Millbrook Scientific Share Discussion Threads

[redmarauder] 31/5/2006 14:48

Apparently, posting information from a tipster website is ramping eh? What exactly do you do ARGY2? No doubt you are a seasoned investor with a huge portfolio, which is why you post on a FREE bb. So we'll be listening to you about as much as Hezbollah thanks.

[argy2] 31/5/2006 04:24

Not the first time this group has ramped this one.

[1inamilion] 31/5/2006 00:25

Not invested here but some info for those interested..

Buy Millbrook Scientific at 5.5p

Argues the Small Cap Shares newsletter

Millbrook Scientific is an emerging nanotechnology company with three distinct subsidiaries developing low cost analytical instruments. It is breaking even on �3m sales in a global marketplace. BUY.

In 1995 John Eccles, Tim Steele and Ron Unwin set out to develop a desktop mass spectrometry instrument in the sub 100,000 pounds price bracket. Conventional machines are the size of a room and cost up to �1m. Mass spectrometry (in fact "Secondary Ion Mass Spectrometry", or SIMS) is a technique for analysing the chemical analysis of solid surfaces. There should be a significant global market for such a machine for quality control and research applications. Their quest succeeded within two years and the "MiniSIMS" won prestigious awards in the UK and US. However, the subsequent commercialisation of the MiniSIMS progressed less quickly.

In 2000, Peter Stefanini became the chief executive, with a brief to develop the sales effort. In 2002, Millbrook booked sales of about 300,000 pounds, on which basis it floated on Ofex, raising 1.1 million pounds. Sales almost doubled, to 600,000 pounds in the 15 months to March 2003. This represented six sales: 2 each in the UK and Japan, one in Europe and one in South Korea. These figures were below expectations and the failure to make a US sale was particularly disappointing. This was explained by depressed global conditions. The company had held back further R&D since 2000, but now began to develop an enhanced machine.

In March 2003 Millbrook acquired Aquila of Cambridge for 25,000 pounds cash and 75,000 pounds in shares plus an earnout. Founded by David Lovering in 2000, Aquila had developed and sold 200,000 pounds worth of machines which did for "thin film surface coatings" what the MiniSIMS did for surfaces. In the year to March 2004, MiniSIMS sales rose 43%; Aquila during its first year in the group experienced a 20% reversal in sales to 160,000 pounds.



In September 2004, Millbrook acquired Micro Materials of Wrexham for 265,000 pounds in cash and 135,000 pounds in shares. The cash came from a 400,000 pounds cash placing. Founded in 1988, Micro's product line, selling at 100,000 pounds per machine, analyses "the mechanical properties of thin films". It brought in turnover of 900,000 pounds and profits of 76,000 pounds.

Millbrook moved its quotation to Aim in December 2004. For the year to March 2005, the turnover of Millbrook-ex Micro rose 16% to 1.02 million pounds. Micro's contribution during seven months of ownership was 614,000 pounds, suggesting 10% turnover growth. Its profits were however, only 11,000 pounds. Millbrook as a whole broke even, after depreciation of 79,000 pounds, but before 130,000 pounds of fees to join Aim and 150,000 pounds of goodwill amortisation.

The interim results were released last December. The best like for like comparison is with the preceding six months. Between the two periods, sales grew 26% to 1.25 million pounds. EBITDA was 80,000 pounds. The upgraded MiniSIMS was launched. A Japanese customer placed a MiniSIMS order worth 250,000 pounds for a single high specification machine. This will be delivered in the current (06/07) financial year. Most orders arrive via the company's network of distributors covering its 20 key territories.
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Management

Executive chairman, Peter Stefanini is a Cambridge PhD who had a conventional career at Unilever, Coalite and Croda, where he was a main board director "in charge of a �100m global division" until 1996. He led a 30 million pounds MBO of chemicals manufacturer, Manro, where he was replaced in 1999. He was briefly chief executive of an adhesives manufacturer, before arriving at Millbrook in 2000. He was a part time FD there until February 2006 when Paul Grasske assumed the role. Grasske was the boss of Micro Materials when Millbrook acquired it in 2004, and he retains that position as well as taking on the FD role. He is a chartered accountant with previous FD experience. There are two other executive directors including the joint founder, John Eccles, and one non-exec. The board has been trimmed from nine to five members since the Aim flotation. The company has a bonus scheme but has not paid bonuses to date.

Current trading

In February, Millbrook said delays in the receipt of orders from customers who had "failed to secure their capital allocations within the anticipated timescales" meant it would undershoot market expectations of 150,000 pounds of adjusted pre-tax profit for the year ending in March. This reduced the share price from 10p to 7p. However, six weeks later-just ten days before the year end-a 400,000 pounds batch of five orders (covering all three subsidiaries) was announced "which will be shipped before the year end". Apparently this will recover some but not all of the shortfall advised seven weeks earlier.

