Solid State Share Discussion Threads

[powen1979] 14/11/2022 08:01

Positive news flow this morning with the contact award Reach announcement.

[johnwise] 26/10/2022 11:06

26/10/2022 7:00am

RNS Number : 1518E

Solid State PLC Trading Update

The Directors are pleased to report a period of considerable progress, including:

[boadicea] 26/10/2022 09:24

Mosat refreshing to have a company beating expectations AND confirming what those expectations were.
This stock is one of a select few in my portfolio that have maintained their advance over the past year or so. Based on today's promising update it should continue to do so.

[brad_k] 07/10/2022 07:44

Good to hear. Emailed HL yesterday and they said they were still awaiting funds from SOLI.

[half fool] 06/10/2022 12:07

Yep, received safe and sound from i.i.

[brad_k] 06/10/2022 07:21

Has anyone received yesterdays dividend?
HL has removed the XD flag from the shares but as yet no sign of the dividend in my account.

[tightfist] 07/9/2022 06:56

Hi, yes, it would be interesting to understand more about SOLI and CYAN, Cyan have considerable and rapid expansion opportunities - but a very IMO stretched balance sheet. It looks to me as SOLI could complement by not only ensuring component supply (also for the wider exploding Indian Smart Meter industry?) but also assisting with Working Capital alleviation..A potential Win-Win? Will be looking closely for info at the Cyan AGM on the 21st, tightfist

[boadicea] 22/8/2022 08:22

I note the large contract announced by CyanConnode this morning and recall the following item from the SOLI update in April -

"The Group has enjoyed particularly strong demand in the energy and aerospace & defence sectors, with the latter now representing approximately 15% of the Group's revenue. Contracts awarded in Q4 of the Period by BAE Systems for marine platforms, and a Component solutions contract for smart meters in India for CyanConnode, illustrate the breadth of the customer base and applications secured."

As the item was worth a specific mention in the update, it would be interesting to know the possible significance of the CyanConnode contract to SOLI.

[boadicea] 08/8/2022 10:23

The Open Offer shares now show as cleared into my HL account.

[boadicea] 29/7/2022 13:25

"....a total of 182,322 New Ordinary Shares will be issued in connection with the Open Offer. All valid application of Qualifying Shareholders' Basic Entitlements and Excess Applications will be met in full."

[davebowler] 28/7/2022 08:26

Cenkos;
Solid State (SOLI, 1107p, NR) – Set out its final results for the year ended 31 March 2022. Revenue growth at 28.2%, including the first full year of acquisitions, with record revenue of £85.0m (2021: £66.3m) reflecting the Group's pro-active approach to working in partnership with customers to manage supply and demand. They achieved profitability with adjusted operating margins increasing 40bps to 8.7%, based on solid margins in both divisions. Notable achievements to advance the Group's strategy included the integration of the acquisitions of Willow and Active Silicon which enhanced their technology by adding a portfolio of own brand image processing products and electro-mechanical components (including component manufacturing capabilities in USA) and broadening the international sales capabilities and resources in the USA and Europe.

[firtashia] 27/7/2022 07:56

Thanks very much kannerwas

[kannerwas] 27/7/2022 07:53

Part of the agreed purchase price for an acquisition, deferred to a future date and contingent on specified performance targets within the acquired business being met.

[firtashia] 27/7/2022 07:45

Would be grateful if someone could explain the meaning of the phrase "deferred contingent consideration" as per today's report.

[tim1478] 18/7/2022 16:12

The excess entitlement shares are now purchasable. Any guess as to by how much an attempted purchase will be scaled back?

[callumross] 14/7/2022 10:36

How strange. There must be a big seller out there as you can actually buy at the sell price!

[mutandis] 13/7/2022 14:36

In addition to Bodecia's revenue multiple above, two other ways of looking at the Custom Power acquisition is:

SOLI's EBITDA margin is 9.6% and Custom's 11.7%, so would enhance Soli's EBIDA performance.

SOLI is paying $40m for $3.5m of EBITDA so 11.4x. SOLI's EV/EBITDA multiple is 16.1x, so should be earnings enhancing. Even at the full $45m at 12.9x it would be buying it at a lower multiple than its own.

If its market position is good and there are no issues in DD, then has the makings of a reasonable acquisition.

[tim1478] 13/7/2022 14:19

Thanks boadicea. Very helpful. I take what you say about tail-biting but as the share offer is small, I imagine the major fall is due to the fact that "the market" feel Solid State has overpaid. Recently Next Fifteen acquired a firm and that led to a sharp share price fall.

I have put in a limit order for some more of Solid State and asked my ISA provider if I can be involved if there are any shares not taken up. Thanks again.

[boadicea] 13/7/2022 11:23

Tim1478 - If you are a shareholder you should get an allocated offer of 1 for ~44 which you can elect to take up, and normally also the chance to make an excess offer for shares not taken up by others.

Today's price drop is inevitable, possibly aided by some tail-biting (= selling shares for more than 1025p, if possible, in the hope of replacing them at the offer price.)

Some of the placees may well opt for a quick one or two percent gain which could hold the price down for some time as the loose shares look for a stable home. It is currently difficult to guess anything ahead (even for those generally in the know - which I am definitely not) due to the unprecedented nature of recent external events.

The company appears to be paying a maximum of ~£36m for annual turnover of ~£24m (at current excahnge rates) which is higher than its own current price/revenue ratio of about one. However, I don't think it's a high figure for a US technical company (which is why the general trend is for US companies to acquire UK ones.)

The ultimate consideration is whether one trusts the directors to have made a sensible decision based on rigorously conducted dd.

[shrout] 13/7/2022 10:25

Shouldn't laugh.. I own a large chunk of these. I hope the market comes to the conclusion that SOLI have paid a reasonable price for this company, and that it does what the directors say ie. broaden, enhance and internationalise the company's offering. Don't think I'll be taking up the offer though.. I've got plenty.

[shrout] 13/7/2022 09:33

lol.. I hope they haven't been duped by the yanks into buying a £36m job lot of custard powder.

[sammu] 13/7/2022 09:11

From the terms of the offer: 'and Closing Working Capital is the actual working capital of Custard Power as at Completion.'Is that a subsidiary of custom power!?

[tim1478] 13/7/2022 08:08

Hi. Was it possible for ordinary share holders to buy the new shares on offer? The share price has suffered today

[boadicea] 13/7/2022 07:40

By implication they will be offering about 195k shares to raise £2m at £10.25 per dhare. That is approx. 1 shares for every 44 shares currently in issue.

However, in present circumstances and also given the small number of entitlement shares resulting for many shareholders, it is likely that many will not take up their entitlement. The result is likely to be many shares becoming available for excess subscription.

(NAI. Please double check my arithmetic and understanding of the announcement.)

[redalert] 13/7/2022 07:27

Dozey3, it looks to me as being 1 for every 44, according to last night's RNS