|Newport Networks Group
||EPS - Basic
||Market Cap (m)
Real-Time news about Newport Network (London Stock Exchange): 0 recent articles
|miyk: NNG have finalised de listing as of 17th of march. Talks of potential contracts was dated as shown below on the 17th of january 2008. since we have had no statement of potential buyers or contracts to assign with NNG. This stocks gone up the wall!!!
Newport Networks Group PLC
17 January 2008
Newport Networks Group PLC ('the Company')
The directors note the recent fall in the Company's share price and wish to
provide the following trading update.
At the time of the placing in July and August 2007, the Company referred to
negotiations with a major Network Equipment Vendor to supply the Border Gateway
component of their IP Multimedia Subsystem (IMS) portfolio. Whilst these
negotiations have taken longer than anticipated they continue to progress. The
directors anticipate that the negotiations will be successfully concluded in the
next few weeks. As previously stated however, there can be no certainty that
negotiations will reach a satisfactory outcome or in this timescale.
The Company is also in the process of finalising a major contract. If
successfully completed this contract would generate significant revenue and
funds for the Company. The contract negotiations have also taken longer than
anticipated and the directors are hopeful that the negotiations will be
successfully concluded within the next month although there can be no certainty
that this will be the case.
Further announcements will be released as necessary.
Newport Networks Group PLC Tel: 01291 435 700
John Everard, Chief Executive
John Ackroyd, Finance Director
Evolution Securities Tel: 020 7071 4300|
|miyk: Flip side to the coin IF a private buyer/company takeover at a agreed share price I would believe our shares would be worth double or triple of current price?? What are the chances of nng surviving?|
|george99: Watchers, so you believe that the share price could be 2p - 3p before the delist. This is based on your believe that TM will step in with a last minute offer to buy the lot because in your view he will not want to lose face for the Ryder Cup.
As there is no factual basis for your view, I think your posts can be safely filed under 'blatent ramp'.|
|wathchers: all is not over with this one. I believe mr Mathews will step in at last minute and buy the lot for next to nothing but share price will go up from what its at now. I believe as do some others who post on lse that this share could see 2-3 p before the delist, if it goes that far. anyway all the best for those holding out.|
|george99: Western Mail article on IC Wales
City must see value of R&D investment
Jun 4 2008 by Aled Blake, Western Mail
INVESTMENT in research and development is hampered by stock markets putting pressure on listed companies to constantly make a profit, according to Sir Terry Matthews.
Speaking at his Celtic Manor Resort in Newport, Sir Terry, pictured, revealed how he had taken communications company Mitel off the market to plough money into R&D so he would not get "punished" by the markets.
He said Mitel is launching innovative technology products that he is confident will beat the company's competitors. He is looking at taking the company public again.
It has relationships with Hewlett Packard and Sun Microsystems for Mitel to supply next-generation solutions for voice-over internet protocol products.
Sir Terry said the developments were "the most exiting I have been working in" and he was confident they would be a success whatever the economic climate.
The situation at Mitel is in contrast to Sir Terry's Caldicot-based company Newport Networks which has invested heavily in R&D and made losses in recent years.
Alternative Investment Market-listed Newport Networks, which manufactures hardware which integrates traditional telephone systems with online voice technology, has seen its share price fall as a result.
However, the share price has rallied since the announcement in March of a deal to supply its products to a leading, and as yet unnamed, vendor.
Meanwhile, Ottawa-headquartered Mitel, which also has its European headquarters in Caldicot, looks destined to once more be at the heart of a major technology change which Sir Terry is adamant is under way.
He told the Western Mail: "When there is a big technology transformation you have to spend a lot of money in research and development to capture the timing right and to capture the market.
"To do that you have to spend a lot of money in R&D, and if you spend a lot of money in R&D it creates losses. If you make losses, you are going to get punished on the stock market.
"Very often, analysts and the participants in stock markets may not understand the transition going on in the technology. All they see is the numbers and the numbers will show huge spending and therefore losses and that will happen before the market takes off.
"If you don't spend, you don't capture the changes going on and so you get punished.
"I took Mitel private and invested millions in R&D spending, normally that would affect the bottom line and therefore affect the share prices.
"Now I'm in a fortunate position of having spent a great deal of R&D money and, having captured the technology transition which is under way, the upshot is gaining market share for Mitel, growing against the other players in the world, capturing some of the biggest players away from competitors.
"You could not do that unless you had the right technology at the time of technology change. Timing is almost everything. Now I'm pleased because the company is doing well."
That timing is applicable to investment in new markets and Sir Terry has long identified China and India as places where Western market leaders need to concentrate their efforts.
In a recent interview Newport-born Sir Terry warned for the need to "participate in India and China or die" if you are to make up the sales needed to continue investing in R&D.
Sir Terry is a serial investor in tech start-ups and estimates he establishes four new companies around the world a year.
"Typically that's one to two in the UK, one in the US, one in Canada and one in Europe. This year I have a new start-up in the States, one in Canada, one in the Middle East and one in the UK.
