Srt Marine Systems Share Discussion Threads

[yumyum] 09/10/2017 16:47

Astral, yes I agree. I mostly use a non-online stockbroker, but also use TD from time to time. If there are 6 market makers...then how come TD could not give a firm quote for even 1000 shares ?

[astralvision] 09/10/2017 16:42

Re lack of liquidity, I think you guys need a decent broker?
There are 6 MM's, all quoting for 20,000 or 25,000 shares both ways. They are duty bound , stock market rules and all that, to honour those sizes if a buyer/seller comes in. It may need ringing through, so an on-line broker may be of no use. This is one reason why I don't use on-line only brokers, it can be a false economy.

[philburt] 09/10/2017 16:29

YumYum - just a matter of time, I believe. Only wish I was in a position to buy a few more....

[yumyum] 09/10/2017 16:11

Yes, very good EC. I agree. Sadly. Very very illiquid altogether. I look forward to contract wins that stimulate a bigger but less one-sided imbalance.

[philburt] 09/10/2017 15:57

EC - very good :)

[effortless cool] 09/10/2017 15:56

There is a genuine lack of selling liquidity - AJ Bell will only quote for 100 shares online.

It would seem likely that you are the prime cause of this supply and demand imbalance, however.

[yumyum] 09/10/2017 15:47

I bought some more shares today. Try to buy more again now but it seems there are not even 1000 shares for sale online with TD. Is TD a rubbish platform or is there a genuine lack of any selling liquidity ?

[k3ndo] 04/10/2017 20:29

Could the Rolls Royce and Google colaboration to develop self driving ships have a negative affect on SRT ?

[yump] 26/9/2017 09:57

"LGB"

Seems there's a specialist investment company for everyone nowadays ;-)
Sorry couldn't resist. I'll get me coat before the thought police come...

[fft] 26/9/2017 09:09

Maybe. But for most LGB HNW people it is just a high yield play. It is secured so should be little downside.At a time of 2-3% rates, then 9.5% is not to be ignored. It will probably go into a mass of other bond type invrstmemts, some safe and some priced as junk (junk bonds at the moment are priced with only a 6-7% yield).SRT with asset backing is a nice return. The underlying business isn't usually that important.

[countryman5] 26/9/2017 08:31

LGB Corporate finance is a place where people with a 'high net worth' problem park some of their cash. The RNS stated that the loan notes were 'oversubscribed'. My reading of this is that LGB circulated SRT's details to their subscribers who then came on board. This means that SRT has been placed on the radar of investors with finances probably way beyond any scribes on this board. These people recognise the tax advantages of AIM stocks. Will any of these people visit MSN to meet ST? If they do I suspect that they will start to hoover up stock from the numerous PI's that this company has.yesterday's RNS may have consequences way beyond what we could imagine.

[goodapple] 26/9/2017 07:52

"This third application is enhanced by the addition of an Automatic Identification System (AIS) sensor onboard the satellite.
All ships over 300 gross tonnes are required to fit AIS transponders that broadcast details about their voyage.
Spotting from orbit those vessels that have their AIS disabled is often a sign of illegal actors, such as smugglers or trawlers attempting to net fish in no-take zones.
Radar plus AIS is seen as something of a killer application in maritime policing."

[yumyum] 26/9/2017 00:45

I see both these announcements as very good news indeed.

I have a significant holding in SRT.

SRT is already profit-making, but we know it does not have very much cash to expand. If it plans to expand, then it needs cash. SRT believes big expansion is in the wings...and so...raises the funds.

I am rather mystified why ANYONE would see this as negative.

I MUCH prefer this is done through debt than equity. It is kindof expensive but I expect to make more than 9.5% p.a. on my equity.

Will SRT expansion prove successful ? The simple answer is that time only will tell.
They did not borrow the money to pay the basic wages. SRT is going very well on simple base case economics. SRT is a profit-making company. To take a step up requires a few things. One is a plan, another is ambition, and another is execution. If that needs cash...SRT is a small company with effectively no cash...then that is ambitious. Good. I am very ready to support that. I expect my equity to increase more than the loan notes receive.

I hope that those who (oversubscribed) the equity raise buy some equity too (at some point). I guess they will not (much) but anyway it will help to spread the word. When SRT shares shoot up please don't say how surprised you are. They will shoot up I am sure.

;-)

I will be buying significantly more shares over the next month

I still believe in a takeover, before the end of next year.

