Kromek Share Discussion Threads

[dennisbergkamp] 14/2/2021 01:10

Another lifestyle company. Too many on aim

Glad I’m out... had been so tempted to go back in but 100% not

GLA
D

[ark87] 13/2/2021 14:34

The Covid pandemic has given KMK massive opportunity but also big pressure and deadlines to deliver. We will know soon if this company is scam or not if they don't deliver at all on this statement. I believe they will so i am holding/adding but i guess we will know who's right/wrong in the nearish future.

"Kromek is engaging with potential customers for the COVID-19 detection system to develop deployment models and identify how it can best fit their needs. The Group will provide any necessary customisation of the system ahead of piloting by those user groups. The Group expects the first pilots with potential users to commence by the end of this financial year and anticipates commercial deployment in 2021/22"

[pinkfoot2] 13/2/2021 11:43

I saw this company before it listed-it had run a succession of funding rounds and had many classes of share, all clambering over each other, jostling for position in the waterfall.Of course, multiple funding rounds means high expectations of value, despite the underlying business changing direction.

Sad to say that nothing has changed-how many raises on the market since listing and how many changes in direction of the business.

If you can’t sell their kit in this market, they never will.But I have been saying that for several years.Good IP but no material sales.

[dougmachin] 13/2/2021 11:18

A few more thoughts:

[1] If Dr Arnab Basu wasn't able to sell snow in snowy places, then this company may have folded a long time ago. Along with everyone's money. With the technology bought for peanuts by waiting vultures. I can only sympathize with the frustrations of long term holders, but maybe this time, with 10 million worth of additional institutional pressure, he realizes it's now (this time) or never.

[2] Somehow that rise, again I feel on very little new news, was a real stroke of luck. Had that not happened, he wouldn't have been able to go to institutions to say, "I'm giving you a 23% discount". He took advantage of the spike and acted on it. Of course, if institutions don't step-up, then this share is dead in the water, but if they do step-up, then for me this is exciting times ahead. 10 million worth of extra institutional belief will result in a real strengthening of the share price from this 16p point.

[3] It must be really difficult doing the kind of manufacturing that KMK is doing. This is the kind of thing that Universities do for years, with backing that keeps going. I imagine Universities are more likely to receive continued funding compared to having to do the research whilst making a profit, which is what KMK is trying to do. KMK are building the research facilities, doing the research, then building the products, which are all so state of the art, people aren't sure whether they need them or not.

I am sorry for holders of the past 8 years, but as I watch and if / when institutions start taking up this 10 million, I shall be more and more likely to buy more. This is a risk. It may take time, but hopefully not so long any more, and the upside here is tremendous!!!

[davethechef] 13/2/2021 10:33

This link works better, apologies for above.
hxxps://www.business-live.co.uk/technology/kromek-taps-up-investors-13m-19824931

[davethechef] 13/2/2021 09:56

Picture of Kromek's Ds3 Radiation detector worn
hxxps://www-business--live-co-uk.cdn.ampproject.org/v/s/www.business-live.co.uk/technology/kromek-taps-up-investors-13m-19824931.amp?amp_gsa=1&amp_js_v=a6&usqp=mq331AQHKAFQArABIA%3D%3D#amp_tf=From%20%251%24s&aoh=16132091561698&referrer=hxxps%3A%2F%2Fwww.google.com&ampshare=hxxps%3A%2F%2Fwww.business-live.co.uk%2Ftechnology%2Fkromek-taps-up-investors-13m-19824931

[dougmachin] 13/2/2021 00:21

That post on ventilators is just copied directly from SCSW May '20 issue though.

This was the last paragraph in their article too, headed with "...could..."

Even though I really value and enjoy reading SCSW, I think some of what they say has to be taken with a pinch of salt, that's my view.

[melody9999] 12/2/2021 23:39

Saw a previous post from when I last looked in here when the share price was up in the 20p's.

