Bioseek Share Discussion Threads

[chrisb1103] 05/4/2011 19:22

Very puzzling. Asterand bought BioSeek in Feb2010 for an initial US$1 million in shares, and up to US$13 million payable in March/April 2011, subject to the level of sales growth/revenue achieved in the full year 2010. So on first reading the RNS i thought the issue/delay would be about establishing that to state in their results, which would also determine the final settlement figure.

However, looking back at what was stated - this settlement would be based on Bioseek's expected level of sales growth to 31 Dec 2010 - so this wouldn't include March, right? So why are they referring to March? This is all stated very clearly in the 9/12/10 RNS (referenced back to the 3/02/10 circular saying the same) where they also advised that finance of US$3m had been secured with silicon valley bank towards payment for the acquisition.

So, a very poorly worded RNS today that seems to contradict what was said on 9/12/10 unless I'm reading things wrongly, or is it something else in the terms and they haven't properly explained?

I'd perhaps be more concerned but they did say in their 23/03/11 RNS "The Company is also pleased to confirm that revenues will be in line with analyst forecasts and both EBITDA and loss before tax (pre any extraordinary items) will be ahead of market expectations." So i'm hoping/reasonably confident that indicates this latest situation should not be a major consideration, but rather technical accounting and process concerns relating to the terms of the acquisition settlement which need resolving before they can announce their results.

I'll email i think to try to seek come clarification.

[rivaldo] 05/4/2011 18:25

Managed to get rid of mine this afternoon at a small profit.

I'd assume the price will drift at best and may go quite a bit lower at worst given the uncertainty.

ATD seem to make a habit of these things. Never a good reputation to have.

[paulo92] 05/4/2011 16:39

Ive been getting stung a LOT by 'dodgy' RNS' in recent times. Does anyone vet these companies or what! It seems that a company can talk any kind of rubbish in official statements and then backtrack on them a few weeks later. Surely this is close to illegal price manipulation.

[ayl30] 05/4/2011 16:22

Just when I was thinking of taking a punt on them they introduce uncertainty. Have lost money on them before so was thinking of waiting for more positive news, guess I will have to wait!

[danosborne] 05/4/2011 16:22

Just been back and looked at the origianl RNS regarding the final bioseek payment:

"To fund a cash settlement for the remaining contingent acquisition payment, Asterand has secured a firm letter of commitment for a new US $3 million 3-year term loan from Silicon Valley Bank ("SVB")."

Does this mean that the firm commitment shown by Silicon Valley Bank is now not so firm after a poor March for Asterand?

[bloodhound] 05/4/2011 16:13

Oh an RNS, goody I thought maybe a they'd done a deal or somthing else (positive) instead we get:

"While the Company previously announced these arrangements were in place, they have been impacted by trading conditions in March."

Kin_unbelievable!!!

Bh.

[spaceparallax] 05/4/2011 16:12

I wouldn't lose too much sleep

[danosborne] 05/4/2011 16:09

I am having a shocker of a day which has just got worse after that RNS.

"While the Company previously announced these arrangements were in place"

So, in other words when we told you in the past it was sorted, that wasnt actually true.

I still think this is a good company but they are not doing themselves any favours!

[spaceparallax] 05/4/2011 15:59

It's certainly a very odd RNS - in many respects more harmful than just getting on with the results warts and all.

As usual, I'm here for the longer term and view this as an opportunity to gather on the cheap.

[incorrigible] 05/4/2011 15:45

it's that rns - not good imo

[spaceparallax] 05/4/2011 13:57

very surprised by today's drift - if anything, I'd have expected the reverse.

[and then] 04/4/2011 20:10

Further to the above post... An obvious target would be the 61.8% fib line just below at approx 20877, if its still showing Positive Divergence and we bounce from there it should be good for a few points.

[and then] 04/4/2011 16:37

Missed out on 70 points within an hour of opening a long on Friday through greed again, here on the GBPNZD. Its not so much that i want to be long on the £! just that its retraced over 50% of its previous gain and looks to be smoothing out, possibly to form a nice cup pattern... Anyway, i stopped out for evens ended up re-opening at a similar place and got out for break even again earlier today. despite small positions, my emotions within trades are all to hell at the moment. Prob need to take a day away! (and this is a Monday!)

Anyway, i want to keep an eye on the chart, so i wont be able to walk away! I would love a decent red 4hr candle forming a higher low as indicated by the red line on the chart below. If it bounces from anywhere near there, i will be going long with a stop below the lowest print. If it continues lower, i was right to leave it as we obviously have further to go...

[and then] 04/4/2011 16:26

I have conflicting opinions as to where this will go next...

The longer frame indicators tell me its possibly rolling over. While cable was dropping rapidly earlier the AUD cross didn't make much ground at all, which made me think the AUD is becoming weak in relation. However, it was only just bouncing from oversold with strength low on 15min etc. The chart, i believe shouts continuation pattern, with exit from the channel usually in the same direction it entered it, ie - up! I feel i should be long from the bottom of the channel, but a series of bad trades recently is affecting my judgement. Perhaps best to watch a while...

[spaceparallax] 03/4/2011 10:56

Indeed, the results should be very enlightening - obviously we'll see the financial position, but in many ways it'll be more interesting to hear about the latest developments and their outlook.

[mansard] 03/4/2011 10:17

Suggest you wait for the results on Thursday and then take a view.

[rbf] 02/4/2011 20:39

Yacobian - As a starting point have you seen this?

[yacobian] 02/4/2011 20:30

Hey there im thinking about investing in Asterand a little more than i am at the moment but im still pretty new at this. I'm really fond of this company, it seems right up my alley, but ive got reservations about parting with more money until i know a little more or perhaps could borrow some experience from other people. I managed to take advantage of the recent dip but now im thinking i should go further, , i was wondering if someone could briefly outline what they think the next few months would hold in store?
Thanks a lot guys.

[and then] 02/4/2011 07:47

Still need to sharpen up! I did the hard work recognising a channel and then missed the fall out of the lower line while watching a smaller time frame...
If a channel is rising, a break out of it is far more likely to be to the downside and vica versa...

[and then] 02/4/2011 07:42

One of my favourite thoughts to remember when playing FX markets, (or anything else come to that), is that by the time you have recognised a pattern... its usually too late! The problem being, earlier recognition usually doesn't have enough confirmation to become a safer play... wait until a pattern is confirmed and the market is ready to move on to another range!



Cable finished at an interesting place with the candle body at resistance.

[spaceparallax] 01/4/2011 14:34

You too Dan.

[danosborne] 01/4/2011 14:32

Very quiet today gentlemen. Having said that, I would have been more than happy if somebody had offered the gains made in recent days at the start of the week. Have a good weekend all.

[and then] 01/4/2011 07:40

Here's an interesting one! Without reading dozens of analysts reports/views on the pair and relying purely on charting, i feel this has fallen a long way very quickly to oversold levels. Of course it could just drop further without a bounce, but im seeing some positive divergence on the 4 hour and one would expect at least some kind of technical bounce even if it leads to further weakness later...