Share Name Share Symbol Market Type Share ISIN Share Description
Emmerson Plc LSE:EML London Ordinary Share IM00BDHDTX83 ORD NPV
  Price Change % Change Share Price Shares Traded Last Trade
  0.25 3.36% 7.70 2,664,570 16:35:12
Bid Price Offer Price High Price Low Price Open Price
7.50 7.70 7.60 7.40 7.45
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Nonequity Investment Instruments -1.13 -0.17 56
Last Trade Time Trade Type Trade Size Trade Price Currency
16:35:12 UT 250,000 7.70 GBX

Emmerson (EML) Latest News

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Emmerson (EML) Discussions and Chat

Emmerson (EML) Most Recent Trades

Trade Time Trade Price Trade Size Trade Value Trade Type
2021-01-22 16:35:127.70250,00019,250.00UT
2021-01-22 16:28:117.7012,831987.99O
2021-01-22 16:18:087.685,208399.97O
2021-01-22 16:16:587.5015611.70O
2021-01-22 16:14:407.683,255249.98O
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Emmerson (EML) Top Chat Posts

Emmerson Daily Update: Emmerson Plc is listed in the Nonequity Investment Instruments sector of the London Stock Exchange with ticker EML. The last closing price for Emmerson was 7.45p.
Emmerson Plc has a 4 week average price of 4.35p and a 12 week average price of 4.35p.
The 1 year high share price is 7.85p while the 1 year low share price is currently 2.15p.
There are currently 726,992,307 shares in issue and the average daily traded volume is 3,060,162 shares. The market capitalisation of Emmerson Plc is £55,978,407.64.
cyberbub: That's correct airbag. '£1000 per point' means per penny. It's effectively the same as buying 100k shares, but they're not allowed to say that as you're not technically buying shares.Spread betting is tax-free and offers the opportunity of guaranteed stop-losses, which brokers don't offer. You can also go leveraged more easily than with a broker (obviously leverage is risky). It's also often the only way small PIs can short shares. However everything comes at a price and they take their commissions and usually have a wide spread. Also they usually only allow you to target a maximum of 25% or 50% above/below the current share price Personally I have never spreadbet and don't recommend it but each to their own.
the chairman elect: EML chart pointing to a potential chart break out along with a potentially explosive move upwards during January 2021 Target share price [short term] of 30p+
donald pond: The EML twitter feed has been busy recently, telling us nothing we don't already know. I'm not sure whether it is trying to pump the share price up before a placing or a sort of "heads up" news is imminent to the faithful. I can't see a huge number of people willing to sell around this level though, so any sort of positive news should see us at aths in a jiffy.
cottoner: Article tweeted by EML A Huge Rally in Food Prices Is Stoking Record Fertilizer Demand By Marcy Nicholson and Justina Vasquez 9 December 2020, 22:32 GMT Updated on 10 December 2020, 10:00 GMT Fertilizer producers are next in line to benefit from rising crop prices, with farmers poised to plant more acres in 2021. For the world’s handful of companies that produce potash -- a potassium-rich fertilizer mined underground from evaporated sea beds -- it is the light at the end of the tunnel following several volatile years. Bloomberg’s Green Markets pegs global potash demand at a record in 2021, while Morningstar Inc. says it will likely set a new “high watermark.” continues.... Extract "The improved income could mean more spending next year, pushing potash prices to the mid-$200s a ton from about $230 currently, said Seth Goldstein, a senior equity analyst at Morningstar. Prices may continue higher to $280 by 2023 or the following year, he said." hTTps:// From EML RNS of June 1 2020 Completion of Feasibility study - study assumes a potash price of around US$225/tonne. extract "It follows that the economics of this project would be highly compelling, and with an IRR of nearly 39% and a post-tax NPV8 of US$1.4 billion, this is clearly an extremely robust project in normal potash market conditions, generating average revenue of over US$480 million and EBITDA of over US$300m for the life of the mine. It is outstanding that, in a downside market price scenario, assuming a potash price of around US$225/tonne, this project will still generate a very robust average life of mine post-tax free cash flow of nearly US$90 million per annum and an IRR of nearly 15%. This is more than enough to pay the interest and principal on a significant amount of debt and ensure that we, as equity investors in Emmerson, make a solid downside case return on our capital. It is one of the very few potash projects globally that would achieve these metrics in the downside price scenario." ........................................ Making the EML project economics even more compelling. :-)
cyberbub: Er... Because EML has something that big investors want badly (high financial returns at modest risk)? And because if they tried to buy a large chunk of the company in the open market, the share price would rocket anyway? While they're not common, I've seen a number of equity placings at a premium over the years, occasionally at a substantial premium - where the share price then rises to that level, rather than falling to a discounted placing level. In effect the placees have valued the company at fair value, ignoring the extant share price because it was blatantly undervalued for some reason. See KRM as an example, a small company which raised money at at 27% premium earlier this year. As a larger company example, consider SAGA, in which a large investor (who became CEO) recently bunged tens of millions of GBP at a huge premium to the share price at the time, initially a 100% premium, and although he later bought more in a further placing at around the extant SP, his average was (and still is) much higher than the share price I think it's more likely that EML will do a staged placing, eg. 300M shares issued at say 5-6p to get things underway, another 200M at 10p when construction milestones are achieved, then 200M at 15p for the final construction stage. That reduces risk for the big investor(s), while also minimising dilution for shareholders. A bit like an earn-in model. Of course in this scenario it would still be the case that the majority of the funding (hopefully 80%+) would be through debt and offtake payments. Remember that EML have also modelled a half-capacity operation being constructed initially, and while they didn't favour it as it's less efficient, it's still an option... NAI DYOR
