Cap-xx Share Discussion Threads

[meijiman] 13/6/2021 11:46

There is a large recent Cenkos note which gives some background here. The legal case v Maxwell is very similar to that which they 'won' against IOXUS. There are no new huge costs relating to this.It just takes a long time. Can't see the same judge reversing their original decision. I think they are now using a third party to try and get payment from Ioxus or whatever name it morphed into.

[marktime1231] 13/6/2021 11:31

Hope you are right and that Cap-XX will win through, even better if they are risking someone else's money to pay for the litigation, I have not seen that mentioned anywhere except as a suggestion on here. At least if Cap-XX win against Maxwell then we should hope Tesla would be able to settle. Cap-XX were awarded damages and legal costs against Ioxus in August 2020, not sure if they have settled the bill. Ioxus were bought whether whole or in part by XS Power Batteries before the judgment. In the Nov 2020 annual report Cap-XX say they were pursuing Ioxus for payment, and in February 2021 in the interim report Cap-XX said ... "CAP-XX is continuing to pursue Ioxus for the payment of the awarded damages. However, it remains unclear whether Ioxus will be capable of paying." If Cap-XX had succeeded in getting payment we might have heard the corks popping? You may be right in that it is the same court and judge in Delaware.

[donald pond] 13/6/2021 10:02

Not sure about the idea that CPX is the underdog here - litigation funders take legal costs out of any settlement and then 30% of what's left. So they have every incentive to settle for as much as possible and do play the long game. Some of Burfords cases settle in days as the defendant realised the little guy suddenly has deep pockets, others go on for years. But if they have got legal funding it reduces the pressure to settle massively as they aren't having to pay hundreds of thousands in legal fees each month. Effectively, they have passed the risk to a funder and given up a sizeable chunk of the return. We don't know if they have external funding of course but as an Australian company it seems likely.

[royalalbert] 12/6/2021 23:34

Isn't it the same judge Rayrac as in the Ioxus case?

[rayrac] 12/6/2021 23:26

It’s up before a judge, he’s the one who'll ‘settle’ it.

[marktime1231] 12/6/2021 12:18

Not sure you have got this the right way round guys, Maxwell is not strategic to Tesla, Cap-XX is just a minor irritation to Musk even if they assert their patent rights. Musk makes more money each day trading virtual currency than the entire market cap of Maxwell and Cap-XX combined. Not sure exactly, so please factcheck this, but in the early days of Tesla the capacitor developments from Maxwell were going to be core to the power-train, but Tesla went for fully electric Li-Ion battery cars rather than hybrids. So these days Maxwell supply competitors as much if not more than Tesla itself? As someone above has said, the reality of "justice" is that the litigation is not about right or wrong or who holds the best hand, it is about the bluff and the bullying because the guy with the big chip stack can bet the little guy off the table. So don't imagine this is one of those made-for-TV movies where the little guy takes on big bad business and wins the day, the victory in those stories is usually a moral rather than sound commercial one. In real life all the pressure, including from its own lawyers and backers, will be on Cap-XX to settle. The longer Tesla stretch this out and the more the bills pile up the greater that pressure on Cap-XX. Who is technically right or wrong is (almost) irrelevant.

[meijiman] 12/6/2021 12:04

From memory the case is more or less identical to the IOXUS one which CPX won...though not to great profit. Can't see Maxwell having much chance of winning here.

[joeblogg2] 12/6/2021 11:49

Good point Albert, it is in Tesla's interest to settle this sooner as I am sure any delaying tactics will be punished especially a Goliath like Tesla

[royalalbert] 12/6/2021 11:03

Sky take a look at the RNS dated 9th Feb, one paragraph states. "The Board is also pleased to announce that CAP-XX is now an approved supplier to a global smart phone manufacturer and separately has commenced the formal process to become an accredited supplier to a global Automotive Tier 1 Component Supplier." Tier 1 automotive supplier ????

