Iofina Share Discussion Threads

[beeezzz] 24/6/2024 16:37

The time it takes to negotiate new sites is a reflection on the management not having the skills to fit the job...too many PhD's and not enough gumption..

Those selling have probably held for over 14 years like me, life is finite, can only spend money while compos mentis...

[naphar] 24/6/2024 15:52

It’s not only level of caution though, it’s time/efforts to set up a new contract with new partners etc. I remain hopeful that as they expand, getting another site with an existing supplier in the area will be easier and that we will see contracts coming more quickly. They also seem to be building a pipeline of sites, for IO11 for instance, they are (I think) discussing several locations and the first to be signed would be IO11, the next IO12 etc, but that doesn’t mean lots will come along at once. I think they could get to one plant every 9 months, but they do have a “once bitten twice shy” approach to a quick rollout and I can understand why…
… firstly they want to avoid mistakes of the past in siting plants in poor locations
… secondly they want to ensure they can manage the projects well and avoid significant cost overruns etc
… thirdly they got into huge debts previously, felt the huge pressure of that and want to avoid such issues again. I had the impression they are willing to use debt to expand, within reason and for the right reasons, but want to predominantly expand from cash flow.
… fourthly we get to the point of having to pay tax! So that needs to be factored into expectations.

[josh_ftm] 24/6/2024 14:42

Likewise Naph, I thought they were heading to 50p last year, and now 50% down YoY. Also part of the 2.40 club too, and been here over 13 years (unlucky for some, some may say!). Hopefully they can turn it around, but they need to release the expansion strategy over a medium term range, so we can understand exactly what they have planned. The 1 plant a year isn't exciting anyone, and with the Iodine price as it it, makes sense to push the button ASAP, but the level of caution used by the BoD is exasperating.

[naphar] 24/6/2024 12:58

And that’s the point Faz, they are just out of favour like many currently, like the AIM market generally etc. at some point the tide should turn and I firmly believe buys at this level, even my recent 23p purchases, should show a decent return. Until then, I decide to wait it out. I do wish though that I had sold all in high 20’s - low 30s last year then those prices were on offer, if I had done so, I would be buying many more now. Problem is, I thought last year they were headed to 50p+. More fool me!!!

[beercapafn] 24/6/2024 12:52

I was so convinced that 3 years ago, I started the £ 1.00 club, fully expecting a payout on or near January 24.

Sadly missed that.

[faz147] 24/6/2024 12:50

Call me crazy but I've just tripled my holding.

Having sold majority at 27p+, I've been waiting patiently for a re-entry, because depsite all the nonsense from the board, there is still a very attractive, growing Iodine company here that IMO is undervalued.

Like many buys over the last few days, mine is showing as a sell. The spread has been opened up at this lower level, almost like they don't want any buyers

[naphar] 24/6/2024 12:33

Not recently beer. I also bought at about £2.40 back in the day!!!

[beercapafn] 24/6/2024 12:31

Some on here bought at £ 1.26.

[naphar] 24/6/2024 12:23

Whatever is going on, this price is a farce and I would be buying more had I not recently done so at 23p and 19.5p, both poorly timed again it seems

[chillpill] 24/6/2024 09:09

Lack of Director buying this year could mean some form of a MBO is being considered but would need the support of the largest shareholders to go through.

Certainly a few bids coming out of the woodwork at the moment.

[beercapafn] 24/6/2024 09:09

Beeezzz: They do have (some) skin in the game.

Not much, but some.

[beeezzz] 24/6/2024 08:59

Risk-Averse is BOD policy, monthly pay packet is what counts...

[josh_ftm] 24/6/2024 08:53

Looks like we're on the same page Beer!

[josh_ftm] 24/6/2024 08:51

So the share price drops again, looks to be constant drop of selling by the LTH's. I don't understand why the company are not looking to increase shareholder value given that we are 50% down YoY. In 2019 (5 years ago) they raised £7.5million at 16pps, which was to clear existing debt and allow them to 'accelerate the development' of new plants.Looking at the latest loan notes from July 2023, they can draw down at an interest rate of 2.11%. Surely it makes sense to begin a buy back programme, given the share price is 17.75pps, which is 10.9% higher than 5 years ago. Make use of the low interest debt facility to expand and repay the debt with the profits generated for a new plants. However, the BOD do not seem to want to use the facility and want to build the plants using profits generated from the year.Alternatively, why not throw the 'kitchen sink' at it, and use the profits AND debt facility to carry out a rapid expansion programme. They could even look at prefabration units off site, which would be more of less plug and play once new site become available. Looking at previous images, appears the towers could be constructed this way, plants could be 'standardised' and the larger vessels delivered direct to site, with all pipework and fittings outside of the pre-fab units being installed onsite, but pre measured/fabricated, so it's essentially a 'LEGO' set. This would ensure 'we' are ready for when a new site is signed and we can reduce the construction time to ensure iodine can be recovered as soon as possible after signing new contracts.Just appears to me the BoD are a little lacklustre in doing thier utmost to provide shareholder value, which is something they continually spout in most RNS's and the investor videos. Either that, or we aren't being told enough about the business to excite current and potential new investors. To me, this cautious approach is wearing very thin, and without a clear 5 to 10 year expansion strategy, we are expected to just accept 1 or maybe 2(if we're lucky) plants a year and keep 'plodding on'.Really not sure what is going on with Iofina, but sentiment seems to be changing for the worse and the BOD have to come up with new ideas to get some of us back on board. If they don't start to listen, maybe we can all hope that someone comes to acquire the company at a 'rock bottom' price, but at least the LTHs would be out at a better deal than the current share price.Thoughts welcome, but hoping for some sort of catalyst to turn this around.

[beercapafn] 24/6/2024 08:22

Now tell me that a buy-back program is wrong. 33p down to 17.5p.

BOD keeps repeating that better return holding cash reserves for future plants is the best use of cash.

The share price has halved in the same period when they opened one new plant.


A buyback program would have supported or increased the share price, or at least soaked up the disgruntled shareholders leaving.

Is Lance watching, ready to take it private?

[qsmeily456] 24/6/2024 08:12

Support gone and down it goes I ❤️ this share so easy to make 💰 and so many stupid on the other thread 🤣🛩🩳🩳9651;

[pinkpudycat] 21/6/2024 20:21

But many seemingly still support the inept BOD, wake up and smell the coffee, the next time you get the opportunity to vote them out, use it!

[zendo102] 21/6/2024 20:06

The key to investing in a value share is finding an "outer", something to catalyze the share price and turn it into a growth stock.

The problem is there are no positive surprises left for IOF; there is nothing on the horizon to get the share price moving upwards. All we have are banana skins that can crash the price. If production drops, or the price of iodine drops, or IO#10 is delayed or IO#11 is postponed for a significant time, then the price will move downwards.

THE RISK REWARD RATIO IS TERRIBLE.

So the share price drifts lower as people see better alternatives elsewhere.

And then lower still...

Yes, as beercapafn says, there is an "overhang" on the shares - but it's not some random seller looking to undermine us, it's all the long-term holders (on this bulletin board?) who have lost money and who are waiting for just enough of a rise to get out without too much of a bruised ego. We are waiting to sell, not looking to buy. We are the ones keeping the price low.

WE are the overhang.

[chillpill] 21/6/2024 08:18

At least Iodine price seems to have firmed a bit recently.

[rambo1122] 20/6/2024 15:07

Well at least we have a new website

[chillpill] 20/6/2024 07:50

I think we have been over this before tbh.
The premise of a share buyback program is it can’t be used to “prop” the price up.

If a large block became available they could do a tender offer.

Anyway all pie in the sky for now.