Iofina Share Discussion Threads

[monts12] 12/12/2013 21:48

Reporting such a profitable scheme to to the market with actual numbers would do wonders to the share price...

[rogerbridge] 12/12/2013 21:43

Good point noli. IOF have vertical integration lower cost iodine, higher margins for IOC.

[noli] 12/12/2013 20:42

Regarding what price we sell the iodine, as far as i was aware it all goes to IOC, it would be different if we were buying it in or selling it in the open market, but we are not. Some derivatives may have come down in price but surely the discount via production must put iof in a very strong position as production increases.

Imho, these reductions are short term only, only due to other suppliers costs and reducing output as they were greedy. Now they are paying the price.

[germanicus] 12/12/2013 20:37

frog1 12 Dec'13 - 20:16 - 12358 of 12361 0 1


Last post from me

There is a God! lol

GLA

G ;-)

[hurricane.] 12/12/2013 20:35

Word from the wise.

You are neither right nor wrong because the crowd disagrees with you. You are right because your data and reasoning are right.

Unless you can watch your stock holding decline by 50% without becoming panic-stricken, you should not be in the stock market.

[johncsimpson] 12/12/2013 20:27

Hurricane 12 Dec'13 - 19:49 - 12350 of 12359 - Jonny has been kissing frogs lol


I don't understand this but it got a number of positives. Can someone explain, preferably Hurricane if he's still about.

What am I missing?

[frog1] 12/12/2013 20:16

Last post from me but I'll repeat for all, except those who believe in the MM bogey man or worry about 1 line con artists,

This all started as one issue that weighs on the share price (among a number) not as a prediction of what will happen. There then followed questions about the terms. As I keep saying, it is current perception that determines the current share price not what will actually happen. I don't expect any issue with the loan. The loan was taken out to speed roll out, but that does not seem to have happened. It's a bit like political risk with oil companies, there's a perception of risk that very rarely materialises but trashes share prices.

[supreme mo] 12/12/2013 20:03

Greatgig.You say you are bothered about what price we sell the iodine... fair point but even at the current spot price the profit margin is 100-150% based on our costs - is that not enough for you? I don't think there are many businesses with such a high margin and costs of production half what the competition experience. What I was trying to say is the more prolonged these "low" prices go on the more suppliers will exit the industry.IMO if more suppliers exit the industry the iodine price should eventually go back up.

[matrixtrader] 12/12/2013 19:58

Have to admit tho, I am not feeling so wealthy myself at the mo LOL

[matrixtrader] 12/12/2013 19:57

And io5 a couple weeks later ;)

[rock star] 12/12/2013 19:57

Exactly right matrixtrader re Stena.

I imagine there is a tranfer of wealth going on from the impatient to the patient as well as one from the not so wealthy to the wealthy.

I expect IO4 will kick in very early in the New Year.

[uppompeii] 12/12/2013 19:56

Manipulation? Is there really? I don't see it. I just see more sellers than buyers atm, surely as simple as that.

[the secret trader] 12/12/2013 19:55

'The loan was taken out to speed roll out, but that does not seem to have happened. 'They have three plants under construction at this very moment, that would not have been achievable was it not for the loan, so it is being used exactly the way it was intended.

[jpsmithson] 12/12/2013 19:50

frog1, yes exactly thats why I said discounted price.
They forward sell, it happens all of the time in the mining sector, its not hedging. The buyer gets a discounted price for later delivery and upfront payment.
But as has been said this is a red herring so not sure why your pushing the negativity so hard.

[hurricane.] 12/12/2013 19:49

Jonny has been kissing frogs lol

Grasping at loans won't help. There is only one outcome here

[joeywald] 12/12/2013 19:41

Well said, Rogerbridge!

[rogerbridge] 12/12/2013 19:37

Goodness me. Why are people concerned about a loan to be repaid or converted many months down the line.
I believe that £2.00 could be achievable in a short space of time when production figures are released.

The share price has been hammered and I am no pleased with this manipulation. Either get a grip or sell, no good moaning about it. I have a serious amount of IOF in my SIPP,ISA and share account, but I will be in the market for more tomorrow or Monday.

[frog1] 12/12/2013 19:34

Rock Star,

This all started as one issue that weighs on the share price not as a prediction of what will happen. There then followed questions about the terms. As I keep saying, it is current perception that determines the current share price not what will actually happen. I don't expect any issue with the loan. The loan was taken out to speed roll out, but that does not seem to have happened. It's a bit like political risk with oil companies, there's a perception of risk that very rarely materialises but trashes share prices.

[freshvoice] 12/12/2013 19:33

Frog
'Worried about iof's survival'

That really is pessimistic:-(

[matrixtrader] 12/12/2013 19:31

Should the worst happen stena would just extend the loan! Being the major shareholder why would they destroy their own investment! Step back and think logically and don't get guided by bears! And delays? Wouldn't surprise me if 4 n 5 were operational within 6 weeks but then what do I know!

[frog1] 12/12/2013 19:29

"As for the loan, if production does end up leaving them short they could forward sell iodine at a discounted price to secure the funds."

What does forward sell mean. I think you may be thinking of hedging by sellin/buying futures i.e. where someone fixes a price for future delivery, but no customer will pay early for something to be delivered at a later date unless on very favourable terms and then theywy will be worried about IOF's survival so unlikely. They may pay for a guaranteed price for future delivery as in the UK gas market, but they don't pay for the actual product until delivered.

[iofra] 12/12/2013 19:27

Most likely outcome:
The Bond can also be converted or redeemed by Stena in the event that the Company is taken over.

[rock star] 12/12/2013 19:26

I think people need to take a giant step back over the loan.

They had over $16m in cash at the half year. The cash position will hit a low within the next 3 months. Analysts estimates that came out this week expect EBITDA of $35.1m for next year.
By the date repayment is due they should have well in excess of $40m on the balance sheet and that includes nothing for water revenues in H2 2014.

IO2 alone will be producing around $800,000- $1m per month free cashflow right now imho.

A red herring the size of a whale.


The cashflow in the first 3 months alone of 2015 is expected to be over $15m- ie the size of the loan.

[pleco] 12/12/2013 19:21

I haven't posted since August. It's sad to see people so miserable & others determined to get the price down. We must try not to let our frustration become infectious.I continue to hold most of my funds in IOF and I am convinced that patience will be rewarded. I made my first purchase for a long time at the end of the day & look forward to a big jump in the near future.