Modern Water Share Discussion Threads

[global nomad] 24/1/2020 08:49

would have used some different language but its still early...

[global nomad] 24/1/2020 08:48

ever feel like you've been taken for a ride....

[gbenson1] 24/1/2020 08:43

Looks like Gibraltar might be back on??

[colsmith] 22/1/2020 10:18

Here's a thought - the move to a Hydrogen economy (powering transport, factories etc) will need of course Hydrogen, which is currently produced principally by using Water. So if the Hydrogen economy takes off big time, which it seems likely to do over the next few years, then more water will be needed; and with Water becoming an issue in many pats of the world the implication is that thee will be an increasing market to turn waste water to clean. I wonder it the analyst community are seeing this relationship and if so see the market for MWG.

[city chappy] 22/1/2020 09:53

Toople (TOOP) easy 20x bagger on current customer numbers alone.

[waldron] 16/1/2020 05:05

Upcoming events on MODERN WATER PLC


march/11/2020 FY 2019 Earnings Release (Projected)

[waldron] 16/1/2020 05:03

strong support at 1.10p it seems

[escapetohome] 16/1/2020 01:38

Come on now modern water group.

Its time to demonstrate your leadership and prowess in this field.

Its time to grab this opportunity.

Its time now to resolve this uncertainty that is bitterly dividing your shareholders. Announce the sale , update your shareholders - for better or worse.

The news could go either way. PLEASE PLEASE UPDATE US.

[tewkesbury] 06/1/2020 18:15

Good evening.

[garth] 06/1/2020 17:16

Ps. I joined these boards in December 1999.

Sharetalk profile was created December 2019.

I count it bad form for my sharing of a balanced view related to a share that I hold to have been moderated. Any future view I post on MWG will be posted here, not there.

regards,

G.

[garth] 06/1/2020 17:11

GGL,

I will post my reply here in addition to the other thread, in case it gets moderated again. I posted much more at the weekend, but here it is in short:

At the time of finals, Membranes was going to be sold off. A change in strategy after that point means that by the time of the half year point everything else is being sold and Membranes becomes the whole company. Why? I suppose it is because they didn't raise enough cash to wait for Gibraltar - on which so much investor hope was based. I am happy to listen to an alternative narrative around that. But at the time of the final results the strategic risk statement pointed specifically to commercialisation risk associated with the up-scaling of the membranes division.

Those results also detail a circa £70K commitment to investment in an Asian JV linked to membranes.


£68K cash at June plus £141K raised BEFORE COSTS (way less than they wanted) in September.

Cash outflow before financing in 2018 was GBP1.7m (2017: GBP2.2m)

At the time of finals the company stated that it was well paced for profitability - but that was based on the assumption that Gibraltar was on and Membranes was out.

My contention is currently that no-one knows what the investment case is here.

How much cash burn was central, how much was due to now divested business, how much was due to membranes? We haven't been told, I for one can't work it out from my reading of the accounts.

What we do know from the finals, note 5.2 is that Membranes accrued the following revenue in 2018

Americas £0
Europe £378K
ME & Africa £3K
Asia £100K

That is £481K of revenue, against £369K in 2017

Cash outflow last year was £1.7M

They went to the market and could only raise £141K

What is the investment case here?

I would love to believe that there is a positive story to hear. I hold. I took up rights. But for all the stuff that Sharetalk has posted on the new thread, that question hasn't been answered. And it cant be - except by management, because I can't see how any investor can know what the current cost base of the continuing business is.

That is my view. It is a personal viewpoint only. No-one would be happier than I to hear that my current investment is anything more than wastewater down the toilet (that may have been one of the statements that caused offence - but credit please for a pithy and fairly relevant analogy)

I invested here following the sale of Hydro(HYD) for water desalination/purification exposure. I see that as an ethical investment. It has disappointed.

Do Your Own Research - the narrative I relate is just my reading from the official RNS releases.

G.

[garth] 06/1/2020 16:35

GGL,

At the time of finals, Membranes was going to be sold off. A change in strategy after that point means that by the time of the half year point everything else is being sold and Membranes becomes the whole company. Why? I suppose it is because they didn't raise enough cash to with for Gibraltar - on which so much investor hope was based. I am happy to listen to an alternative narrative around that. But at the time of the final results the strategic risk statement pointed specifically to commercialisation risk associated with the up-scaling of the membranes division.

