Plutus Powergen Share Discussion Threads

[nw99] 23/7/2018 17:42

5p shooting up to 10p I guess

[bishopawn] 23/7/2018 17:41

Banks will want to support economy after brexit where short falls in capacity need the likes of Plutus. There may well be an attractive new revenue stream in the mix. We shall see. Those on the sidelines should put up or shut up, having demonstrated their myopic approach to investing and failing to identify an excellent opportunity to multi-bag their capital.

[pbanus] 23/7/2018 17:28

if plenty of dosh to lend at 8%, why was it the chairman lending his own money to PPG for the capacity deposits at 8%

[pbanus] 23/7/2018 17:24

we've seen with the diesel sites, earnings visibility is no further than your nose end

[bishopawn] 23/7/2018 17:20

Visability is not for likes of you. Certainly for partners to the deal(s) though.

[bishopawn] 23/7/2018 17:17

Plenty of dosh to lend at 8%.

[pbanus] 23/7/2018 16:41

why would offers be queuing up? Offers of what? Debt finance? If banks and the suchlike want to lend money there are plenty of opportunities to do so, they don't need to hunt down prospects that have very little in security to offer. The problem with this financing deal is that is high LTV, with poor visibility of reliable income streams.

[maybesum] 23/7/2018 16:20

I admire your relentless optimism BP but don't share it.... I don,t think anything much is going on or going to materialise at all.

[bishopawn] 23/7/2018 15:49

Or offers are queuing up and we are spoilt for choice. .blue chip energy gas co...JCB....rockpool...banks...foreign investors et alia.
When the final signing off happens any predictions for markets opening share price after 7.00 am RNS??

[maybesum] 23/7/2018 15:23

As PPG assets don't amount to much, it is little wonder that funding for gas sites has not materialised...with each gas site costing around 12.5 million to build.

[bishopawn] 23/7/2018 14:57

Reckon Rockpool sites revenue over 1 million per annum per site. 2017/2018 a very good winter with high sustained demand for our diesels.

[pbanus] 23/7/2018 14:19

perhaps the accounts have listed the tangible value in terms of what the build cost was? Perhaps the £10M is the commercial value based on an expected future revenue stream. Yes there is a large difference between the two.

[rhug1966] 23/7/2018 14:15

Just had a look at the Attune accounts and the tangible asset value on the accounts is £4.2m. I'm presuming that is the value placed on the diesel site which is nowhere near £10m. Please correct if I'm wide of the mark here.

[pbanus] 23/7/2018 13:45

@rhug - yes quite

[rhug1966] 23/7/2018 13:35

They only worth what someone is prepared to pay for them. Who would want to buy a diesel site when the industry is moving to gas ?

[1savvyinvestor] 23/7/2018 13:35

The six up and running sites have 15 year capacity market contracts at between £350 k and 400k from memory. They held off accepting low offers on the other three sites. No newnews on those sites

[pbanus] 23/7/2018 12:08

"savvy" has previously indicated that the Rockpool sites are worth £10M each, 45% owned by PPG, each with around £2M debt, so on that valuation around £2.5M in each one. It's likely that since Triad was effectively wiped out by the results of the judicial review and the disappointing capacity auction results that the value of those £10M assets has fallen, maybe worth £8M or less now. They are listed as "assets for sale" but so far no takers.

Perhaps "savvy" can explain when the three remaining Rockpool sites are being built, or have those plans now been shelved?

[bmcb5] 23/7/2018 12:03

Soooo, we are on to name calling. I guess that's the limit of the bull case then

[bishopawn] 23/7/2018 11:59

You hit a very tight spot there savvy. Concur with your analysis.

[maybesum] 23/7/2018 11:57

One or at a stretch two gas sites may get funded jointly with Rockpool at some future time but that is all I think. Do not forget that Offgem are not finished with embedded benefit revisions following their success at slashing Triad!

[pbanus] 23/7/2018 11:37

@monty - "I understand their advisors are very optimistic" - did you get that from an RNS or directly from "savvy" at one of you 7.30am phone calls?

[pbanus] 23/7/2018 11:34

how can Plutus be "well positioned" with no gas sites and no funding agreed for them???? weird

[montynj] 23/7/2018 11:33

As I've mentioned before you don't get deep pocket private equity players swarming around this energy space if everything is bearish...Yes, PPG is no doubt making adjustments to their model as other companies in this space have had to do and this has affected the timing of possible RNSs...in addition, I understand their advisers are very optimistic. So something is good..i think it's a case of patience here...at these prices the share price is a steal...