MALCOLMMM
28 May '20 - 16:10 - 3394 of 4021
0 0 0
Ventilators could set this year’s sales ablaze
Just when Kromek’s hands should have been full with all that, Kromek is now turning to making ventilators to assist the global response to COVID-19 and has licenced-in a design from Metran, a leading Japanese ventilator company.
The re-tooling of Kromek's existing production facilities to make a ventilator is not expected to incur any material cost and Kromek reckons it can produce up to 2,000 units within the first twelve weeks, which will benefit the current year sales starting 1 May. With an average selling price of ventilators around the US$10k mark, 2,000 units could see this agreement producing a US$20m revenue contribution, which is yet to be factored into broker forecasts....

So did this happen? Clearly nowhere near US$20M. So have things changed here? Or will they continue to burn cash and then come to market again, raise cash and further dilute shareholders?

[slicethepie] 12/2/2021 22:06

If you have ever listened to the ceo, he could sell snow to the eskimos, he is so polished. He persuaded gervais at miton, his largest investor, for many years st he backed him on all the raises. He sold out completely recently suggesting he has seen through the glossy story. I think there is some great tech / ip here not least 2 fabs producing czt and that a good chunk of the capital has been spent wisely. Unfortunately this needs a ceo who can deliver profits and not one who is happy to spend shareholders funds on the next exciting idea regardless of return. I will back but only because of the value here not the ceo who is contributing a paultry £2500.

[pinkfoot2] 12/2/2021 20:07

As I said 10 years ago, and now,change to create the illusion of progress

[ark87] 12/2/2021 17:24

Good find Dougmachin... While the little guys are moaning and selling out the big boys spot an opportunity and are loading up. Reminder:


"Biological threat-detection solution for the automated detection of all airborne viruses, including COVID-19, to support end-use cases.

The Group's solution is designed to be deployed in high footfall locations, such as airports, hospitals, retail outlets and entertainment venues. The base technology, which is fully developed, samples the air in-situ to detect and analyse airborne pathogens using DNA sequencing. In response to the pandemic, the initial focus is on productising the technology to develop a system that will rapidly test for the presence of SARS-CoV-2, the virus that causes COVID-19. It will run automatically and the results will not require analysis by trained individuals or specialist laboratories.

By detecting the virus in the air in real time, rather than solely relying on the testing of individuals or development of symptoms in individuals, the system will enable earlier identification of potential infection exposure to help reduce transmission. It will also support facilities management such as by enabling site operators to know what level of ventilation is required from the HVAC system or when decontamination is necessary.

In addition, the system will have the capability to test for a wide spectrum of viruses, including mutations of SARS-CoV-2. This will support the development of a bio-resilience solution against the spread of new strains of COVID-19 or other novel viruses that could result in future pandemics.

Kromek is engaging with potential customers for the COVID-19 detection system to develop deployment models and identify how it can best fit their needs. The Group will provide any necessary customisation of the system ahead of piloting by those user groups. The Group expects the first pilots with potential users to commence by the end of this financial year and anticipates commercial deployment in 2021/22."

[dougmachin] 12/2/2021 15:40

The plot thickens!

A good KMK resource too:

hxxps://directorstalk.net/netpark-kromek-case-study

[dougmachin] 12/2/2021 15:39

12 February 2021

Intuitive Investments Group plc

Proposed Investment in Kromek Pharma plc

Intuitive Investments Group plc (AIM: IIG) ("IIG"), a closed-end investment company focussed on the life sciences sector, announces an investment of £249,975 to acquire 1.66 million ordinary shares of Kromek Group plc (AIM:KMK) ("Kromek") at a price of 15 pence per share (the "Investment"). The Investment is part of the fundraising announced by Kromek on 12 February 2021. The Investment is conditional upon, amongst other things, the resolutions being passed at Kromek's forthcoming general meeting on 1 March 2021.

Kromek Group plc is a worldwide supplier of detection technology focusing on the medical, security screening and nuclear markets.

The Investment in Kromek is the Company's fifth investment following its IPO in mid-December 2020.

[hatfullofsky] 12/2/2021 15:25

As most I like the tech, they always seem to be in the right area, bio threat could be huge, as was the liquid detection, as was the CZT scanning, as was, as was .....

They need to focus and deliver and turn a profit. Get a COVID scanner that can run on a plane and jackpot !

