Image Scan Share Discussion Threads

[kazoom] 14/9/2018 10:01

Pru Dent,

Surely it is clear that the management did not bring RS "inside" on this deal nor sound them out in anyway before they announced it.

The first they presumably heard about it was the same time as us, when the terms were announced and the date of the GM published. We don't actually know whether RS got straight on the phone to the company or waited to the date of the GM to express their concerns - either way the outcome would have been the same anyway.

A failure of the management, not of RS imho.

[pru dent] 14/9/2018 09:52

Trident , if you think RS were bang on to stick their foot in front of the runner just as he's about to cross the finish then i would not want to engage in any sport with you!

[trident5] 14/9/2018 09:47

Pru dent - RS were bang on with this. It was hugely dilutive, and the management should have understood RS's position before lining up the deal.
IGE is a tiddler and should be able to grow organically from such a low base. They now need to stick to the knitting.

[pru dent] 14/9/2018 09:37

Sorry Owenski , that can't go unchallenged. The fundraise wasn't hideously dilutive. Don't forget that the majority of the acquisition was by means of a loan note.If RS were right to oppose this then they should have let it be known early on in the process not suddenly pull the rug just before the vote was due to take place. This merger was I understand to buffer exactly what has happened today i.e. taking the lumps out of income and supplementing that with a steady stream. The fact that The Board travelled to China to talk to the shareholder and explain the situation in detail before the postponed meeting only to be re-buffed yet again says it all. Why not make it clear before wasting further money on air fares and management time. The result is we are all suffering badly today. Maybe RS can afford to blow big money. My guess is that the majority of shareholders can't! I just hope they don't go on in this way.

[owenski] 14/9/2018 08:50

RS were quite right to oppose this hideously diluted fund raise, and it goes without saying they need to deliver on organic growth before going on buying sprees.

[dave4545] 14/9/2018 08:23

Never thought it was cheap and it was over £10 mil cap earlier in the year, some of the valuations these small caps have is mental, most of them cannot make a bean in profit and are valued at millions even after the warnings

[clocktower] 14/9/2018 08:06

That was a timely out, and now we know why the vote went the way it did. They should have disclosed the sales situation to one and all before the vote not now. No wonder they were willing to overpay for the acquisition.

Might be a long wait or a reverse takeover on the cards imo.

Good Luck.

[amt] 14/9/2018 07:38

Oh dear that's a blow but hopefully mostly in the already collapsed share price.

[trident5] 14/9/2018 07:30

At least they are consistent with the release of disappointing news.

[pugugly] 14/9/2018 07:30

"With lower expected revenues for the year coupled with the exceptional costs associated with the aborted fundraise and acquisition of Todd Research, which are estimated to have a total impact on profit of £270k, the Company expect to make a loss in FY 2018."
So Lu Qing has cost us a minimum of £270K - Could it be that a Chinese Takeaway is being plotted ?
An object warning (imo) of city slickers taking the Yaun or Renminbi and screwing the Company -

[buywell3] 12/9/2018 16:40

Yes ... and Lu Qing looks like she has the whip hand

So all holders .... stand by your beds

[monty68] 12/9/2018 16:28

They are doing OK so far, aren't they!!

[buywell3] 12/9/2018 16:22

May 19, 2011

Rise Step International Development, a Hong Kong resident limited liability investment company whose sole director is Lu Qing.

Image Scan is to issue 15m new ordinary shares to Rise Step at a price of 2p each


Rise Step International Development Ltd - 30,873,331 22.70%
David Malcolm Allenby - 15,828,805 11.64%
Old Mutual PLC - 9,540,021 7.02%

[clocktower] 12/9/2018 15:58

Very disappointing that it did not bounce - some you win, some not!

Good Luck folks.

[pugugly] 06/9/2018 16:26

walt;> I have a horrible feeling that your point that "that either means that the underlying performance of IGE is far worse than we have been led to believe" may be a little too close to the truth - Also IGE is very much a minnow in the security business and (imo) needs extra clout in the market place, which the acquisition might have given -

[monty68] 06/9/2018 12:45

Walt_29
IMHo the deal made sense as the product ranges are complimentary and therefore IMG should have been able to maximise their marketing oportunities using both sets of distributors. Sales are the key.

[walt_29] 05/9/2018 20:26

Assagai, true I didn't vote, but not sure what relevance that has to my comments? The day was always going to be carried by whichever way RS chose to vote. My statement was simply put up to balance some of the more emotional negative comments I have seen.

[assagai] 05/9/2018 19:29

Nice speach Walt but looking at the sums it seems you didn't vote against the deal.

[assagai] 05/9/2018 15:14

There is no way that RS are trying to take over IGE. FACT

[boadicea] 05/9/2018 14:39

Have added a few more, lowering the average of my current holding and thinking this should be at least near its bottom as I can't see any other obvious near term snags. However, there is a way to go as my current average is over 6p.
IGE doesn't actually owe me much on a long term view. I sold out in Jan 2007 at over 26p for a good profit and kept out of it for the next 10 years!

[pugugly] 05/9/2018 14:15

Major shareholder (imo) could have agenda of driving share price down - New management have been building business after previous disaster management - Would not be surprised if they moved on asap . If they do then (imo) a bucket case - I am avoiding (having previously held)

CT- You are a braver man than I !!!

[clocktower] 05/9/2018 13:25

Could Todd turn the tables and reverse into IGE?

[monty68] 05/9/2018 13:20

Assagai
Yes quite. I meant that many other nominee accounts (including some of mine!!) didnt vote at all.

RS is one big "Stakeholder/shareholder" with their own agenda, one suspects.

I dont think that there was a lot of direct cost, although a good deal of time must have been spend on setting the deal up, so I dont see that it should have a very adverse effect to the company's performance.