[yump] 25/9/2017 16:14

imo most people here have had their feet on the ground for some time, without needing any 'helping hands' ;-)

[astralvision] 25/9/2017 15:48

worth checking out SRT's satellite partner, Clyde Space



Clyde Space is recognised as a world-leading innovator and supplier of CubeSats and small satellite systems. Our extensive product heritage speaks volumes in terms of our quality, performance and customer service. We continue to innovate and develop our products and processes to support our customers and the rapidly growing small satellite market.

[astralvision] 25/9/2017 15:16

I can well understand the cynicism of folks like hjb, it helps to keep ones feet on the ground.Nevertheless I feel today's announcement is a big step in SRT being able to have a totally integrated solution and they are, imo, in a different ( and higher!) league to the likes of EE/Altek and others.This agreement keeps dilution to a minimum and has a lot of flexibility in it. It would have been relatively easy for SRT to dilute and issue, say, 30m shares @35p. But SRT are, imo, different to a lot of AIM companies, investor friendly and their interests are aligned with ours.Don't think for a minute they would go ahead with this development if they were not supremely confident of the prospects and economics of it.Next up I look forwards to more projects signing up to add to the ones already underway.

[fredfishcake] 25/9/2017 14:46

I like the sentence including " as we enter a period of multiple projects with governments" - let's hope that does indeed happen.

[philburt] 25/9/2017 14:36

astralvision: Many thanks from me also. Good note from Mr. T.

[pugugly] 25/9/2017 13:57

astralvision: Many thanks for your post and to Tucker for clarifying both objectives and terms of loan notes. Still think language could have been clearer first time round but this maybe just that I have been caught before by phrases that can be interpreted in more than one way.

[astralvision] 25/9/2017 13:49

given some of the questions on the thread today, I asked SRT for some clarifications, even though on some points I think it is fairly obvious.

Anyway, here is the reply from Mr Tucker, I have permission to post it.


Mr Tucker's reply:

We can borrow monies as and when we want within an aggregate total of £10m.

Each time we do take a draw down there is a standard loan note document which has a 3 year fixed term.

We only pay interest, calculated monthly, on the total amount we have drawn down.

We can repay the monies as and when we want. If its before the 3 year term end, then we pay a one-off fee of 0.5% on the amount we are repaying. Interest does not continue to be paid on the amount we have repaid. We only pay the interest on the amount we have drawn down.

The reason for doing this is that it provides a financial insurance policy for SRT as we enter a period of multiple projects with governments where payment terms can be variable. It takes away any prospect of a rights issue and is in fact a very flexible finance source.

On the satellites – the principle of maritime domain awareness is ALWAYS the same and not defined by SRT. Non-collaborative (passive) technologies such as radar, CCTV, IR etc are used to detect a vessel and sometimes to also determine size, course and speed. Collaborative (active) technologies such as an AIS transceiver are required to enable the identification a boat. Terrestrial systems see out to around 50nm. Beyond that drones or satellite platforms are needed. Our customers want to determine illegal activity – they do this by fitting their local boats with an identification transceiver and analysing their behaviour. They also feed in passive data to detect vessels that are trying to hide (dark vessels). Thus OCEAN-SAT is the first and ONLY system that has dual passive and active technologies on each satellite to provide truly co-ordinated data – the same principle of coastal surveillance, but now in space.

The AIS technology we will deploy will be well ahead of that used by eE and Orbcomm. The presence of a passive detection technology will be truly unique and unmatchable by eE, Orbcomm, Inmarsat, Iridium etc. The system architecture we will be using will enable direct data delivery to customers, again an innovation that will minimise system latency.

We have the customers for the data and typically each vessel we equip should be worth between $50 and $100 per year in data charges.

As with a new transceiver development, a OCEAN-SAT will take 2 years to develop and start generating revenues. But once operational will generate recurring revenues from data sales for 10 years or more.

The whole thing, including SRT as an investment proposition, is of course premised on whether anyone believes that monitoring the maritime domain is of importance to anyone.     
 

[crystball] 25/9/2017 13:37

Those who went to the AGM presentation back in July were given an AGM presentation booklet. On page 22 there is a page with the heading 'Areas for strategic future investment'.

We were told that £3 million would be needed for SRT's own satellite constellation using Cube satellites.

Therefore, it is no surprise that this is going to happen, just a surprise to me that the announcement has come this soon. Of course we don't know what is happening in the background, but it shows great confidence to be pushing on ahead now.

I recently reduced my holding, but will continue to hold and give SRT the benefit of the doubt.