Renewi Share Discussion Threads

[catch007] 28/4/2020 14:55

I added a few yesterday at 23p to average down my holding. Really interesting post by Tole and I wonder if this application can be replicated elsewhere in other international markets including UK. We have had the full kitchen sink bad news in this share for several months and I do think we have reached a bottom. Fingers crossed for a recovery, waste management is an essential service and RWI share price looks undervalued to me. GLA

[robsy2] 28/4/2020 14:17

well spotted Tole and thanks for sharing . Looks like a good idea.
R

[sphere25] 28/4/2020 12:55

This is one of the few stocks that hasn't bounced at all. The stock does appear to have formed a bottom so perhaps a short term opportunity here. Watching to see it it can breakout.

[tole] 24/4/2020 11:41

hxxps://recyclinginternational.com/corona-virus/second-life-for-48-000-mouth-masks-each-day/30007/

Microbiologists in the Netherlands, together with Delft University of Technology and recycling major Renewi, have worked overtime in recent weeks to develop a smart model to collect and sterilise mouth masks from hospitals and return them for reuse.

The initiative is seen as a major step to resolve the shortage of such masks in hospitals due to the coronavirus pandemic. Every day, more than 48 000 masks could have a second life.

Medical personnel in a hospital may use a mouth mask only once, after which it must be discarded and incinerated according to strict hygiene guidelines. However, due to the increase in the number of infections with the coronavirus and the increase in patients, hospitals worldwide have been struggling to secure enough masks.
Strict collection rules

Recycling company Renewi supplies hospitals with a plastic container with an inner bag in which the used masks are collected. After both the full bag and the container are disinfected, Renewi picks up the full barrel and drops off a new one. Full containers are delivered to Van Straten Medical and GreenCycl, companies who specialise in the manufacture, repair and supply of surgical instruments, trays and disposables. Here, both the masks and the empty vessel are sterilised.
Hot steam kills coronavirus

The used masks are sterilised at 121 C to kill off the coronavirus microorganisms. The masks remain usable after this process and are 100% reliable for reuse by medical personnel. After sterilisation, they are packed in boxes and returned to the hospitals. The collection and return process takes between 24 and 48 hours.

The sterilisation method has been approved by the Dutch health authority RIVM.

[dplewis1] 21/4/2020 14:39

Well this is pretty exciting compared to usual tole, let's hope you've changed our fortunes

[tole] 21/4/2020 11:09

Haha.. yeah could be true

[dplewis1] 21/4/2020 10:38

Welcome to disappointment

[tole] 21/4/2020 10:25

I've had a little bite here. Tight stop in case it breaks the low.

[george stobbart] 09/4/2020 13:15

they already did. was a mixed bag as usual

[sjoerdaktetas] 09/4/2020 09:06

When can we expect the following update from Renewi's management?

[george stobbart] 07/4/2020 09:44

no still dead in the mud

[its the oxman] 07/4/2020 09:26

Not much of a recovery bounce yet,

[george stobbart] 02/4/2020 14:53

They have EUR 1,533mn assets and EUR 514mn of core debt.

I am asking you: If they raised 500mn equity at 22p to eliminate/pay off debt, would you be satisfied? Would you buy RWI if they raised and massively diluted earnings at 22p vs a book value of 40p, effectively at 50% discount?

[itsnotmeitsy0u] 02/4/2020 12:14

this has waaaay too much debt imo

[sjoerdaktetas] 31/3/2020 09:11

... classic...

[george stobbart] 31/3/2020 09:06

no news..no volume..no interest in the stock..no meaningful recovery

just a dead cat bounce with the rest of the market, driven by MM

[sjoerdaktetas] 31/3/2020 08:58

+10% today.. any news or just recovery?

[dplewis1] 27/3/2020 20:43

You can use research tree - I got an email from them today saying they are offering their services for free during the corona outbreak

[sjoerdaktetas] 27/3/2020 13:32

27th of March (Today):
Peel Hunt reaffirms its buy rating on Renewi and decreases its price target to 0.49p. Can anyone find the arguments Peel Hunt has, on this reaffirmed buy rating?

[pugugly] 26/3/2020 07:56

Robsy2 _ Fair comment - Looks like the board are expcting significant cash flow problems

Also - could this be a case of repositioning deck-chairs on the Titanic
"We aim to simplify our strategy, portfolio, organisation and processes. From 1 April 2020, we will reduce the number of divisions from five to four. Monostreams will be no more, its businesses reallocated as follows:"

Reorganistion in my experiance usually throws up significant unexpected costs and operational dislocstions - These could be made worse by steaming through the fog of Covid and not being able to spot the icebergs until hitting them.

However recend share price pull back may be encough to cover risks - No real guide from level 2 Spread widened a lot

[robsy2] 26/3/2020 07:19

hmmh, results in line-Good,divi suspended-Bad, more provisions etc-same old same old.
A mixed picture , seems like it always is with RWI , mixed but always a bit negative as they stumble from one problem to another.
The postive reading is that RWI is engaged in essential services, so will not be allowed to go bust , they also have access to cheap green bonds . A Hold I suppose.

[gregsc] 25/3/2020 08:42

18p would not be good as I now have 1M shares at average 29p

[george stobbart] 25/3/2020 08:26

Historically it was the last day of their financial year (last business day of March).

so we should expect it this Friday morning - hope its good or at least not terrible otherwise we will be testing 30 year lows at 18p!

[gregsc] 25/3/2020 08:09

Do you know when we may expect a market update?

[george stobbart] 25/3/2020 08:03

very negative read across for rwi as well. some has already been priced in but they should provide a market update to give us visibility.