Iqe Share Discussion Threads

[adventurous] 29/3/2017 10:47

Yes I did watch that, very good.

[poombear] 29/3/2017 10:43

Not saying it will not happen, but I see no compelling evidence that it would be in the shareholders interest. If you watch the recent video, Drew Nelson explains the Capex for 2016 and what it should look like in 2017, and that estimate is £12m Capex for 2017. Dept will drop to £26.2m by the end of the year, £8.7m 2018, and will have a surplus of cash of £12.5m by 2019.
This is from normal operations without input of new revenue streams.

[adventurous] 29/3/2017 10:31

poombear - Good point - proves that reading the whole annual report actually helps - if only everybody did that!!

[big7ime] 29/3/2017 10:23

Well we will see, but I reckon a placing this yr
And possibly another takeover
Come on you know what these directors are like..

[poombear] 29/3/2017 09:51

Why would you want to dilute your shareholding when through operations iqe will have paid off the debt and have £12m cash by 2019 according to N+1 Singer?

[mr.elbee] 29/3/2017 09:29

cash generative? so pay off the debt? and buy with cash,not shares? hmmm!

[big7ime] 29/3/2017 09:05

Ipavlou it is far more likely they will have another placing, especially considering the price

[sweenoid] 29/3/2017 07:35

Translucent has been acquired from Australian company Silex, it's almost the 'deal of the century' :-) .its now inevitable that IQE will complete the purchase in 12 months time-the $5million can be paid in cash or shares- it will be shares, the dilution will be minimal because our share price will likely double by then ;-)
As part of the deal Silex receives a small royalty per unit sold

As for issuing shares to pay off debt when we are a highly cash generative company????? Are you bonkers?
S

[poombear] 29/3/2017 05:18

Iqe paid the 1st tranche with shares to Translucent, so I expect shares will be used. Translucent are happy they have more than doubled in value since they were issued to them last year.

[lpavlou] 28/3/2017 23:22

Given the recent share price strength, would it not be a good idea to have a rights issue to pay back all the debt and raise fresh capital to fund the Capex for the next couple of years? If the Creo technology works, then there's another $5m to pay Translucent within the next 12 months, surely better to pay in shares than cash.

[jugu] 28/3/2017 14:49

Do we know where from, like of skyworks currently source their filter base wafers from?

[poombear] 28/3/2017 14:47

Creo is quite nicely sumerised on the IQE website.
Apart from the performance benefits from CS materials cREO allows a similar cost point to pure Silicon as it can be produced on 300mm wafers.



Seems to be a lot of point scoring on this BB. I imagine a few of you have been irritating each other for some time ;)

[sweenoid] 28/3/2017 14:42

mea culpa ... GAN is definitely Gallium Nitride as I must have written hundreds of times on this bb, so kind of you to take your time out to point out my error.got CS conductor materials on the brain, also got germaniums in my garden ...or should that be geraniums ;-)
S

[jugu] 28/3/2017 14:24

Aiming he is correct creo allows CS materials on cheap si templates, CS material could be GaN or GaAs.
This is beauty of creo, the commercial benefits are yet to be realised by IQE but looks pretty close.

[sweenoid] 28/3/2017 13:40

Maxwell - u seem a little confused as to what IQE does , no surprise as it's very complex
But to refer to IQE's 'filters' is misleading - sorry if I am the cause of confusion.

1st the material used for wafers at present is silicon. CS materials will work better but are more expensive , prohibitively so, the solution is to stick a CS like GAN - gallium nitride on a silicon wafer - much cheaper but not easy as all sorts of issues occur at the interface - over simplistically'shorting' occurs, by using cREO in a patented way these issues are stopped and in volume production brings the price down to silicon levels with the advantage of better efficiency and less++ power loss. OEM's buy those wafers and then make THEIR filters and chips etc from them.

Sorry if that's basic but that's how I understand it
S

[maxwellsdemon] 28/3/2017 13:12

sweenoid,

Yes, the filters are where the money is on the RF front end. Have you any idea how IQE's cREO filters work. I cannot find any info (eg patents etc) on them. GaN is a piezoelectric material and this property may have something to do with the operation of the IQE RF filters.

Are the filters tunable?

[poombear] 28/3/2017 13:04

Not saying much but nice to be appreciated.

[boboty] 28/3/2017 12:05

Thanks for the homework - a big cpu, a small one they are still cpus and use power to work. For a fridge it may be less significant but for most applications power maybe form battery, such as remote sensors and therefore power is important. I bought an IOT weather monitor - put in a battery and stick on an outside wall then you have local weather data to amuse yourself with direct to your phone or computer. Time will tell but for a self confessed expert you don't give me great confidence. Anyone who starts a comment of with don't you know I design arm chips must lack the ability to explain clearly their ideas and expect us to believe them just because of what they say they have done and not because of their explanation.

[hammerd2] 28/3/2017 11:55

A quick pre 2017/18 ISA allowances dip would be lovely 😊

[sweenoid] 28/3/2017 10:55

some figures £ you might be interested in showing how important it will be if IQE can use their cREO technology to get into more RF content in smarphones, it's quite illuminating.

RF content by cost in a 2G phone is 55 cents, typical 3G $2.75, global LTE $13.25!

Of that the filter content is worth 25cents, 125cents and $7.25 correspondingly.

Also we get access to switching and tuning and power amps too, but the big daddy is the filter content. By the sounds of it from the earnings report IQE look to be at an advanced stage of qualifying and validating this solution with I guess Skyworks, at present our revenue has NO contribution from RF filters, my guess is late 2017 and fully in 2018 and certainly for 5G we will be the major wafer supplier for those filters , perhaps the only one that offers the benefit of CS over silicon

Go work it out :-)

[poombear] 28/3/2017 10:37

Iqe are involved in a program with ST.

[twatcher] 28/3/2017 10:17

This article suggests that ST is supplying 3D sensing/imaging in the next iphone.

[richardc77] 28/3/2017 09:47

I am excited about IQE but rational. I will never blindly take "their" word for what is "valuable" just remember how wrong HY was about such things...

[sweenoid] 28/3/2017 09:00

No one knows who our OEM's supply , but Macom have nothing to do with smartphones
Skyworks are likely suppliers but they seem much more upbeat about Huawei as a partner.
Woukd be great if the new Sammy has 3D sensing but I doubt it , it is touted as having AI capabilities



Its best not to get too fixed on the technology, basically anything 3G and beyond gets increasingly complex and DEMANDS more CS materials , so we win - win - as per the interview we win on volume of high spec phones AND their complexity :-)

To Sheepy - It's IQE that are getting excited about 3D sensing / gesture recognition etc , hammering on about it at AGM's and on video's , they KNOW what the value is , we don't ;-) but since they keep stressing it, it must be valuable
YES I agree about RF content , if we can get into the filters we DOUBLE-TREBLE the ammount we earn from each phone - big money that's where our cREO looks to be a big winner