TT International have further reduced their short position on AMS today. (Only by a smidgen though). :) |
The breakout continues!
A little insight into the price action here.
The shorts come in and try and knock the stock back (preventing the continued breakout) in the morning by placing a barrage of orders including some larger ones on the book under the offer.
That isn't normal price behaviour for a stock which has no short interest that has broken out (they will make a move higher instantly with the bid exceeding the previoud days close). These guys are purposefully trying to keep a lid on the stock. The problem they have is that one fund is covering and the market is so bullish right now, they are getting bought through.
These guys are in trouble. Look at the spike. These spikes can go anywhere now, especially if the market forces these shorts to cover. Swimming against the tide is brutally dangerous.
I'm long and watching with interest. I'd like a really nice squeeze to close my position into now. |
long term holder replying to APAD
Fair points you make, but do you trust the management on the acquisition?
Is you back their judgment, hold .
I continue to hold as ;
1 - this is one of my best performing share-holds ever (now my largest holding )and I back the management to use the funds wisely
2 - chart action is encouraging with bear-raid pushing the price below 300p appears to have failed
I guess the argument for a top-slice is that if you well in the money then it is never a stupid move, but do you have a better place to put the money? If you fear a sustained bear-market then cash will be King, but if this is just a correction then AMS looks as good a longer-term hold as anything else on the AIM market
My other big AIM winner , which you may wish to consider if you haven't already, is ADT - Adept telecom
I am no market guru, to be sure, and I know you make up your own mind. ;) |
Perhaps the anticipated '2nd target' has been confirmed? |
I see that one of the three disclosed short sellers of AMS has reduced their holding by 19%. Good sign IMO. |
 I'm a long-term holder and am thinking about top-slicing.
The acquisition looks interesting, but they are talking about first products in 2021 and such forward looking statements are generally overly optimistic.
I have been looking for stronger organic growth signals and, if one uses the interims to predict the full year, then revenue looks to be rolling over, say a little over 100million. Although it might benefit from those famous currency tailwinds.
Sure it's cash rich, but spending it on a company that has no products in the market does not excite me.
A couple of comments from back in June:
"Sales of our non-antimicrobial foams were down 16% at reportedcurrency to £7.4 million (2016: £8.8 million) and by 20% at constant currency. Sales were impacted by the pipeline fill of our atraumatic foam launches in 2016, which we estimate to have been around £1 million. We also had some issues caused by a change of raw material from one of our suppliers which interrupted our ability to promote part of our more established range of products. These issues are now resolved. Sales of our other technologies, which include alginates and gels, increased 7% at reported currency to £11.8 million (2016: £11.0 million) and by 5% at constant currency.”
"In the latter part of 2017, we noted that a number of our partners have reported a slowdown in the European advanced woundcare market. We continue, however, to believe in our medium and long term prospects in this market.”
And, from December:
"The Group continues to make good progress and the Board expects results to be in line with current market expectations."
Personally I don't think market expectations are that high. Hold 320p, with nothing very recent.
I'd welcome opposing arguments.
apad🤔 |
Someone on LSE's expecting big things:
'...that was one of the two targets. Purely R&D / innovation play.
Second one is still in process and that one will revalue the company altogether. But first, they need to announce something about the enlarged credit facility, and of course the prelims after that.' |
Acquisition of Sealantis commented upon in The Jerusalem Post - worth reading:
Part:
Sealantis develops medical-device products for a variety of applications in surgical adhesion, mimicking the mechanism of adhesion of algae to rocks in water. The company was established under the leadership of Technion’s Prof. Havazelet Bianco-Peled, an expert in biomedical polymers.
“The journey of Sealantis is underway. The merger into AMS is an important milestone in the realization of our vision – to enable medical teams around the world to prevent serious surgical complications thanks to Sealantis’s products,” said CEO Tomer Fuchs.
“Following the merger, AMS will enjoy our scientific and engineering capabilities as an Israeli start-up company in the field of biotechnology, which includes innovation and the ability to bring simple and original solutions to complex challenges. AMS plans to expand operations in Israel, enabling it to expand into new, significant directions.”
Sealantis’s current focus is on surgical seals designed for a variety of applications such as stopping bleeding, preventing leakage of digestive tract contents into the abdominal cavity and preventing leakage of spinal fluid. |
You cannot say that AMS are sitting back on their success i.e. money in the Bank. The potential for growth is considerable with this acquisition and the Market loves growth. IMHO AMS must be looking more and more attractive to a bigger predator. |
Interesting insight into Sealantis given by Tomer Fuchs on youtube.
Also more details on their website sealantis.co.il |
winnings
What is the multiple that they are paying?
In $ £ or Israeli widgets? |
Today's RNS is what many shareholders have been waiting for. Good to see AMS putting its excessive cash pile to good use. |
Winsford, UK, 31 January 2019: Advanced Medical Solutions Group plc (AIM: AMS), the surgical and advanced wound care specialist company, today announces it has acquired Sealantis Limited ("Sealantis"), a developer of an alginate-based tissue adhesive technology platform, for $US 25m (approximately £19m) in cash with royalties due until December 2027 on sales of any of its products that are currently in development.
Commenting on the acquisition, Chris Meredith, CEO of AMS, said: "This acquisition is in line with our strategy to acquire technologies that are complementary to our surgical portfolio as well as allowing us to leverage our global routes to market. The acquisition enhances our access to a significant and high-margin market in internal surgery, which includes areas of unmet need for effective and absorbable internal sealants, a market estimated at $1 billion. We are particularly excited to welcome Sealantis' innovation team of R&D experts to AMS and look forward to working alongside them to develop the technology in a wide range of potential applications and indications. As we work towards the commercialisation of Seal-G Surgical Sealant over the next 18 months, we expect to maximise the full value of the platform and this innovative technology. AMS continues to actively monitor and evaluate other acquisition opportunities to capitalise on its strong financial and strategic position." |
Also weird how the share price drops/is dropped first thing, to recover later. |
Why does AMS share price move up and down on such small volume? |
Got caught out by the Oct mkt collapse.
Gutted that AMS was affected....🙄;
Pleased to see that sanity's returning! |
so true WhiteBicycle
I still have my whole holding of AMS from those days, but only 10% of my ASOS
there were a few other picks that didn't do as well...... |
I'd like to think this company was Brexit proof. Manufacturing in Europe and the UK and selling and licensing into the USA. I hold 40% of my original holding on so called profesional advice.
The ADVFN of 18years ago was a great place for investing in companies like this. Another one was Assos. |
I would like to think so `wetdream`. |
Good news on the way? |
Good move up today on such small volume. |
I have held for many years always believing that AMS would get taken over as they progressed I still hold that view. |
It was about 18 years ago I was introduced to this Company at 4p ish. Never bought a single one. Don't think it's ever been diluted either. It's done well over the years. |
i see it - Praise then -OK No probs - Just very odd wording
Commenting on the announcement, Peter Allen, Non-Executive Chairman of AMS, said: "I would like to thank Mary for her 19 years of dedicated and outstanding service to AMS. In her time with the Group, she has been integral to our listing on AIM, several acquisitions and this has culminated in AMS growing for 13 consecutive years. At the same time, I would also like to congratulate Eddie on his forthcoming appointment as Chief Financial Officer and we look forward to welcoming him to the Board in due course." |
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