Sondrel (holdings) Share Discussion Threads

[bumpa33] 22/4/2024 23:17

wow, that’s very interesting. I take it back, maybe the delist ain’t cut ‘n dried after all?!

[researchguru1] 22/4/2024 21:09

POSTED ON THE LSE BB BY SM1


I mentioned in my previous post (of 17th April) that the head honchos of C4X Discovery, Molecular Energies, and Redx Pharma (Clive Dix, Peter Levine, and Lisa Anson) had all swooped-in and picked-up their company’s stock at ‘fire-sale’ prices only weeks after their delisting announcements, and after unsuspecting private investors lost their shirts through panicked sells.

Well, and as if on cue, Sondrel has just ticked that box with the CEO and CFO’s bargain share purchase at 3.50-3.60p per share only 3 weeks after their ‘delisting’ announcement!

And why isn’t this a surprise? The company’s stock, as previously stated, is incredibly undervalued across all industry benchmarks, and probably the most undervalued chip maker in Europe.

But more importantly, private investors have been given the clearest indicator of the material mispricing on display through the cornerstone investor’s funding commitment at 10p per share – WHICH SET A NEW FLOOR FOR THE SHARE PRICE.

And let’s not forget House Broker Cavendish’s Target Price for the company’s shares of 20p per share based on Sondrel’s UK peer group valuation.


In the meantime, private investors should be aware of ROX’s unspoken modus operandi:


• SILVERBRIDGE DELISTING ON THE CARDS AFTER UK FIRM POUNCES (April 2022)

"The deal must be concluded by 31 August 2022 – including receiving the necessary regulatory approvals. Also, SilverBridge must have applied to the JSE by this date for the termination of the company’s listing on the bourse’s main board."





• SILVERBRIDGE TO REMAIN LISTED AFTER ALL (June 2022)

"Technology services company SilverBridge will remain listed on the JSE after all, after its acquirer, UK-based ROX Equity Partners, agreed to waive the delisting requirement in its offer. ROX has waived several other conditions, greasing the wheels to the conclusion of the buyout – pending mandatory regulatory approvals."





“Everyone has a will to win, but very few have the will to prepare to win.” (Vince Lombardi)

Make sure you are part of the few. This stock (share price) will look very different in a very short space of time.

AIMHO

.

[bumpa33] 22/4/2024 20:00

No, it ain’t saying that the delisting is off the table, but what it probably does tell us is that the deal/boardroom shuffle/refinancing is going ahead at 10p. I know there was some doubt in the market that would be the case. And a heck of a lot can happen in 6 months.

[john henry] 22/4/2024 19:21

Rubbish, purchases simply made before going private. Easier to build a stake while company remains public

[washingmachine] 22/4/2024 18:20

Whispers of a bid are already circulating

[washingmachine] 22/4/2024 18:18

Is it telling the market
De listing is off the table
Why would you buy if they were to
A after market hours RNS
Sneaky

[source] 22/4/2024 17:57

Wow, nice confidence by CEO & CFO buying in shares today. (They're getting a bargain down here if they even start turning this around!!)

[washingmachine] 22/4/2024 17:21

A very interesting RNS just released !!!

[richman777114] 17/4/2024 21:15

I agree with your analysis but a leap of faith is required re the possible disapplication of statutory pre-emption rights (special res passed by the two largest holders post raise) and resultant dilution to other holders-possibly more than once

[researchguru1] 17/4/2024 07:58

POSTED ON LSE BY SM1

Sorcerer, your description of Sondrel as a business with “market leading capabilities, contracted future revenues of $200m, and a strong sales pipeline in a pivotal growth industry”, is bang on the money.

The company’s ultra-complex chips offer significant scale improvement when it comes to latency, privacy, security, and increased efficiency; making it one of only a tiny handful of companies out there that are able to do this, and which explains why Elon Musk’s brain implant start-up, Neuralink™, called on the company for its expertise in designing its brain chip.








Now, let’s just think about that for a moment. Why has a $5 billion-capped US biotech sought assistance from an off-the-radar British nano-cap? What kind of expertise does it have that is clearly out of the reach of the thousands of US chip makers accessible to Elon Musk? And what’s the inherent value of this expertise/business?

The answer to those questions is the reason why institutional investors Otus Capital Management (7.28%), Joh. Berenberg, Gossier (4.66%), Herald Investment Management (4.16%), and Lansdowne Partners (4%) are still here, and why an estimated 17% of the stock is currently held by private investors.

But a £3.3m market cap (3.85p per share) simply does not cut it!