In April, the company placed 800,000 pounds worth of shares at 5p. Annual results are imminent.



The issues

Nanotechnology is undoubtedly a fast growing area of science worldwide. In particular, many kinds of materials are now "nano"coated to enhance the performance of the base material. Millbrook quotes Pilkington's new line of self-cleaning glass and the use of transparent thin films in flat panel displays. Pilkington owns a MiniSIMS. Other customers of one or other of the group's three operations include MIT, Kodak, Pfizer, TDK, 3M, Corning, Siemens, LG Phillips, Imperial College, General Motors and DaimlerChrysler.

Millbrook does not have the market to itself. The Aim prospectus detailed the opposition in each product area. However, Millbrook's products can be differentiated from that of its competition. For instance the MiniSIMS squares up to four alternative technologies including large SIMS (more expensive), electron energy spectroscopy (less sensitive) and "scanning electron microscopes with energy dispersive X-ray" (good at thick layers but poor in analysing the actual surface, also slower). The latter is the most direct opposition to MiniSIMS. About 1,000 of these microscopes are sold annually and the installed base worldwide is 15,000. We estimate that the number of MiniSIMS sold to date is under 30.

Aquila's product range stands in a similar competitive position. Micro Material's is far better established. Millbrook reckons its 100 installations worldwide represent a 20% global market share in a 5 million pounds per annum niche.

Nevertheless, Millbrook does tend to undershoot its targets. Its early years on Ofex demonstrated this first. When Aquila was purchased in 2003, Millbrook projected total sales for itself and Aquila of 2.5 million pounds by the year to March 2005. The actual outcome was 1 million pounds.

And yet it has achieved some impressive hits. MiniSIMS has achieved many sales in the Far East and the latest Japanese order shows these are likely to continue. Indeed, the same company has indicated it will buy two more machines if the first works well.

Now, Millbrook needs to get MiniSIMS into the US. One of the recent batch of orders was the sale of a Micro Materials system to the University of Chicago. This was the first sale via a new US distributor appointed to represent Micro Machines six months earlier. Additionally, MIT-previously a Micro machine client-took an Aquila device. We deduce that MiniSIMS' success in Asia will eventually be replicated in the USA too. The US disappointments to date are more likely to be about small firm lack of resources or a disappointing agent appointment than about lack of potential in the USA.

Although neither acquisition has yet shown its form, the areas of overlap seem quite convincing. There should be useful gains to come from all three businesses being under one roof. The recent placing would have involved some tough questioning by the placees. Their readiness to take 800,000 pounds worth of shares suggests the answers were satisfactory.

We would apply a pinch of salt to the forecast of 200,000 pounds of profit for the year to March 2007, which happens to generate a price earnings ratio of 10. This sounds cheap but there are many risks here, not least that profits will turn out much lower. On the other hand, at the current share price this company is on a sales to price ratio of one, which is modest for a small, growing company which has so recently topped up its bank account.

Conclusion

This is an unusually racy selection for us. It won't appeal to all investors. The company has consistently promised more than it delivered, and has a tendency to congratulate itself about acquired growth as if it was organic growth.

Although it has indeed recently topped up its cash, Millbrook's balance sheet is a poor wee thing relative to cash flows to date. On the other hand the two big charges that took it into loss last year (amortisation and Aim listing costs) will not repeat this year, so provided Millbrook has kept its costs down, the loss ought to be modest. We recommend a small exposure to Millbrook at this price. BUY.

Key Data

EPIC: MBK
Spread: 5-6p
Market Cap: �3m
Shares In Issue: 54m
Market: AIM

[jessica5] 12/4/2006 16:12

RNS Number:4655B
Millbrook Scientific InstrumentsPLC
12 April 2006


Millbrook Scientific Instruments plc
("Millbrook" or "the Company")

Holding in Company

The Company was notified on 12 April 2006 that Wills and Co Stockbrokers Limited
is beneficially interested in 1,890,650 Millbrook ordinary shares representing
3.52% of the Company's issued share capital.

This information is provided by RNS
The company news service from the London Stock Exchange

[jessica5] 10/4/2006 07:37

nice...;-)

RNS Number:2484B
Millbrook Scientific InstrumentsPLC
07 April 2006


Millbrook Scientific Instruments PLC
(the "Company")

Director Shareholding

The Company was notified on 6 April 2006 that Mr Peter Vohralik, a Director of
the Company, took part in the recent placing and purchased 76,000 ordinary
shares in the Company at the placing price of 5p each, representing 0.14% of
issued share capital of the Company.

