Ondo Insurtech Share Discussion Threads

[hamidahamida] 14/11/2024 11:21

Past placing record shows management has a habit of stinging investors by doing couple of discounted placings in every year so another one is due anyday.What is worse they always attach dread warrants with each placing to suck the life out of any bullish price run. Management need to come clean on financing IMHo For now they should explore funding through traditional bank loans with zero dilution and later raise big money through placing at much much higher price around 1 quid.

[cyberbub] 14/11/2024 10:46

Having spoken to them by email, the management seem honest, and to be clear on their mission. The technology clearly works, major insurers are signing up, and it's going hockey stick in terms of units out the door. The BOD for a small company is outstanding.

My main concerns at the moment are:

* The £6m loan/vendor payment from the RTO. Does anyone have any clarity on that? I read that there is no interest or repayment due to start until 2026, but there is a finance cost showing in the last results, and another bit of info said that the loan is "repayable" in 2026.

* The CEO pay seems very high at £256k at the company's current size.

* The management team is clearly very small, so I'm not sure where they get almost £4m overheads?

* Do they have enough cash for the next 6 months? Probably not IMO. The question is whether, if the warrants aren't exercised or aren't enough, any placings will be done at a much higher price, based on continued good newsflow?

Anyone got any comments?

[cyberbub] 14/11/2024 10:40

I would agree that warrant holders are likely to wait until at least 50% above the strike price to exercise. Would be odd for 25p warrant holders to exercise at 26p!

[hamidahamida] 14/11/2024 10:03

Seller feeding the market 15 million warrants Stops the recent rise in its tracks

[cyberbub] 13/11/2024 17:51

Note that all the late 100k trades are from yesterday 12th Nov

[cottoner] 13/11/2024 14:58

Very bullish interview today with CEO Craig Foster


Craig Foster has ambitions to build Ondo into a billion-dollar company tackling the $20 billion U.S. water damage marke

[tom5boy] 13/11/2024 13:51

Homebrewruss

That’s approximately £5million that Ondo
will bank.

Easily with this and first year upfront payments from new orders will give us the platform to accelerate growth and open further manufacturing facilities including
in the US.

As Craig stated ‘ no reason for Ondo not to
be billion dollar company ‘

Buy and hold.

[cyberbub] 13/11/2024 13:10

Have they been exercised? Or are you saying the 20p warrants are being front-sold?

[homebrewruss] 13/11/2024 09:22

Isn't it about 9m warrants at 25p and 7m at 20p?
Point taken but over 5m shares traded yesterday. Shouldn't take too long to chomp through those warrants.
Cash will be useful too.
Who cares if you are looking long term.

[hamidahamida] 13/11/2024 09:18

IMHO for now 15 million outstanding warrants around 20p plus are big hurdle in terms of price action.

[cyberbub] 13/11/2024 08:45

Cottoner, yes the Dowgate report says exactly that - a Leakbot can be reactivated and paid directly by the customer in that case.

[homebrewruss] 13/11/2024 07:54

Worth considering the CEO too when investigating a company 😀

[cottoner] 13/11/2024 07:38

That answer may also imply that it could result on occasions ONDO getting paid twice for the same LeakBot.
e.g. Nationwide uses LeakBot for new customer that it still within the 2-3 year minimum payment cycle.

[cyberbub] 13/11/2024 07:31

The CEO got back to my query(!) and said that yes the ongoing payment will be lost if an insurance customer jumps ship, but they usually have a 2-3 year minimum payment in the contracts which mitigates that. He says that churn in the USA is typically less than 10%

[homebrewruss] 12/11/2024 23:01

Sounds like ALD (the leak detection part of WATR) is a service you can use to pinpoint a leak once you already know you have a leak and/or you need to get them around to your house for leak detection.


Yes you can buy a Leakbot but this is a bit of a throwback to the early days of Leakbots before they started gaining traction with insurers.

[cyberbub] 12/11/2024 22:53

Interestingly, you can buy a Leakbot privately for £149 in the UK, or $190, at www.leakbot.io. So that's 3x the price that Ondo get from Nationwide per unit, and you don't get the free plumbing repairs thrown in!

[cyberbub] 12/11/2024 22:46

I edited my earlier post sorry, have another look

[cottoner] 12/11/2024 22:26

Nov12,2024
Crisis averted!
How a small LeakBot water leak device saved one Ohioan a big headache

[homebrewruss] 12/11/2024 22:22

Heard of them before a while back, is it only swimming pools?
Ondo are also developing a tweaked Australian solution due to the main water pipe being outside the house.

As far as I know others have tried and failed to do what ONDO have done before as the CEO reiterated today due to inferior tech

[cyberbub] 12/11/2024 22:08

Thanks.

Interestingly while doing some research I have come across another company called WATR which is also active in leak detection in the USA, currently focusing on swimming pools(!) and irrigation channels, but has a domestic leak detection tool/process and is investigating insurance company deals, and is apparently ramping up research in Australia, anyone heard of them?

PS in fact it says that WATR have deals with two US domestic insurance companies and "For example customers buying leak detection services, get a discount on their home insurance"

[homebrewruss] 12/11/2024 19:21

Re IR you can try via the company website
or alternatively the CEO is on X and pretty communicative

Re churn, as I understand it US customers are more sticky than the UK and there is some research that ONDO have done in Sweden I think that shows customer retention goes up more when they have a Leakbot.

[mr paul b] 12/11/2024 17:03

Good point as one would imagine if you have a claim your premium goes up . As they Pay on average 1400$ their premiums could go up considerably. ..

[cottoner] 12/11/2024 16:29

Perhaps a good reason for more US insurers to get a deal with ONDO.
A customer may be less willing to move to an insurer who can't guarantee detection of a leak.

[cyberbub] 12/11/2024 16:29

Is there an investor relations contact?

[homebrewruss] 12/11/2024 16:27

Would be worth asking the company about churn. The idea of the Leakbot is it will translate into lower insurance premium for the customer though.