Which is why I remain fully invested because, as you rightly put it, there are several possible outcomes here; some pretty spectacular, but none that is likely to value the business anywhere close to where it is today.

And a quick glance at the recent ‘delisting stocks’, and how they have performed since their delisting announcement, paints an interesting picture of a fast-evolving, private investor perception of these stocks. Put simply, nearly all the stocks have staged a strong recovery meaning that, private investors are prioritising value over exploitative ‘engineered fear’ by some greedy actors within those businesses.

Take C4X Discovery, Molecular Energies, and Redx Pharma for example; a week after their delisting announcements, the head honchos (Clive Dix, Peter Levine, and Lisa Anson) swooped-in and picked-up stock at ‘fire-sale’ prices, and after unsuspecting private investors lost their shirts through panicked sells. Utterly reprehensible! But that is capitalism for you. And the stocks are now trading significantly higher than their ‘delisting’ trade prices, despite inching closer to delisting. This means that, investors are now prepared to hold privately marking a significant step change in the investment culture.

So private investors are not going to fall for the copper-plated nonsense being spouted by some of these greedy actors who want to steal the business under their noses.

And Sondrel, which is incredibly undervalued across all industry benchmarks, and probably the most undervalued chip maker in Europe, is going to trump all these companies and change the narrative. Watch this space.

And yes, I agree – this is what makes the current situation with SND so interesting.

AIMHO

.

[tia01] 16/4/2024 10:13

So do we expect a decent rise in this. Yesterday showed some excitement but today seems a bit subdued!.

[source] 15/4/2024 12:11

Outstanding post & analysis. Thanks ResearchGuru1 ;)

[source] 15/4/2024 12:08

If the private equity company Rox find a ready buyer in their network/USA before October they could flip it very quickly for a big number. Given how massively underpriced Sondrel is right now compared to any of it arguably worse competitors. HmmmIt no doubt a company many high tech firms would be VERY interested in (maybe even some of its blue chip customers & huge order holders)....

[bensdad2] 15/4/2024 11:35

Plus Crux sold their holding down to zero last week (it appears) and Perpetual are probably out by now as well. CEO holds 44% of the shares and I doubt that he will be selling. So, if the buying continues with strong volume, the rise could well continue for the next few days.

[bensdad2] 15/4/2024 11:33

This is one way traffic at the moment. All buys are very few sales. I have just tried a tummy sell and was quoted 4.1p. I'm hoping for double that if possible.

[someuwin] 15/4/2024 11:15

Remember that Sondrel is one of the few companies that can design chips down to 3nm. And the only one in Europe! This is a crazy price for such leading edge tech. Someone will buy this out surely.

"Reading UK – 22 March 2024. Sondrel (AIM: SND), a leading provider of ultra-complex chips for leading global technology brands, reports that there is an increasing demand for its 3nm design services for custom ASICs. 3nm is needed for the next generation of products, particularly AI-based designs that require immense compute power to process the huge amounts of data being processed.

3nm not only offers a significant scale improvement in power and area, but it also adds enhanced capabilities that leverage Sondrel’s significant investment in cutting edge SOC design flows, building on its expertise in designing ultra-complex ASICs at 5nm. This combination of performance, power and area improvement, enhanced by accessing best-in-class 3rd party IP, helps Sondrel’s chip designers to stay ahead of system-level demands...."

Sondrel is one of only a few companies worldwide that can deliver these complex chips and the only one headquartered in Europe.

[bensdad2] 15/4/2024 10:49

I'm in for the ride back up to somewhere close to 10p - that is the price at which ROX is going to provide £8.5m funding.I thoroughly recommend the postings from SmartMoney on LSE, for a very clear rationale to explain why 3 or 4p is far too low.

[someuwin] 15/4/2024 10:39

Highly susceptible to a takeover at these ludicrously low levels imo.

[lawson27] 15/4/2024 09:09

Joined you for a recovery here, GLA

[tia01] 15/4/2024 08:55

What the take on this one.
Some give me a lesson on history in it as I know little

[someuwin] 15/4/2024 08:42

Taken a few here. Very interesting situation.

[cyberbub] 02/4/2024 20:21

You know that Roxi have taken a decision to shaft PIs because they've said they won't be providing a matched bargain facility for unlisted share trading. Usually companies delisting will at least provide this facility as a courtesy, so that any PIs wanting to hold on will know that they can still sell in future, even if it involves taking a haircut. Roxi are trying to force all PIs out before delisting, they're probably picking up every PI share sold sub 10p, which will greatly reduce their average buyin price. Cynical? Moi?