Lightwaverf Share Discussion Threads

[athnotts] 22/3/2019 20:11

doubling revenue every year in a start up consumer electronics company needs that level of losses, imo it can't be done otherwise as it needs high sales and marketing costs to get awareness (almost everyone that comes to my house for first time still say 'what are the lights on your switches' when they see the lwrf stuff, been the same for years) and in this particular case they also need to invest in new devices to add to the range, and modernise some older parts of the range. i would be worried if i did not see losses at this early stage. they need to drive scale now, then will get profits later. that's what den will do i reckon.

[clocktower] 20/3/2019 17:02

brownie69 -having just finished my holiday reading I turned to the Hardman report. Looking for something more constructive than "Poking a Dead Frog" by Mike Sacks but alas it turned out to be the best bit of fiction that has crossed my patch, and certainly does not need me to decimate the contents, as it does the job for itself I would suggest, on the basis of the projected loss for 2019 alone.

I would be gobsmacked if they were happy with the document IF the BoD did agree to pay for it, and then went on to agree to its publication without countering its findings.

It seems I will have to find a less entertaining publication if I want to stop myself from laughing if anyone refers again to the report in other than a comedy sketch.

[athnotts] 18/3/2019 10:46

so this research report (which I assume lwrf paid for as hardman is not a broker?) says fy19 revenue of 6.4m. they did 1.15m in first 3 months, so 5.25m to go to get there, that can only mean a v. strong jan-mar number given a summer slowdown (as the report notes) tho quite how this fits with the note that it "was compiled using publicly available information" i don't know, aim company research seems a bit of black art to me. anyway, lwrf is for sure undervalued if 6.4m rev is coming by sept, and I'm surprised there has not been a move up in share price since this came out on thursday.

[brownie69] 15/3/2019 10:49

Looking forward to hearing how Clocktower can put a negative spin on this :-)

[mg78] 15/3/2019 08:06

LWRF spinning the 'first of it's kind' yarn this morning....

Urmmm.......Hello......Lagan Homes????

Plus their RNS' do not even appear on the alerts column of advfn (a problem which stems back to the days of Lordy).

[clocktower] 05/3/2019 11:38

I notice LWRF have big price drops on a number of items:

For Example,



Much like the stock - dropping in price.

[athnotts] 01/3/2019 16:12

good to see unicorn support them, looks like herald decided not to based on the story, no new institutions too - but who knows how hard stockdale tried on that.

[brownie69] 01/3/2019 13:31

That was quick! Clearly a stronmg story being told.

[whoppy] 01/3/2019 12:37

Didn't take long to get the £2.5m. Bite your hand off at 8.5p. ;o)

[whoppy] 01/3/2019 11:01

May see some more director buys in the market though.

[whoppy] 01/3/2019 10:59

Directors are not participating because CCFL want as many shares as possible. They are also underwriting the open offer and will be applying for all the excess shares.

[brownie69] 01/3/2019 10:46

Steve Harris is a director of Committed Capital and a NED at LWRF and thus has a big economic interest in LWRF doing well. Otherwise his fund underperforms and Com Cap dont get their performance related fees. (I'm assuming like most VCs they have a hurdle rate to clear)

Also given that the offer has only just been announced the directors would have been insiders thus unable to buy. Would be intersting iof they participate in this offer though.

[alynch] 01/3/2019 09:13

I want to know why none of the directors think that this company’s worth buying into at this level, why they don’t have the confidence that buying now would bring a good return on their investment.
Doesn’t give me a lot of confidence.

[clocktower] 01/3/2019 08:40

Peanuts for Monkeys - so they can keep paying themselves - sucker more PI`s in to throw them some nuts on the promise they will perform another trick.

How much of this have they already spent?

Got to give them credit for being able to raise it at 8.5p - How many rounds of funding have they now had and at what levels?

How low will it go before directors make bigger purchases to sucker more peanut throwers in?

[brownie69] 01/3/2019 08:27

Committed Capital operate VC funds. They are not a PE house and thus I agree with athnotts, They are not likely to take LWRF over.

[athnotts] 01/3/2019 00:40

i wouldn't have thought committed capital et al would really want to do a takeover. limited data on the very thin cc website but it mostly feels like minority investing is their usual approach, that's what happens at this small scale - majority or full ownership positions are generally a PE type game @ circa 10x the scale of a lwrf.

given the long gap from the flurry of rns activity to now it feels to me that lack of interest meant they needed to step in regardless of whether or not they wanted to. i just hope that once this is done the management team focuses on getting a strategic type investor with real market scale. 2.8m less expenses to get it in is not enough for the marketing and tech investment needed in this market, anyone of note is way better funded - and that's what den say they are going to try to do too.

[whoppy] 28/2/2019 17:19

£2.8m being raised at 8.5p. Looking like an eventual takeover with Committed Capital holding 38%. The Concert party will not be restricted from making an offer for the Company.

[athnotts] 25/2/2019 11:47

i noticed den are raising on seedrs again; campaign to raise £200k on a £20m pre money valuation, it is over subscribed at 183% and there are comments that it will close imminently. a few interesting items in the discussion forum comments/responses - jan sales (launch month) were £100k; aim is to get to £1m sales per month in next 9-12 months, their eu patent is being opposed by lwrf, they have ceased a us patent application; they plan a series a vc round at £25-30m valuation in the period ahead.

could be that all this activity is good for lwrf, if they get that raise done (no easy feat in current climate as others have pointed out here) it will make lwrf valuation look cheap. it will all hinge on den's month on month sales growth i would think.

[clocktower] 22/2/2019 09:35

Yes that is a couple of the options sinkyj - with borrowing against forward invoices being very effective but there are still other alternatives that might be increase the risk for small shareholders but I think the BoD are more interested in drawing their salaries that worrying about PI`s.

I would also not rule out them taking on a large loan that is convertible in due course, and that would effectively wipe out small shareholders when converted.

[sinkyj] 22/2/2019 09:22

I guess there's 400k of Tax credit to borrow against and then an amount of forward invoices. Apple are a good credit risk! Directors also don't have to take salary immediately. Even so, it must be getting quite close to empty

[clocktower] 21/2/2019 14:59

Maybe they are now happy to see the share price slide further because if they do a big raise at say 4/5p the discount will seem to be pretty fair.

On the other hand they may avoid doing one by taking another route that will see the share price rise upon news.

[clocktower] 19/2/2019 16:19

Seems to be avoiding the expected funding but for how much longer?

[jmf69] 17/2/2019 22:37

Den automation having issues

[whoppy] 17/2/2019 20:48

Getting rave reviews from customers on Trustpilot.