[Abuse team] 07/4/2006 18:11

Post removed by ADVFN

[slapdash] 07/4/2006 18:10

just a count down until the company goes bust.....

Slap

[jessica5] 07/4/2006 17:11

reformatted
RNS Number:2432B
Millbrook Scientific InstrumentsPLC
07 April 2006

Millbrook Scientific Instruments PLC
(the "Company")

Holding in Company

The Company was notified today that City Equities Limited, having disposed of a
number of shares in the Company to their private clients, no longer have a
notifiable interest in the Company.

This information is provided by RNS
The company news service from the London Stock Exchange

END

[jessica5] 07/4/2006 14:20

"mega-buys" and another..;-)

[jessica5] 06/4/2006 18:24

"through a placing of 15,797,150".....Just need the ones with deep pockets to continue to take-up the slack here,my guess is funds are taking a positions here,time will tell...;-))

[risk2much] 06/4/2006 17:38

What going on with these mega-buys?

[jessica5] 06/4/2006 17:34

Another 1m buy...;-))

[jessica5] 06/4/2006 14:53

lol...i wish fella...;-))

[jessica5] 06/4/2006 14:52

Just wait until the big lad starts ramping and the day trippers get here,ice-cream cone anyone...;-))

[risk2much] 06/4/2006 14:50

Jessica was that someone you by any chance?

[risk2much] 06/4/2006 14:49

what a buy...and no share price movement? Hmmmmmm

[jessica5] 06/4/2006 14:48

Ooops sorry i forgot to mention someone just bought 1.7m shares ...lol...;-))

[blackfox] 05/4/2006 16:56

You have been warned, be carefully and most important DYOR.

[jessica5] 05/4/2006 15:00

Risk2Much - 5 Apr'06 - 14:36 - 64 of 65


Simon Cawkwell goes long on Millbrook

DO YOU HAVE ANYTHING ELSE ON FAT BOY HAD TO SAY?

[argy2] 05/4/2006 14:45

At 5p by any chance...ready to dump at 7p?

[risk2much] 05/4/2006 14:36

Simon Cawkwell goes long on Millbrook....

[charmer1_23] 04/4/2006 08:10

Placing

RNS Number:8856A
Millbrook Scientific InstrumentsPLC
04 April 2006


Press Release 4 April 2006


Millbrook Scientific Instruments Plc
("Millbrook" or the "Company")

Placing of Shares

Millbrook Scientific Instruments plc (AIM: MBK), the designer and manufacturer
of innovative scientific instruments used for nanoscale investigations of
surfaces, coatings and thin films, announces today that it has raised
#789,857.50, before expenses, through a placing of 15,797,150 ordinary shares at
5p each. The net proceeds from this placing will be used as working capital.
These shares have been placed with institutional and other investors by the
Company's broker, Seymour Pierce Limited.

Application for the admission to AIM of the new ordinary shares has been made
and dealings are expected to commence on 6 April 2006. The new ordinary shares
rank pari passu with the existing ordinary shares and are identical in all
respects.

Executive Chairman, Dr Peter Stefanini commented: "We begin our new financial
year with a wider portfolio of products than ever before, including several new
products developed in-house last year. This additional working capital will
enable us to increase our sales and marketing effort and ensure that the global
potential of the product range is exploited to the full. We shall also take
steps to strengthen our distribution in the USA and Asia."

- Ends -


For further information:
Millbrook Scientific Instruments plc
Dr Peter Stefanini, Executive Chairman Tel: [phone]
[e-mail] www.millbrook-instruments.com

Seymour Pierce Limited
Sarah Wharry, Corporate Finance Tel: [phone]
[e-mail] www.seymourpierce.com

Media enquiries:
Abchurch
Justin Heath / Gareth Mead Tel: [phone]
[e-mail] www.abchurch-group.com


Notes to editors:

Millbrook Scientific Instruments plc

Millbrook Scientific Instruments plc ('Millbrook'), via its three operating
companies, is a designer and manufacturer of innovative scientific instruments
used for nanoscale investigations of surfaces, coatings and thin films. The
Group joined AiM in December 2004.

Millbrook Instruments Limited (Blackburn)

Millbrook Instruments Limited is the nucleus around which the Millbrook Group
has been built. The core product is the MiniSIMS, based on a technology known
as Secondary Ion Mass Spectrometry (SIMS) - a sensitive analysis technique that
can examine the extreme surface of complex materials in three dimensions. The
MiniSIMS is an automated, self-contained, mobile instrument, which provides a
comprehensive and low cost route to surface chemical characterisation.