Those results also detail a circa £70K commitment to investment in an Asian JV linked to membranes.


£68K cash at June plus £141K raised BEFORE COSTS (way less than they wanted) in September.

Cash outflow before financing in 2018 was GBP1.7m (2017: GBP2.2m)

At the time of finals the company stated that it was well paced for profitability - but that was based on the assumption that Gibraltar was on and Membranes was out.

My contention is currently that no-one knows what the investment case here.

How much cash burn was central, how much was due to now divested business, how much was due to membranes? We haven't been told, I for one can't work it out from my reading of the accounts.

What we do know from the finals, note 5.2 is that Membranes accrued the following revenue in 2018

Americas £0
Europe £378K
ME & Africa £3K
Asia £100K

That is £481K of revenue, against £369K in 2017

Cash outflow last year was £1.7M

They went to the market and could only raise £141K

What is the investment case here?

I would love to believe that there is a positive story to hear. I hold. I took up rights. But for all the stuff that Sharetalk has posted on the new thread, that question hasn't been answered. And it cant be - except by management, because I can't see how any investor can know what the current cost base of the continuing business is.

That is my view. It is a personal viewpoint only. No-one would be happier than I to hear that my current investment is anything more than wastewater down the toilet (that may have been one of the statements that caused offence - but credit please for a pithy and fairly relevant analogy)

I invested here following the sale of Hydro(HYD) for water desalination/purification exposure. I see that as an ethical investment. It has disappointed.

Do Your Own Research - the narrative I relate is just my reading from the official RNS releases.

G.

[grupo guitarlumber] 06/1/2020 11:21

garth
6 Jan '20 - 11:07 - 17 of 17
0 1 0
Anyone any idea why Sharetalk moderated my post, when 6 voted it up? First time I have been moderated in 20 years on BBs...


garth
4 Jan '20 - 09:48 - 6 of 16 MODERATED
 6  0

Someone wanting to bury balance viewpoints?

G.


lol
what did you post that was so dastardly

[garth] 06/1/2020 11:07

Anyone any idea why Sharetalk moderated my post, when 6 voted it up? First time I have been moderated in 20 years on BBs...


garth
4 Jan '20 - 09:48 - 6 of 16 MODERATED
 6  0

Someone wanting to bury balance viewpoints?

New profile started 15th December 2019...

DYOR

G.

[city chappy] 05/1/2020 11:56

Found this on L-S-E:

"They are at advanced stages as of August and sept 2019 of selling thier USA based world wide water monitoring business. This would in the words of the company add a "significant strengthening" of the balance sheet. Estimations this could be £3 mln - £5 mln. The Board is working on selling the Monitoring Division and on re-structuring the Membranes Division to ensure that its valuable technologies can be commercialised more rapidly"

[city chappy] 05/1/2020 11:53

Any ideas about how much they might get for selling the Monitoring Division?


sharetalk
4 Jan '20 - 11:42 - 10 of 14

I think the record large order just secured by the Monitoring Division for Microtox worth $335,000 will help finalise a sale of the Monitoring Division and on good terms.

Its then a relatively cheap and easy matter to run the Membranes Divison mainly as an outlicense and services supply business model, in acccordance with the new strategy, with partners now in place including Ion Exchange (covering India, Oman, the United Arab Emirates and Saudi Arabia), Hangzhou Shangtuo EST (Sunup) (covering China and the Far East) and WEC Projects (covering Africa).

[city chappy] 05/1/2020 11:50

MWG looks interesting again.

[cottoner] 04/1/2020 18:40

From the previous Ion Exchange post :

With regards to their expansion plans he said, “We have already made an investment of close to about Rs 60 crore in membrane technology business and now are waiting for another expansion which will come up during the next financial year."

600,000,000 Indian Rupee equals
6,388,605.36 Pound sterling

From the recent MWG RNS :

Ajay Popat, President of Ion Exchange (India), added: "Modern Water's technology, both brine concentration and forward osmosis, is innovative and the right strategic fit to further improve competitiveness and attractiveness of our Zero Liquid Discharge solutions and brine recovery processes to our customers. We look forward to deepening our relationship with Modern Water."

