Petards Share Discussion Threads

[tiltonboy] 23/12/2016 13:45

Still around 17m to convert.

[bones] 23/12/2016 13:31

That's what I said Tiltonboy :)Merry Christmas.

[noujay] 23/12/2016 13:13

Sorry just seen, 5.96m remain unconverted according to the report

[noujay] 23/12/2016 13:12

How many remain Tilton?

[tiltonboy] 23/12/2016 12:58

Bones,

There are more than 6m still to be converted.

[bones] 23/12/2016 11:59

600k shares issued @ 8p in last 6 months from loan conversions. 6 million to go!

[qs99] 23/12/2016 11:12

Merry Christmas and good to see you on here Riv.

cheers

[bones] 23/12/2016 10:46

Merry Christmas Rivaldo and all regulars in this stock!

[rivaldo] 23/12/2016 09:06

Welcome QS99.

Nice 50k buy just now at 26.4p. Online I can only buy a maximum 5k at 26.5p, whilst I can sell 70k at a premium at 25.41p.

Overall then, PEG is looking good, and merry Xmas to all!

[qs99] 22/12/2016 17:00

thanks for all posts, have entered the fray recently. with the net cash balance which should be increasing with increased EBITDA IMO, then this should IMO have further to go on all valuation metrics. GlA

[bones] 22/12/2016 15:01

The question, Noujay, was whether Petards had any option but I expect you are right :)

[noujay] 22/12/2016 14:47

Presumably the MOD!

[bones] 22/12/2016 12:35

As you say, Rivaldo, the wording in the RNS offers scope:

"....Under the terms of the contract Petards will continue to perform Post Design Services, with additional engineering, repair, refurbishment and manufacturing which are expected to significantly enhance the value of the agreement.

Commenting on the award, Petards Chairman Raschid Abdullah said;

"Having provided these services to the Ministry of Defence for many years it is pleasing they have renewed the contract at increased scope and value for a further three years while maintaining the option to extend for a further two."

I wonder which party has the option to extend the contract?

[bones] 22/12/2016 12:32

Good perceptions there Rivaldo!

Those 20k at 23.2p last week are looking half decent now. I keep thinking I have way too a high a proportion of my holdings in PEG but every contract announcement helps me convince myself otherwise. What I would like to see going forward are:

- Contract win on the East Anglian railway (Bombadier/Abellio)
- Final results showing profits that are not too inflated by capitalised development costs
- Commencement of dividends

Some or all of those should help the share re-rate.

[rivaldo] 22/12/2016 12:11

Another great piece of news, with even better forward visibility given the 3 year contract renewal from the MOD - worth a minimum of £1.6m and possibly quite a lot more from the look of it:



In post 531 I posted the following, and this applies even more strongly now:

"I'm intrigued by the Defence division (Petards Joyce-Loebl):



PEG don't seem to make a great deal of noise about this, but I'd have thought with its history and reputation (i.e winning large MOD contracts) it should be able to make hay in the same way as the Rail division is now doing, given specialisms in electronic countermeasures, surveillance, control systems, communications etc, with global prospects.

The interims noted that PJL had strengthened its "engineering capability", with further investment this year in software and testing facilities.

Can anyone shed further light on this division? Perhaps this could be on the verge of winning more business?"

[noujay] 22/12/2016 12:07

Nice pre xmas news!

[courant] 20/12/2016 11:28

Note, this is a framework agreement though, it still requires orders to come through under that agreement. That said, this is still significant vs the market cap.

[rivaldo] 20/12/2016 09:47

Nice summary of the latest contract win here:



For me the key point is the original Siemens agreement for PEG to supply Siemens' global operations, as per the original Siemens contract RNS:



I've been a bit slow to appreciate just what a huge agreement this is for an £8.9m m/cap company (and a lot less when it was originally signed):

"The Agreement is for an initial five year term renewable annually thereafter and covers the world-wide Siemens business whose portfolio comprises the entire Siemens rail vehicle business ranging from locomotives, commuter, regional, intercity and high-speed trains, metros, light rail vehicles and automated people movers to passenger coaches for inter-city rail service and electric bus systems for cities as well as related services and maintenance."

[noujay] 16/12/2016 15:16

This seems to be just quietly motoring along without attracting too much attention. If it continues, as somebody else pointed out, then the higher mcap will bring it onto the radar and with a bit of luck we could see a whole new trading range.Re the convertibles - the way it's going I can't see the significant holders converting and selling out at this juncture. They pay a decent 7% coupon and tripled in value so far making it a lovely ride for them. I say this as I doubt selling these will put the handbrake on anything outside of an extraordinary rise.

[bones] 16/12/2016 14:23

Hope so Rivaldo. I am not a believer in conspiracies like "tree shakes" to explain every single down move in a stock but what happened yesterday here certainly had the effect of shaking out a few lumps of stock! Anyway, it is easy to see that this pattern will repeat because of the large number of potential converters at 8p. Bound to encourage profit taking when you are 200% up!

[rivaldo] 16/12/2016 11:25

Bouncing nicely - you got a bargain Bones!

The chart is a long series of strong rises, small pullbacks and further rises. Long may it continue.

[bones] 15/12/2016 16:09

Happy to get some more at 23.2.

[chesty1] 15/12/2016 15:55

Knew it would be dumped, sorry longs.

[tiltonboy] 14/12/2016 22:04

Bones,

I do not generally post my trades, but I'm all for transparency when somebody asks, or you get people like hatey accuse you of all sorts!

I actually do very little in small AIM stuff, which is good as they are usually the ones that cause me problems...lol...if we can get further recovery from TPG and DCI I might even give up at this end of the market!

Stick to collectives, and special sits which is my area of expertise.

[bones] 14/12/2016 21:11

Thank you Tiltonboy for the best wishes. I have only admiration for your policy of reducing risk while at the same time capturing handsome profits by selling on the way up! Plus publishing those facts real time which you did not have to do.I am late into these really but it takes a catalyst and being aware of it taking place. For me the 6M contract started my research and Andrew Perloff's continued accumulation into his pension fund suggested it was a good bet. Plus the recapitalisation suggesting resumption of dividends could be imminent.So, in at 18 - 20 in four lumps. I hope now that more contracts arrive before the finals and that those numbers will be good.I am wary of too much capitalisation of development costs so need to keep an eye out for that kind of profit massaging. Also this is a small company under family interests so be aware of issues of good governance.That said, I imagine the 3 or 4 shareholders that have 7 - 10% interests will keep an eye on all of that . Let's hope PEG gets a piece of the East Anglian project soon!