Flowgroup Plc Share Discussion Threads

[larry335] 07/5/2015 07:38

...and it also mentions Ceres Power (CWR)KD Navien link, and Ceramic Fuel Cells (CFU as was...RIP), and Disenco which folded and sold IP to Inspirit(INSP)
Interesting that many of these other mCHP companies have been struggling and FLOW can manage to raise £21m from a firm placing...

[grandwood] 06/5/2015 15:09

Another mention of Flow on the delta-ee blog....

[fox you] 03/5/2015 12:41

The Korean CHP boiler, v interesting

[fox you] 03/5/2015 12:41

The Korean CHP boiler, v interesting

[nw99] 01/5/2015 14:04

Good buying support looking better

[bean02] 01/5/2015 12:44

https://twitter.com/ratingsnetwork/status/594048817957330944

[porsche911sse] 01/5/2015 09:06

At last, someone talking sense -

[jscowi] 30/4/2015 20:29

You will (should) be contacted by your broker & advised how. You will need to apply for your entitlement plus any extra you may want in addition should they be available, you will also need cleared funds for the purchase.

[rufio90210] 30/4/2015 17:40

Hi new to the trading world. So as a holder how and when do I buy these shares at 28.5p?

[larry335] 30/4/2015 17:08

cyber
Yes, I think at least the Euro testing is linked to the cash raise.
jscowi earlier hinted at that and it is also quoted in the shareholder circular on the website section 3. page 11.

Use of proceeds: "Accelerating development of the combination boiler to increase the addressable market in the UK by 250% and then make early entry into European markets"

[jscowi] 30/4/2015 16:36

I was awaiting the April newsletter which is now overdue, the reason was obviously this mornings RNS waiting to be finalised and issued.

I now expect a newsletter within the next week or so which may or may not contain installation figures.

[cyberbub] 30/4/2015 16:25

PS my assumption on the Euro boiler testing is that no news is good news... if the partner had decided that it wasn't proceeding then Flow would have had to issue an RNS by now, IMO. So either (a) they like it but want a few tweaks and some extended testing, or (b) they are negotiating heads of terms...Given the heavy hints on international expansion in today's announcement, I am hoping it's (b) ??!Anyone agree?NAI

[cyberbub] 30/4/2015 16:14

I can sell 100k shares in one go, above the 29p bid.Let's hope this placing and the accompanying very positive narrative have now cleared the air, and put a bottom in on the SP?Can you imagine if the company were to now compensate for the placing in a smart way by announcing a positive result on either the US or Euro testing? Whichever way it goes, the latter at least is overdue...GLA NAI

[larry335] 30/4/2015 15:55

staverly
Sure, I have never doubted the tech theory or practical use.
Following the January newsletter and subsequent share price drop, general focus/discussion on here and other boards was on the published price of the launch boiler.
But more importantly to me, the newsletter indicated a very expansive, ambitious roadmap with set timescales needing development of new boiler types to expand the potential market.
Development costs a lot...equipment and more importantly human resource...we knew then they were employing more development engineers (£££) increasing the cash burn.
And while a combi development seems fairly straight forward compared to a system boiler in terms of operation, the power/heat exchanger must be about double size and to do that in a suitably sized wall hung device also housing the still rather large power module is no mean feat to achieve...I assume they will be trying to reduce the power module size.
It seemed to me at the time funding would likely be needed. But I underestimated the amount.
Clearly this cash injection requirement is the real reason for the share price drop to current levels.

[larry335] 30/4/2015 14:06

Page 14 section 8 in the shareholder circular on the website suggests Aviva are taking about 11.5m of the firm placing shares... keeping Aviva shareholding around 20% of the total issued.
So about 50% of the new firm placing shares with Jabil and Aviva.

[jscowi] 30/4/2015 13:48

Has the following statement been overlooked today "provide early entry into European markets"?

Is a deal already in the bag?


Reasons for the Fundraising

-- Accelerating development of the combination boiler to increase the addressable market in the UK from current 400,000 to 1.7m units per year and provide early entry into European markets
--------------------------------------

I am quite happy with the placing, certainly underpins the current share price give or take a few pence, funds to accelerate the combi which will be the real volume producer and game changer.

I obtained a very nice position at 16p placing, will take up my allocation in this offering. If they need more funds in the future to grow the business I will not mind. Building blocks, gradual share price increase, one to tuck away from the long term.

All is well.

[staverly] 30/4/2015 12:40

Larry, Guilty as charged, but bear in mind the context of the fundraising. My earlier comments related to concerns about existing working capital needs as i understood the situation to be then. No doubt if there was a deal to be done overseas, another (larger?)capital raising would take place. Hard to predict the timing me thinks.

[larry335] 30/4/2015 11:35

staverly
Fundraise "not exactly a bolt from the blue"

That is not what you suggested in 2358...
"Can't see any likelihood of a placing in the foreseeable future - 4 main reasons, in descending order:
Jabil/Mears are supplying w/c for the time being
David Lis unlikely to be happy at these levels(key shareholder)
TS has enough skin in the game to be mindful of SP
Last BS looks OK"

;-)

[brucie5] 30/4/2015 09:57

'Cautiously optimistic' strikes exactly the right note, imo.

[staverly] 30/4/2015 09:56

Wouldn't get too excited at CF initiation (Sector note), the analyst just moved across from Arden so it's stale. This mornings fund raising not exactly a bolt from the blue, but encouraging that Jabil, the most significant stakeholder (economically speaking, they have far and away the most to lose if the boiler doesn't pass muster) have stepped up for a sizeable chunk. I am still cautiously optimistic.

[larry335] 30/4/2015 09:28

The last placing was at 16.25p.
The share price slowly dropped below 15p as a I remember. Once the overhang cleared it was up to 30p very quickly.
Let's see what happens this time.