incorporated into commercial products.

Martin Bloom was appointed as Interim Group Chief Executive Officer on 9 June 2016 when Dr Henri Winand stepped down from the role. With immediate effect, Mr Bloom has been appointed to this role on a permanent basis. He was an independent Non-Executive Director of Intelligent Energy from 2012 and has significant experience in building high-growth energy technology companies and has strong international connections in the energy sector.

Martin Bloom, Chief Executive Officer of Intelligent Energy Holdings plc, commented:

"As I outlined at the Analyst and Investor Day in September, we know we have the technology, people and know-how to deliver future growth for the core fuel cell business, so the next steps are all about commercialisation. My objective is to prioritise delivering revenues and building the business. The revised strategy is all about outcomes, especially commercial outcomes."

[cottoner] 27/3/2017 21:29

Can't believe we are 100% down from 3days!!!


Because you're not.


100% down would be 0p.

[glenkaz] 27/3/2017 21:24

They are changing their buisness model! Would share price be this low if they show success! No!

[filster] 27/3/2017 19:55

I can believe it.

Everyone went "ooh Drones" they're the future... Then they realised they might be the future but there's going to be quite low volume in them and it's faded since.

I've said it before but the share price will continue to deteriorate over time unless the cash burn rate is substantially reduced or they actually start generating a profit. If they don't they will run out of cash.

[glenkaz] 27/3/2017 19:27

Can't believe we are 100% down from 3days!!! This is cheap! And I'm holding long! Gla

[ibug] 27/3/2017 18:01

THE BUSINESS IS GENRATING INCREASING INCOME FROM MANUFACTURING and most likely from its IP portfolio which has more than a thousand patents and a similar number in the approval process.

I am expecting the business to be sold by the II as they own 75% of the stock as the business proves its viability as a going concern. Much of the stock owned by Meditor/ II was bought at a much higher price than todays share price

It was worth looking at the 2015 results s it explains more fully the strategy regarding IP....and that was encouraging.

[filster] 27/3/2017 18:01

The restructure did mention cutting the burn rate. This was discussed and is in the 2016 Results and the September Investor and Analysts briefing. Both are available on the IEH website - but why not look at the 2015 Results instead.. ?

[andyr42] 27/3/2017 17:50

AGM soon is perfect time to ask these questions and put the mind at ease. I would guess the restructure would have cut the burn rate.

[filster] 27/3/2017 17:46

No - the restructure happened - they changed their focus. This was stated at the September meeting - I attended, did you?

The main problem andy is that they are losing money and potentially running out in 12 months time (give or take).

The other issue is the Convertible loan notes.

Both of these items are facts that not even ibug can deny.

[andyr42] 27/3/2017 17:42

Tbh whatever the arguments, there is solid foundation of IC which is strategically being used to drive into the commercial market. I find it puzzling company with this level of technology, huge potential and a turnover of over £90M is at a market cap which is so low it beggars belief. Similar company in USA would have a valuation of hundreds of millions. This is why I think it is a sitting duck and could be takeover target in the not distant future. Pure speculation on my part and not wanting to ramp but I do think the share price is far too low at present and hence I dipped in between 8-10p. Only time will tell if this was a right decision, hopefully not too long.