One negative is the director commitments to the raise.

Chair £23k
CEO £2.5k
CFO £12k
NED £7.5k


WTF !!!!! CEO £2.5k !!!!!!

[pinkfoot2] 12/2/2021 15:20

How long have you got?These guys have been spinning plates for 15 years plus

[dougmachin] 12/2/2021 15:18

From looking at the trades, there's a lot of sells, agreed, but a lot of bigger, chunky buys coming through now.
Smaller private investors are spooked and selling out, where as some people are snapping up a bargain big time...?
Time will tell!

[jaf111] 12/2/2021 14:57

I agree miti1000.....and I recall they had a JV with some significant Japanese company and that it wasn't a question of IF they won orders but rather HOW MANY ventilators they would produce / supply.....

[miti 1000] 12/2/2021 13:11

The lack of any comment on ventilators is startling. Wasn't that supposed to be a big money spinner ?

[tigletpiglet] 12/2/2021 12:46

Research Tree just emailed a Cenkos update: Kromek Group Plc -- Ramping up into 2022E. Does anyone have access? TP

[wigwammer] 12/2/2021 12:26

Your point about participation is a fair one, sphere. If management can participate to a more material level, I believe they should. ATB

[sphere25] 12/2/2021 12:21

That's the short term trade set up gone. Have to wait and see where the price settles for another pop at this.

Well done to those who called the placing here. This is always the risk with the speculative jam types. The directors aren't putting their money where their mouths are either. Scroll down the release and you'll see piddly participation - bearish that rather than bullish. Ideally want to see some big dough thrown at it to back up the jam that they're putting out there.

On the flip side, now that the fundraising is out of the way will the market put the financing risk to one side and focus on the bullish case (as per so many companies post fund raise, particularly when the cash was absolutely needed though they were far less speculative) or will it adopt a wait and see on the delivery and then factor in a further raise down the line on non-delivery?

I'm going to stick to nipping in and out of this for now rather than holding, but I'm still interested which is why I'm posting. It's alot of jam to date and I'm apprehensive, but could there be some contract news to follow because it looks like they might have something here.

And for those reasons, I'll keep a watch. IF they were to announce something financially material, it might even become a hold.

But for now, a wait and see.

All imo
DYOR

[varies] 12/2/2021 12:18

Painful as the exercise can be, I sometime find it salutory to look back and recall as best I can my reasons for buying shares that have subsequently performed badly.
In this case I was attracted by KMK's development of a machine for analysing liquids carried by passengers at airports and of their high definition medical scanner more effective than X-ray and less harmful. Both products are on sale, I believe, but I am not sure that they yield much in profits.
I started buying these shares in 2017 at about 33p and have topped up many times every year since including a subscription to the Open Offer on 2019 at 25p. Since then I have added more at lower prices and 25p may be my average price.
During the last ten days I have been regretting that I did not add more after the recent results and waiting without much conviction for the price to fall to about 15p to buy some more.
So I am less upset that most posters here by the Open Offer announced today. I will take up my entitled of 1 for 17 and apply for more in the hope that this £10 million may last KMK for at least 18 months and perhaps even see them into a respectable profit.
The development of highly sophisticated products is an expensive business. I can see now that I have invested in KMK far too soon but I am convinced that it has exciting prospects.
On the negative side, I infer that KMK see little prospect of recovering soon the £13m that Chinese customers are to pay for stock now in warehouses out there when this can be delivered.

[mdchand] 12/2/2021 12:03

Kromek has visibility over approximately GBP10.2 million and GBP14.9 million revenue for the financial year ended 30 April 2021 and 30 April 2022 respectively.

So, they have contracted revenues of £14.9m for yr end 2022 - which is new info and potentially one of the key reasons for raising the cash. And that is before any future contract wins between April 21 and April 22.

I have no issue with the fund raise if it was a potential condition of a future large contract, but the discount is annoying. A lot of mediocre fund managers make half decent profits simply by buying into heavily discounted offers such as this when the prospects of the underlying Company simply do not warrant such a discount.

Perhaps its one of those necessary evils. Luckily bought at 12p.