Rm2 Share Discussion Threads

[jimmyloser] 22/8/2017 09:37

I don't want peeps to feel that it is cursed with 'loser' part.- lol
This is a little bit of fun for me but it is really fascinating - I smell interesting developments and sooner rather than later impo.

[masurenguy] 22/8/2017 09:31

Still watching but still not buying yet. Why apologise for your username - you chose it !

[jimmyloser] 22/8/2017 09:20

I am buying in here this morning (sorry about the name).
impo, we have something interesting developing.

dyor of course.

Enough to have an interest

[kendonagasaki] 11/8/2017 07:18

Could be suspended from trading if it runs out of cash?

[kendonagasaki] 09/8/2017 17:39

Probably going for bankruptcy here imhoNot much cash left now and unable to dilute through further ipo'sIt's over here!

[kendonagasaki] 09/8/2017 17:37

Well it's good to see the free fall continue!50p a pallet anyone?

[montyhedge] 03/8/2017 10:28

Trouble is company is trying to solve a problem thats not there, wood pallets 50p a pallet.

[masurenguy] 03/8/2017 10:24

You're right DB - my mistake on the date ! So Judd didn't last much longer than Scaramucci - less than 5 weeks as CEO !

[dr biotech] 03/8/2017 09:35

I think you mean just over a month. Judd replaced the incompetent Walsh just over a month ago

[masurenguy] 03/8/2017 09:08

This has proven to be a disastrous investment so far for anyone who bought in at the IPO. Since then the shareprice has fallen by over 90%.

I have watched from the sidelines since the IPO but have never been convinced that they have found the right business model to capitalize on the undoubted opportunity. Over a year ago I posted the following:

Masurenguy 1 Mar '16 - 420: RM2 have some interesting Executives and investors (like Woodford) who must be aware of this history and yet still see some credible potential, otherwise why would they get involved. However, potential is one thing and realization is another. It is the latter which constitutes the major risk factor allied to the amount of investment that may have to be made in order to ramp up production and obtain a growing market share. I'm happy to watch from the sidelines until some catalyst indicates a genuine breakthrough with both their product and logistics. If this subsequently happens then I reckon that there will still be some time to jump aboard in order to get a decent return here.

In less than 18 months the shareprice has plummeted by a further 75% to an ATL of 7.25p this morning. They have lost over $110m over the past 2 years. The departing CEO lasted just over a year despite the fulsome praise by Chairman Molson when he was appointed last year.

Ian Molson, RM2's Chairman, commented: "Jasper Judd is an industry heavyweight who has the experience, leadership credentials and deep sector knowledge to take RM2 forward. He is highly respected in the industry and I am delighted that we have been able to attract someone of his calibre to take over as CEO as we prepare for the renewed commercial rollout of our disruptive platform. Jasper's deep industry experience will be invaluable in helping the Company meet its potential.

This could crash and burn or maybe the Chinese will pick it up for a song once the cash runs out.

[dr biotech] 03/8/2017 08:52

CEO didn't last then. More buffoonery. Shame, I thought it was a decent product but shows what incompetent management can do.

[qs99] 24/7/2017 19:22

Yup, someone will hover and make a killing....glad I have been out for a while as well, shame seemed to be heading in right direction...GLA

[mattjos] 24/7/2017 18:45

no surprise with that announcement then. Who would want to poppy up another $60m into this right now?? At first blush, you'd simply say that would just cover another year's losses.

Woodford can hardly take all that new stock on. If he did, he would effectively be buying the whole company.
Neither can he dump his holding in a hurry as there's no bid for the stock right now.

They need to get that rental income up at least another 200-300% before folk might get interested.

The company needs to significantly lower its short-term ambitions, scale back its operations and play the longer game with main focus being on the rental pool.
Whether or not management can see that inevitability remains to be seen but, with cash getting low and no obvious source of more, they have no choice.

I still do not see how a slippery and heavy plastic pallet is a disruptive force in this particular market though. Wooden pallets are just too well established.

They need a rabbit and a hat from which to pull it pretty fast else, its the knackers yard. Brambles buying them out for 5c on the $ is a possibility I suppose.

[montyhedge] 24/7/2017 15:56

remarkomsoc
Agree, he is not the superman everyone thinks he is.

[masurenguy] 24/7/2017 15:47

One swallow does not make a summer and one bad stock does not undermine a portfolio !

[montyhedge] 24/7/2017 15:30

Keep paying themselves until the money gone.

[dr biotech] 24/7/2017 15:30

Former CEO Walsh has destroyed £100m of other peoples money, whilst paying himself handsomely. Glad I sold at 19 (still at a subtantial loss)

[montyhedge] 24/7/2017 15:03

Jak
I would also say game over, slowly but surely.

[walbrock82] 06/7/2017 17:38

Having wasted hundreds of millions of pounds in pursuing the wrong strategy, the company will require hundreds of millions of pounds to fulfil contract agreements on their new strategy.

Won’t filling my boots with RM2 anytime soon.

There are 9 red flags I spotted of RM2, which you can read HERE: -

Also, included are some strategies I laid out if you think there is a recovery.

[mattjos] 04/7/2017 22:29

Anyone worked out WIM's average? Woodford is continuing to averaging down and now holds a blocking stake in the company, albeit a company that continues to burn cash at a prodigious rate & issue new equity by the shedload. The new CEO (ex Brambles) is the sort of chap they should have had at the helm from the start or, at the very least, the person responsible for commercial strategy.CHEP's pallet pool is the business model they are trying to emulate and it's a proven model.I'm still not persuaded about their pallets being 'disruptive' though.I suspect this will remain under pressure until at least the September interims to determine whether or not they can now really start to drive the rental income. Mkt cap still looks much too high at present given the recent results.