Cautiously breaking out....? |
No, it’s not a case of one or the other but rather establishing and extending a world wide footprint including all of the products. It’s not rocket science: far more useful and profitable (hopefully) than that. |
Does this acquisition point toward AMS looking to develop the business in Europe away from USA? |
Rather than look to prune head-count in France, I would guess AMS sees an opportunity to expand the sales and development of other products, as well as unifying the sales effort across Western Europe. A very shrewd investment imo and I'm in for the long term. |
Thought French employment law made it almost impossible to remove staff from their jobs short of going bust? |
 Very good analysis from ‘anghardy1976’ on LSE:
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‘Well well, an acquisition. Interesting timing following last Fridays announcement. Explains why the Friday's announcement was largely ignored by the market.
My take on the announcement
- It's small but it's ACCRETIVE from the start. As per announcement marginal earnings enhancing in the first year. That's a huge positive which cannot be overstated.
- 4 million in sales 0.2 net profit. Typical for a privately owned business - i.e. break even / borderline. The potential following integration into big business is very high. As with all these small, privately owned companies there is a significant opportunity, to extract much more profit following integration and streamlining elements of the business (e.g. getting rid of some high paid staff / overpaid executives, adjusting cost base, centralising some functions, using internal salesforce among others)
- I wouldn't be surprised if following quick integration, the profit from underlying sales on an equal basis (4m revenue) immediately rose to £1m+ or more. There are many ways to trim the excess fat here, in addition to various synergies that can be exploited and most likely already been looked into.
- Revenue / profit goes only up from there, as the products are sold predominantly in France and Netherlands due to size of the business. With AMS reach, sales channels and global infrastructure the picture expands considerably.
- It ticks all required and nice to have boxes i.e - ISO 13485, CE, MDSAP accredited, well positioned for MDR, opens new biosurgical 0.5 billion market and has patented and complimentary to AMS product portfolio.
- Above effectively means that most of the high risk / high cost work has already been done and it's an established business.
- It's a virtually no risk acquisition compared to Sealantis. We need to remember that Sealantis is still a make or break depending on various clinical trials. And a very expensive one too.
The stock market is very future looking, and you just can't not see an enormous future potential from this bolt-on. Even with the small size od this business taken into account, AMS might have struck gold here.
I believe that, due to the above, this will be viewed very positively by shareholders and the market in general. We might even see Blackrock coming back alongside some new institutions.
Expecting some really heavy buying over coming days / weeks following intial investor presentations, analyst briefings, press coverage etc, which will happen in first few days.’
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Yes, I do like today's announcement. This small acquisition comes up and running and will contribute immediately while advantage of a larger parent company having access to a larger market comes into play.
However I am most excited about Sealantis, they may in the longer term be a real winner if their prospects and potential are realised. |
RNS - acquisition.
Should be well received by the market. |
Hoping for positive announcements prior to mid January trading update. We could be in for a negative trading update IMHO. |
Probably a very specialist operation, requiring high capex and operating costs.
Unless you can justify volumes, subcontract will be tha best option.
Can anyone corroporate? |
Not the best situation relying on a 3rd party, why not use some capital to get the situation resolved in house. |
Doesn't mean to say that the customers will not migrate to another suppiler.
Were I a customer I would review my long therm strategy and options.
Too many negatives do not make a positive. |
Storm in a teacup really. What really is an "oh look, I have just broken a finger nail" moment is being treated by some as a major debilitation. I suspect that those with the jitters are already out. |
Temporary non fault plus revenue will come in, just at a different point. |
S/P down today, although failure of equipment out of their control. |
Uh oh... Advanced Medical Solutions Group plc (AIM: AMS), the surgical and advanced woundcare specialist company, has today been notified by one of its third party medical device sterilisation partners of a failure at one of their UK e-beam sterilisation facilities. Consequently, many of the December orders for the Company's topical adhesive product, Liquiband®, will not be sterilised and shipped to customers during this financial year ending 31 December 2019. The full financial impact will not be known until after the closing of the financial year but it is potentially up to £2 million of EBITDA. |
S/P recovered to 260p+ on no news which is positive. I have said before IMHO AMS need to re-establish a partnership deal in the USA before we can recover to previous highs. Trading statement made last year Dec 18th may have good news. |
Plenty of six-figure trades gone through today. |
Something’s gotta be bubbling under.... |
I would be happy if someone were interested in them. Some positive news would be nice on developments in the USA. |
Offer for CSRT, European rather than US. Is AMS on any radars. |
Buy of 2.1m shares shown late. |
To diversify in the medical field, I bought BXP not so long ago, quite pleased to see the share price on the rise, more to come I would think as the PE-Ratio is extraordinary low for this fast growing company. For those with some spare cash, have a look, don't take my word for it, DYOR. |
AMS must win the award for having the mmost apathetic investors.
Zzzz.... |
I do feel that the share price will be at the lower end of £2+ until their are some positive news on products or a new partner in the USA. The share price at these levels may attract an approach from a predator, in saying that how much is AMS valued at all IMHO. |
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