[donald pond] 12/6/2021 08:46

It strikes me as the sort of case you need litigation funding for. Get someone like BUR or LIT to find it in return for 30% of the returns. Removes the risk but keeps most of the upside. Given the balance sheet I'd be surprised if they hadn't already gone down that route

[skyracer] 12/6/2021 08:06

Adverse publicity Probably the litigation is not even on Musk's radar. However, if it is unpredictable for Cap-xx it is also unpredictable for Tesla. Who knows, perhaps a rival car manufacturer will buy out Cap-xx and demand the removal of all Cap-xx technology from every Tesla car ever made. Ouch! The longer this goes on the bigger the hit for Tesla if they lose the case. Its not the money but the adverse publicity that would hurt Tesla in the event of a prominent News report imo.

[greco600] 11/6/2021 22:40

It's a fair point. It's a bit like a game of poker where he is chip leader and can just keep betting, but I think if cap xx hold on they will have the winning hand.

[marktime1231] 11/6/2021 14:44

US litigation, all litigation, tends to delay, and in this case Tesla have been finding ways to stretch things out. A mediation hearing set for September has drifted to October etc. The whole thing could take years and pivot on tiny technical details eg unpredictable risk. Why would Musk jump in now, he can probably afford any adverse decision against him, so why not wait and see and pile the pressure on Cap-XX. This is an unequal contest of legal resources. And since his background is in ultra-capacitor technology Musk might be considered something of a subject matter expert. We should not asssume anything about Cap-XX's chance of winning just because they have a plausible claim.

[b3rt1e] 11/6/2021 07:58

Perpetuum which was still part of Southampton University then, was a customer over 10 years ago and the product was being used for remote monitoring in the oil & gas energy sector. DYOR

[greco600] 10/6/2021 11:16

Well the market seems happy enough with cpx

[grahamwales] 10/6/2021 11:11

JH on the LSE board lol. Not into oil and never have been. The clown used to try and trade CPX and is no doubt still trying

[grahamwales] 10/6/2021 10:33

Peppered Allenby are the house brokers and have been forecasting profits for CPX for quite some time which has never happened. Why do you think Murata offloaded supercapacitors. They didn’t give them away because they were profitable that’s for sure.

[pepperedlikeasteak] 10/6/2021 10:25

From Cenkos: Whilst the cash position is not mentioned and looks tight from our modelling, we note the company now has significant assets (A$50m of Murata production lines) and no debt, and so some form of production equipment lease or revolving line of credit could provide further headroom if needed until profitable trading which we forecast in H2/FY22.

[grahamwales] 10/6/2021 10:20

Global Tax rebate due H1 2022. Do you think £300k is going to sustain them for at least the next 6 months. Your dreaming if you think that’s the case.

[grahamwales] 10/6/2021 09:04

Allenby can’t even get dates right lol

[meijiman] 10/6/2021 09:00

Update Q2 of financial year..which I think is Q4 calendar year. Don't worry though there will be news before then. There was never any need for more cash raising. In any case the company will be self funding soon. A very solid update which demonstrates that the Seven Hills transition has gone to plan and there are no quality issues.

[pepperedlikeasteak] 10/6/2021 08:45

From Allenby: ...we expect year end cash of c. A$0.6m with an R&D tax rebate of A$2.6m due in H1 FY22. This, plus reducing losses, means CAP-XX should remain comfortably funded.

[grahamwales] 10/6/2021 08:35

Judging by interims they probably have around A$1 million cash. If losses continue in same vain will need cash within next 3 months.

[joeblogg2] 10/6/2021 08:31

Court update 2nd qtr so any time soon? The Company continues to pursue its litigation against Maxwell Technologies, a wholly owned subsidiary of Tesla Inc, which is progressing as per the Delaware Court schedule, whilst other licencing and patent infringement actions are also progressing, and a further update is anticipated during the second quarter of the coming financial year.