Aquila Instruments Limited (Cambridge)

The acquisition of Aquila Instruments Ltd by the Group in March 2003 broadened
the portfolio to include instrumentation for measurement and investigation of
thin films - in particular optical coatings. Aquila supplies spectrophotometers
known as the nkd7000 and the nkd8000, which enable measurements of thickness,
refractive index and extinction coefficient to be made simultaneously on surface
coatings.

Micro Materials Limited (Wrexham)

Micro Materials Limited was acquired in September 2004 and brought expertise in
the high growth niche sector of mechanical nanotesting into Millbrook. The MML
NanoTest is a system which provides a high degree of precision and
reproducibility in the mechanical testing of coatings in the micro to nano range
of thicknesses, including hardness, fracture toughness, creep, adhesive failure,
surface friction, impact, scratch and wear resistance. These criteria can be
analysed under varying temperature and humidity conditions.

The Group's instruments are used in a wide range of applications including:


Adhesives Liquid Crystal Displays
Aerospace Lubrication
Architectural Glass Magnetic Storage
Automotive Optical Coatings
Biomaterials Optical Components
Ceramics Pharmaceuticals
Corrosion Polymers
Electronics Surface coatings
Food Hygiene Telecom Devices
University Teaching

The Group has a global client base - which includes a broad span of industries,
research facilities and universities - and an extensive network of international
distributors. The group's client list includes such prestigious names as:
Cambridge University, General Motors, Daimler Chrysler, Corus, Pilkington, LG
Philips, Johns Hopkins University, Imperial College, Kodak, Pfizer, TDK,
Corning, Siemens, BNFL and the Massachusetts Institute of Technology (MIT) and,
now, The University of Melbourne.

The Group's instruments are used at over 150 sites in Europe, the Americas and
Asia. The instruments typically sell in the price bracket #50k to #150k.

Millbrook and its operating companies have won a range of prestigious scientific
and commercial accolades, including: the Queen's Award for Enterprise; a UK
Trade & Investment Award; the Achievement Award of the UK Worshipful Company of
Scientific Instrument Makers ( three DTI
Smart Awards; a DTI Smart Achievement Award; Millennium Product status; and
numerous local business awards in the North West.


This information is provided by RNS
The company news service from the London Stock Exchange
END

IOEFGGGDKFVGVZM

[red ninja] 21/3/2006 08:25

Trade picking up :-

Millbrook Wins Five New Orders


Millbrook Scientific Instruments plc (AiM:MBK), the designer and manufacturer of
innovative scientific instruments used for nanoscale investigations of surfaces,
coatings and thin films, today announces the winning of five new orders valued
at £400,000 which will be shipped before the end March. These include the
Group's first sale to Australia and the first US order secured as a result of a
new joint venture in Atlanta, Georgia.

The University of Melbourne - one of Australia's foremost research institutions
- has purchased a NanoTest system for conducting advanced experiments at the
nanoscale level. In addition to providing information on hardness of surfaces
it can provide information on impact and wear properties using the Group's
unique patented technology.

The Illinois Institute of Technology in Chicago has also ordered a NanoTest
system. This is the first sale through the Group's new joint venture, with MVA
Scientific Consultants of Atlanta, Georgia. The JV, set up last October,
provides Millbrook with a demonstration site in a key global market and an
application support facility for users.

The highly acclaimed Massachusetts Institute of Technology (MIT) has ordered an
Aquila nkd 8000 to advance its research into the optical properties of thin
films. The instrument significantly increases MIT's capability in this area.

Millbrook has won the tender to supply a MiniSIMS to the Institute of Chemical
Engineering and High Temperature Chemical Processes (ICE-HT), based in Greece.
ICE-HT runs some 60 research projects in industry and universities, not only in
Greece but also other EU countries, the USA and Japan. More specifically, it has
established R&D centres both for surface science and for nano-structured
materials.

A further MiniSIMS was delivered to Winnats Scientific Services in Derbyshire,
England, last week. Winnats provides expert, fast-turnaround surface analysis on
a contract basis to a wide range of customers.

Commenting on the most recent orders Dr Peter Stefanini, Executive Chairman,
said: 'After a rather quiet period, during which the company issued a trading
update, this is a welcome intake of new business. We are delighted to have
received the first order through our new US joint venture and to have made our
first sale in Australia. Millbrook's global reach is increasing and the range
of applications for our sophisticated instruments is broadening all the time.
Our success is driven by the growth of the global performance coatings market
which has been estimated at $50 billion.'