[cottoner] 04/1/2020 18:07

MWG have just recently announced that it has signed a collaboration agreement with Ion Exchange (India) Ltd, a large international specialist in water and environment management. Ion Exchange will integrate Modern Water's proprietary brine concentration technology and forward osmosis technology in its projects across India, Oman, the United Arab Emirates and Saudi Arabia.

++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

Expect robust order inflow given government's push on water infra, says Ion Exchange
January 03, 2020

The membrane technology business for the company is expected to grow by about 15-20 percent per year.
Fresh water availability is getting scarce which is forcing the industry & the govt to look at alternate sources.
Already made an investment of close to about Rs 60 crore in membrane technology business.

Ion Exchange India stock price has seen a big run up from May-June last year when the stock was trading sub Rs 400 levels. Since then it has doubled to levels of around Rs 800.

The company posted a strong growth in the first half of the fiscal with revenue growth at 54 percent and profit after tax (PAT) growth of 78 percent.

Discussing the outlook for the company going forward Rajesh Sharma, chairman and managing director of the company said they are confident of maintaining similar growth rates for the second half of the fiscal as well.

Talking about order pipeline, he said the Sri Lankan order was progressing very well and by the end of this financial year, they would be completing over 70 percent of the contract.

“In terms of order visibility for the next 12 months, we have a healthy order bank and the way we see investments coming up in the water and sanitation area especially now that the government is committed to provide safe drinking water to every household – it will open up a large opportunities for companies like ours."

Similarly on the sanitation front as well the government is determined to see all the city’s sewage treated. "So, once these projects start coming up, I am sure there will be a good growth for the whole water industry,” he said in an interview with CNBC-TV18.

“Everywhere the fresh water availability is getting scarce which is forcing the industry and the government to look at alternate sources. Now alternate sources are sea water treatment and waste water treatment. Both treatments require membrane technology to make the water good for reuse. That means the membrane business is likely to grow tremendously in the next 5-10 years," he said.

According to him, the membrane technology business for the company is expected to grow by about 15-20 percent per year since people are keen on using processes that do not use chemicals. Membrane technology is needed to make wastewater or sea water portable.

With regards to their expansion plans he said, “We have already made an investment of close to about Rs 60 crore in membrane technology business and now are waiting for another expansion which will come up during the next financial year."

[sharetalk] 04/1/2020 11:42

I think the record large order just secured by the Monitoring Division for Microtox worth $335,000 will help finalise a sale of the Monitoring Division and on good terms.

Its then a relatively cheap and easy matter to run the Membranes Divison mainly as an outlicense and services supply business model, in acccordance with the new strategy, with partners now in place including Ion Exchange (covering India, Oman, the United Arab Emirates and Saudi Arabia), Hangzhou Shangtuo EST (Sunup) (covering China and the Far East) and WEC Projects (covering Africa).

[sharetalk] 04/1/2020 11:38

A) MWG: 23 December 2019

1) Modern Water plc (AIM: MWG) is pleased to announce that it has secured the sale of its largest single order for its Microtox(R) CTM to a customer in China. The total value of the order is US$335,000. Microtox(R) CTM is a site-based, broad range monitor which continuously measures the chemical toxicity of a water source, giving instant indication of water health. The equipment will be used for new hydrological and water treatment stations in Shanghai.

2) Modern Water is further pleased to announce that it has signed a collaboration agreement with Ion Exchange (India) Ltd, a large international specialist in water and environment management. Ion Exchange will integrate Modern Water's proprietary brine concentration technology and forward osmosis technology in its projects across India, Oman, the United Arab Emirates and Saudi Arabia.




B) MWG: 25 November 2019

Modern Water sells its largest-ever AMBC for Korea Salt Production Facility

[waldron] 04/1/2020 11:04

Upcoming events on MODERN WATER PLC

march/11/2020 FY 2019 Earnings Release (Projected)

september/16/2020 Interim 2020 Earnings Release (Projected)

[garth] 04/1/2020 09:42

Deleted because the thread holder doesn't want factual information from the accounts notes posted which might provide a balanced investment case.

G