Avanti Communications Share Discussion Threads

[cancun tango] 28/2/2012 14:26

248P would make a nice double bottom with Oct'11 low. If all this proves not to be an issue, then this could be an excellent buying point.

[volvo] 28/2/2012 14:21

Any info gained will be posted.

Share price is feeling the selling pressure again.

Maybe 250p is the base and a good place to bounce.

[cancun tango] 28/2/2012 14:06

I'm ready to top up in the next couple of days, but must admit to being a bit worried about the HYLAS2 slot position. It sounds to me like the company used HYLAS1 to squat on a position (with consequent delay and revenue slippage) to guarantee it, but have now timed out. This may be common practice, but does sound a little amateurish when so much has been invested in the kit and launch. Is it too much to assume that ESA will have a slot for HYLAS3? Any info you glean from AVN would be very welcome VOLVO.

[jeffian] 28/2/2012 13:54

Volvo,

It is inconceivable (to me, anyway) that having built a multi-£m satellite, booked a launch within weeks, taken insurance against failure and raised fresh finance in a Placing (which as others have pointed out would have involved due diligence)......they don't have a slot for Hylas2! Anything which adversely affected current market expectations would have required a RNS announcement.

[eugene4] 28/2/2012 13:54

Thanks to all the poster.

I have dipped my toe into this share after selling most of my South African shares.Cannot trust the corrupt ANC Government and their chronies.

I have a feeling AVN will come good,although it will not be tomorrow et al.I'm already grey but I feel I'll be in the money before I go bald.

Directors and fund shareholding inspire confidence.The only negative I can see is what the markets will do over the coming years,but I'm sure AVN will come out on top.

Now for the wait...

GLA
Regards
Eugene

[blue forever] 28/2/2012 13:48

"the only thing wrong here is that the share price is in the doldrums" LOL

[jonnyno1] 28/2/2012 13:47

the share price is so dismal it is as if Hylas 1 blew up on the launch pad!!!

[blackberrydrop] 28/2/2012 13:41

I've just had a look at the institutions that took part in the placing and I think this is a big positive.

So far the following have been reported:

- Government of Singapore Investment Corporation Pte Ltd: £19.8m

- Caledonia Investments plc: £6.8m

- Capital Research and Management Company: £9.6m

Now, I'm no expert in these matters but I can't imagine that the Government of Singapore will have invested £20m in a company for the first time without having done their homework.

Also, a director of Caledonia sits as a NED on Avanti's board (so will know as much about the company as anyone) and Caledonia has increased its holding by 18%!

As I say, I'm no expert but with:

- 4 months until the launch of Hylas 2

- Hylas 3 funded (cheaply)

- Hylas 1 filling up on schedule

- The company close to cashflow breakeven

- knowledgeable/serious investors getting involved in size

the only thing wrong here is that the share price is in the doldrums, but that is unlikely to last forever.

DYOR, etc, but I see massive positives here and am in for the ride!

[smythy3] 28/2/2012 12:31

Am a bit wary of topping up (averaging down...) but will look for first sign that the launch is beginning to feature in the news and on this site. Does anyone who can run the graphs now when things really picked up last time round?

[ae34] 28/2/2012 12:00

Crackman; Me too - topped up. Paid a bit more but happy with it. I think it's just listless while we wait for newsflow or people to focus on the launch. Then it will get moving. The big guys buying more is a sure sign that it's cheap. Caledonia is on the board and is buying - good enough for me.

[crackmanjonny] 28/2/2012 11:46

In today at 257

[volvo] 28/2/2012 11:20

Has anyone got the 100pc ok confirmation from the company regarding this (the IR director Sean Watherston is quoted in the story dismissing it)?

Whos got Williams email address?

someuwin - 27 Feb'12 - 08:28 - 7701 of 7729


Perhaps this explains the share price weakness - talk of AVN losing the slots for Hylas 2 & 3...


"...Both these slots have been reserved by Avanti for follow-on satellites. Avanti has several reservations at both positions, but the ones presumed to be most advantageous to the company in terms of frequency assignments expire in May.

Avanti's Hylas 2 is scheduled for launch in July. Hylas 3, which is a Ka-band payload aboard a satellite to be built for the European Space Agency by Astrium Services and used for a novel commercial data-relay business, is scheduled for launch in 2015. Avanti on Feb. 6 announced it had raised 73.8 million British pounds ($114 million) on the London stock market to cover the costs of Hylas 3.

Both satellites will arrive too late to use the Avanti ITU reservations expiring in May - unless the ITU makes an exception to the 90-day rule.
"Under the current ITU procedures, and given its denial of other systems that tried the same maneuver, the [Radiocommunication Bureau] would have no choice but to declare as invalid an attempt to preserve the reservations" that expire this May, an ITU expert said.

Avanti Investor Relations Director Sean Watherston said Feb. 10 that Avanti's Hylas 2 and Hylas 3 satellites' business plans are not threatened by the reservations expiring in May. He declined to disclose the intended orbital slots for the satellites. One official unaffiliated with Avanti said Hylas 3 was to be stationed at the 31 degrees east position.

If Avanti loses its May 2012 reservations, other satellite operators will move ahead of Avanti in the queue for access to the position. At or near 31 degrees east, these operators include SES and Eutelsat. In the 61.5 degrees neighborhood, Yahsat of the United Arab Emirates has reservations..."

[blackberrydrop] 27/2/2012 14:35

It's not just Caledonia and GIC putting up a lot of money. That's about £10m more invested by Capital looking at the jump in its holding.

Good to see these long term holders putting up serious money.

[waterloo01] 27/2/2012 14:03

Oh those shares......

[colva] 27/2/2012 13:54

Im sure your havin a larf .


AVN issued 26m new shares to raise 70m GBP which they need to fund H3, the institutional investors who bought the shares are now declaring their new holdings.

[waterloo01] 27/2/2012 13:28

colva? What treasury shares?

[colva] 27/2/2012 13:23

Waterloo, Avanti have been selling.

[colva] 27/2/2012 13:22

We still have the big holdings RNS to come , M & G took over 9m shares in the placing , spending over 25m GBP and taking their holding up to about 19.5%

[waterloo01] 27/2/2012 13:17

I wonder who's been selling. We can see who's been buying! Very bullish.

[adorling] 27/2/2012 12:29

Triple bottom chart formation which is usually a bullish signal - should see a recovery to at least 320p from here.

[jeffian] 27/2/2012 12:18

smythy3,

I agree but I have to say that I am mystified by the relentless downward drift in the face of such "votes of confidence" by Caledonia, the Directors, Singapore sovereign fund, Old Uncle Tom Cobley an'all.......!

[smythy3] 27/2/2012 12:10

Looking at the announcement, Caledonia has spent about another £7m on shares - that's a big vote of confidence by someone who's got a seat on the board. They must know everything that goes on at that company and wouldn't be buying otherwise.