sportbilly1976: Email from the Company pr / Graham to those signed up via Company website. Extracts below for everyone else... "Shore Cap is broker to 110 corporate clients, with average market cap of £200m. "As the research note makes abundantly clear, there is considerable upside in the share price...the de-icing salt co-product puts it right down in the lowest quartile of operating costs and the infrastructure at Jorf Lasfar provides ...flexibility to produce SOP from some or all of the MOP...a material advantage and upside for the project. "As Yuen (the author of the report) himself points out, should a more reasonable gearing ratio and a share price that is not so heavily discounted at the time of financing be assume, the target price for the shares would be over 20p today.. "It is an exciting project and will likely be quite competitively sought after by strategic funders and prospective partners. The conversations around this aspect of the financing are already underway and in earnest. "In the meantime....we expect to bring some new institutional investors on the register as they are presented with the value proposition.
sportbilly1976: From their note - essentially their "get out" is that you could pick any price for equity raises, but we will (ultra conservatively) use the current rounded-down share price From page 41 Financial analysis Emmerson does not yet generate revenues and so is currently reliant on capital market financing to cover its funding requirements. The company ended H1 2020 with £0.8m of cash and no debt (April 2020: £1.2m of cash). • In July 2020, Emmerson raised £1.72m (gross) via an oversubscribed placing of 40.5m shares priced at 4.25p/share, resulting in the company having 726.6m shares in issue. The proceeds were intended to be put towards the mine permitting process, technical work (including geotechnical drilling and drilling to confirm brine deep well injection) and investigating the possibility of a phased development of the Khemisset project. • We model a further £10m of equity being raised at 4.0p/share (the current share price rounded down) during H2 2020 in order to complete FEED and other studies (to be clear, this is a Shore Capital assumption rather than company guidance). In relation to financing Khemisset’s construction, our model projects Emmerson having a peak funding requirement of c.US$400m in 2024 (including corporate overheads but before financing costs). Emmerson has no preconceived notions as to the optimal financing mix but, instead, intends to weigh up all available options (and combinations thereof) in order to select the structure that maximises benefit for shareholders. In our view, a portion of the financing will almost certainly be in the form of equity, but a broad range of funding permutations would be possible for the remainder (e.g. convertible debt, project finance, royalty finance, strategic investments, etc). Consequently, pending actual developments, we assume that: • A total financing package of US$425m is completed in H2 2021, a bit higher than the peak funding requirement in order to provide a cushion with which to provide some comfort. • Based on indicative terms from “a major European commercial bank”, US$230m takes the form of senior secured debt, drawn down in tranches over 2022-2024 to minimise interest. The interest rate is 7.5%/year, on the simplified assumption of a flat LIBOR of 2.5% plus 5%. We model a three-year principal repayment holiday from first drawdown (with interest rolled up during this period). Accrued interest and principal are repaid in equal instalments over seven years. • US$195m is raised from ‘other’ sources, which for convenience and conservativeness we model for now as taking the form of equity (which is typically the most ‘expensiveR17; form of finance). As always, we opt not to guess the equity raise price – instead, we again simply adopt the downwards-rounded current share price of 4.0p/share as our ‘base-caseR17; assumption and have provided sensitivities to enable readers to pick their own preferred equity price
sportbilly1976: Shore Cap's note is ultra conservative, almost in the extreme. Firstly - they are factoring in a further £10mln of equity raise later this year at 4p. One of the main issues remaining, and probably the most important from a share price and future valuation perspective is the Capex financing. In this note, Shore Capital work on the basis of it being $425mln and of that, only 55% is arrived at via debt funding ($226mln), despite Hayden's comments at Indbaba last year of indications of $225/275mln being offered, pre-FS which enhanced the economic potential of the Project. The remaining $195mln they are assuming (note they comment "for ease" here and they bare aware other forms could be used) are funded entirely by equity ....and again they assume this to be raise at 4p This results in their model with 4,766k shares in issue. Even with their sensitivities - they work on the basis that the equity portion will be no less than $150mln and that the share price of this equity will be no greater than 8p Despite all this: "On the basis of the above, it would seem to us that Emmerson’s shares should be trading at c.3-6x the current level, i.e. c.12-24p/share. "Supposing it turned out that Emmerson’s equity quantum required was US$150m and that this were raised at 8p/share (rather than US$195m @ 4p/share), our FY2021F valuation would be c.82% higher at 26.7p/share
cyberbub: Excellance they wouldn't have *wanted* to raise the 'gap' finance (= equity) at the farcical 4p and I very much support them in that - it would be ruinous.Get the share price well over 10p and then raise the equity.Alternatively a staged buy-in (= a JV) at increasing share prices is also perfectly reasonable IMO.All that matters is how much money the company makes per share, once in full production.Route 1: issue 500-600M shares at 10-12p, and get the rest of the money from debt. We keep the whole project but at the cost of some dilution. This is the standard route and would be the most beneficial for shareholders. Possible eventual share price of 100p+.Route 2: get a JV partner on board, get them to spend the whole $400m capex on a staged basis in return for giving them say 60-65% of the project. We end up with 35-40% so lower EPS eventually, but also lower risk. And even in this scenario it's a 10-15 bagger from 4.5p.NAI DYOR etc
cyberbub: Just been going through the FS again. If the project gets into production it's hard to see how the share price would be much below 50p, even allowing for pessimistic dilution levels.Even assuming raising $80M major capex contribution at today's ridiculously undervalued share price, leading to 2bn shares in issue, and taking MOP price two levels below the FS 'base case' price, and a p/e of 8 which is conservative for a long life mine in a safe location, it leads to an share price of 40p.So as long as there isn't a black swan or a global meltdown, 'hopefully' patient investors will reap the benefits!No advice intended of course.
Emmerson share price data is direct from the London Stock Exchange
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