Arkle Resources Share Discussion Threads

[aussiedonnie] 26/2/2007 18:47

Cheers for info NJ.

[njl53] 26/2/2007 18:37

RNS details out today on those large trades last week. Two influential fund managers, Fidelity and Aviva, now have substantial holdings:

ARC International announces that it was notified on 22 February 2007 that Jason Tenencia S.L. has disposed of 15,807,857 ordinary shares of 0.1 pence each in the Company, and no longer has an interest in the Company.

ARC International announces that it was notified on 22 February 2007 that Fidelity International Limited is the beneficial owner of 16,501,361 ordinary shares of 0.1 pence each in the Company, equivalent to 10.91% of the Company's issued share and voting rights.

ARC International announces that it was notified on 22 February 2007 that Aviva Plc, together with certain of its subsidiaries, is the beneficial owner of 10,815,645 ordinary shares of 0.1 pence each in the Company (the "Ordinary Shares"), equivalent to 7.15% of the Company's issued share and voting rights.
This notifiable interest comprises a direct holding of 4,570,751 Ordinary Shares (3.02%) and an indirect holding of 6,244,894 Ordinary Shares (4.13%).

[njl53] 23/2/2007 11:32

whatever the theories,sp reaction looks very positive. Should be an RNS today or Monday if a stake of 20 per cent has been traded.

[kluk069] 23/2/2007 08:35

20% of the company went through there without the price moving.

Theories as to what may have been going on??

[njl53] 22/2/2007 15:49

aome very large trades today but share price seems steady

[aussiedonnie] 21/2/2007 20:44

thanks Wjccghcc.

[wjccghcc] 21/2/2007 16:47

Director and his wife sold all their stake. Maybe they're buying a house...

[aussiedonnie] 21/2/2007 16:16

Anyone make sense of the latest RNS.

[ialwayswinatmonopoly] 19/2/2007 16:51

If this has a PE of 9.1 to 2009 earnings then by direct comparisons to ARM Holdings this share rockets to 186p (Admittedly a price in 2 years time but where else will you get 4 bagger in 24mths, practically nailed on?)

[aussiedonnie] 16/2/2007 19:32

Good good, thanks once again John.

[johnroger] 16/2/2007 16:02

Chip designer ARC is still making a loss, but the size of that loss is shrinking and there seems to be some momentum in the business. In fact its operations produced positive cash flow of £0.5m in the second half, the first time it's managed this since the reorganisation and refocusing started in 2004.

There are also indications that the company's technology is gaining recognition from manufacturers, with ARC recently winning a deal with a major global chipmaker, worth $11m (£5.6m) in licence fees over several years. ARC licences out its designs with the aim of gaining royalties when they are used in chip production, and is seeing good demand for its configurable Media Subsystems that allow chip companies to adapt components for a variety of consumer electronic devices, reducing overall development cost.

The key indication of success though will be if the licences sold over the past three years begin generating decent royalties. These were up 30 per cent to £3.4m last year, so if management can continue to hold operating costs steady - these were £17.6m last year from £17.4m in 2005 - actual profit looks a possibility in 2008.

Broker Panmure expects revenues of £15.8m this year, producing a pre-tax loss of £1.2m and break-even earnings per share reflecting a research & development tax credit.







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Arc International

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Ord price: 43p Market value: £ 64m

Touch: 42.5-43p 12 month High: 44p
Low: 26p
Dividend yield: nil PE ratio: na

Net asset value: 21p Net Cash: £31.6m

Year to 31 Dec Turnover (£m) Pre-tax profit (£m) Earnings per share (p) Dividend per share (p)

--------------------------------------------------------------------------------

2002 11.7 -22 -7.54 nil
2003 10.7 -25.6 -12.2 nil
2004 12.2 -5.9 -3.65 nil
2005 10.5 -5.4 -3.05 nil
2006 13.4 -2.7 -0.78 nil
% change 28

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Last IC View: High enough, 29p, 24 Feb 2006



Semiconductor companies are risky propositions, but given ARC's continued recovery, and its healthy cash pile, a rating of just over two times sales - a 15 per cent discount to the sector - rates good value.

[aussiedonnie] 15/2/2007 17:35

Interesting, thanks John

[johnroger] 15/2/2007 16:49

Timesonline
Arc International

Every investor has a stock that haunts them. For Richard Farleigh, the Australian investment banker now known as a judge on BBC Two's Dragons' Den, that stock is Arc International. Having put £3 million into the semiconductor designer, Mr Farleigh saw his stake valued at £40 million at its 2001 float. But selling restrictions and a too rosy view of its short-term prospects meant he cashed out two years later with just £3.5 million.

To judge by yesterday's full-year results, he would have been well advised to have hung on. After three years of restructuring, during which it has sold peripheral businesses, renegotiated unfavourable royalty deals, and returned £50 million cash to investors, the £69 million company - whose share price has nearly doubled in that period - is finally within sight of breaking even.

Although Arc's technology - a chip design whose reconfigurability helps to lower production costs and time to market - has always impressed, its marketing used to be lacklustre, meaning licensees were slow to move its way. But a more aggressive stance and increasing demand for semiconductors that can exploit Arc's multimedia capabilities have seen its roster of licensees steadily swell. Last year's additions included Toshiba, Motorola and Honeywell, as well as an $11 million deal with an unnamed US chipmaker.

So while yesterday's above-forecast figures showed a 30 per cent rise in royalties, the lag effect of the semiconductor industry's long lead times means that any surge in profits from these newcomers will only be felt in two to three years. In the interim, Arc has a £31.6 million war chest, giving scope for bolt-on acquisitions, and negligible cash burn. At 44½p, Arc trades at 9.1 times 2009 forecasts. Buy.

[chavitravi] 15/2/2007 15:27

one to look at, Trifast (TRI) this is going to be a good one. They have built a big factory in China & gone in now with a leading Asian firm, they are going to be big, I am in no doubt. Nice to see this is steady.

[aussiedonnie] 15/2/2007 11:11

Oh good, I'll be getting that paper later on. : )

[njl53] 15/2/2007 10:53

Highlighted in Daily Mail share chart today and building nicely on yesterday's jump.

[aussiedonnie] 15/2/2007 08:55

Well I've been in since 2001 (paid 61p) and now it's finally getting into gear. : )

[chavitravi] 14/2/2007 18:33

I have been following your comments with interest for a week or so, liked what was said about ARC & othere read ups so joined you on Monday with the purchase of 30 thousand shares. It would seem to have paid off so far but I feel this is one that will take a year to see real fruit from this. Just my opinion, what do you guys think?

[aussiedonnie] 14/2/2007 11:39

Lovely. : )

[njl53] 14/2/2007 10:30

Cash position still very strong - net cash 31 million pounds - market cap 64 million.

[aussiedonnie] 14/2/2007 10:05

Another welcomed rise this morning. : )

[njl53] 09/2/2007 11:22

Strong rise today - following appointment of Bridgewell as brokers and disclosure of 13.4 per cent holding by Legal and General this week. Full results due on Wednesday, Feb 14. Update in January suggested they should be very positive.

[kneath] 16/1/2007 19:14

Level 1 looks nonsensical. Anyone make sense of large trades today? Anyone??

[aussiedonnie] 16/1/2007 11:05

Raiders of the lost 'A R K' : )