"In my career I have started up 80 companies not many people can be in that kind of category. This is my industry, this is the area that I concentrate on."|
|dafad: Some article in the Independant today saying what a great time it is to be Welsh,Duffy no 1,Wales for the grand slam,Cardiff in the FA semis,and so the list goes on,BUT they forgot to mention NNG Share price and the fact it was run by WALES'S RICHEST MAN,bit I would like to tell that IGNORANT [email protected] of a journo that ANYTIME IS GREAT TO BE A WELSHMAN|
|blank frank: I doubt that small retail investors will be able to participate in the anticipated NNG fundraising. Pure placings seem to be the norm these days, without any open offer and/or rights issue element. This is apparently cheaper. Non-institutional investors can though often average down on the open market more easily than institutions.
It was nice to see the NNG share price rise to 4.125p yesterday, and it only slipped back slightly to 4p today. Hopefully the company will announce more good news in due course, and will be able to raise funds on the back of a rising share price.
If funding concerns are eased, that could then provide a further fillip to the share price.
|bigfall: I'm convinced Carriers (inc BT) will have to deploy (someones) Border Controller when they try to deliver VoIP switched minutes with "carrier class", "billing" and "securitry". The only other way would be to rip-out or seriously (and costly) upgrade the Cisco & Juniper IP networks (upgrades which are not avaliable!!). Something BT, for one, are unlikely to want as they have comitted so much with their 21C network.
With deployment delays hurting the NNG share price and perhaps siginaling the end of the line as working capital runsout (again)! Matthews may be allowing this, before, taking the co back into private ownership pending the long awaited Tier1 deployment and that fast BILLION we speak of. Or, on the other hand NNG may shortly announce the good news we long for - I'm looking forward to the second option!!|
|blank frank: From a post I made here just over four and a half months ago:-
Blank Frank - 5 Apr'06 - 19:59 - 314 of 579
" ... Of course, you would expect the monthly cash burn to decline as more sales revenue starts to come in - but big orders still seem to be taking longer to come in that anticipated. On balance therefore it looks to me unlikely that existing cash will last until the company is cash flow positive. It would be nice to be proved wrong, but I think that sales will have to ramp up very dramatically in the remainder of this year for the cash to last sufficiently.
Despite this, I am staying invested, at least for the moment. In early March the NNG share price rose about 50% on comparatively modest good news - not an actual order. This was followed by the announcements of considerable institutional buying of the shares. I therefore think that if big orders have started to come in by the time of NNG's interims in about September, there's a good chance that institutions will help the company to top up its coffers at a healthy share price. They may reason that if NNG's cash is the main area of concern, then if they fix that by providing more cash then the share price should also perform O.K. ... "
There seems little doubt now that the NNG will have to raise more cash to reach profitability ... unless it's taken over. A few big orders first though would be nice, so that perhaps the fundraising can be at say 10p (or even 15p), rather than near the current mid price of 5.75p.
NNG contract wins should surely be forthcoming relatively soon. There's been news of VOIP-related telephony business wins elsewhere:-
TEL's recent "TMG plc Shareholder News" contained quite a bit of encouraging material; but perhaps the most significant for me was the detail of TEL's recently announced contract extension/wins.
All these new customers, and more, are apparently embarking upon CAPEX (capital expenditure) programmes to upgrade their telephony systems:-
This suggests that TEL's selling of systems to its maintenance customers is very successful, fuelled by the current move to VoIP (voice over internet protocol) technology. This should not only be great for TEL's turnover, but also its profit, as margins here are so good.
TEL has recently (15/6/06) released a positive trading update:
http://www.advfn.com/p.php?pid=nmona&cb=1156612686&article=15797004&symbol=LSE%3ATEL ("Trading in TMG is broadly in line with the current market expectations".)
TEL's forward P/Es at its current mid price of 59p (market cap. c. £1.73M.) are:
3.277 for year end 31/7/06
1.71 for year end 31/7/07
I am very optimistic for TEL's results for both those years. Less so for NNG's at the moment, although in business and investment things can change fast.
In early March the NNG share price rose about 50% on comparatively modest good news - not an actual order. This was followed by considerable institutional buying of the shares.
As I remarked in post #161, Evolution probably had a shed-load of shares on their books left over from underwriting the placing, so I'm not at all surprised that the price rose for no apparent reason - supporting the market price to give the impression of a strong market would seem an ideal mechanism to attract buyers. Not that I'm saying that they did this, of course.
NNG's market cap. at 18.75p is about £31.1M. ITM Power are currently capitalised at nearly £200M.
Very dangerous to try and justify one company's valuation by comparison with that of another, especially when neither has any real fundamentals and they operate in completely different sectors. Until NNG has some genuine fundamentals, it will remain a trading share so loved by news-junkie PI's (Tadpole Technologies et al, anyone?), so no doubt plenty of opportunities to make money for those good at TA. Plus ca change, etc.
BTW, the current market cap of ~£31m is equivalent to a pre-placing share price of ~49p...
Just my opinions,
Newport Networks share price data is direct from the London Stock Exchange