Srt Marine Systems Share Discussion Threads

[lavalmy] 09/8/2016 15:15

I think in this debate about the options it needs to be emphasized that the longest term of long term shareholders are Rogers and Horne, one the Chairman, the other involved in the buyout. They currently hold 18% between them despite the doubling of the number of shares in issue. Rogers and Lapping (1.2 million shares) comprise the renumeration committee, and it is they who decided on the recent scheme and Rogers who is most affected by it personally. This is not a company where the executive directors control the board. Far from it.

[supernumerary] 09/8/2016 15:13

zoolook - I share the sentiment (although I tend to avoid such displays of synthetic emotion on shares I don't even hold for fear people might think I was only talking my book ;¬)) but in this case, I forgive them. As already said, I don't think the total remuneration is out of kilter with the achievement, and that's what really counts.

On the other hand, if all those outraged holders would do what they want the directors to do and put their money where their mouth is by selling their holdings, that might give me a nice little top-up opportunity ;¬)

[yumyum] 09/8/2016 15:11

SRT are in a fantastic position in a huge new market. SRT are small. The management are few. They need not only rewarding (because they are l'Oreal) but they also need retention.

Imagine a headline like this '' EADS are pleased to announce they have hired....''

I think we should all calm down a bit. Management (and staff) have done a fantastic job over the last few years. Let's not begrudge some reward to them, admittedly this has been badly handled. If agreed months ago then it should have been announced to shareholders months ago.

Nonetheless I hope the bad handling looks even worse. Much worse.

When contracts are announced...and share price rockets. Followed by takeover at £8 (to prove LaValmy's friend a little wrong).

[davidosh] 09/8/2016 14:55

zoolook....spot on although ShareSoc are doing their best to help investors.

[piedro] 09/8/2016 14:50

Irresponsible as also the jam

AIMO.

[ramnik007] 09/8/2016 14:48

Absolutely right Davidosh.

[yumyum] 09/8/2016 14:46

LaValmy,

''I expect the 125p to vest before the end of the financial year, so they will have to think of new targets. Given that the price was 20p or so when they did this, maybe 250p, 500p and my chartist pal's 725p would be about right.''

I agree with you. I actually expect 125p to be hit this calendar year.

Not sure about your chartist pal's 725p but I suppose not totally implausible
if ABSEA amounts to anything substantial.

[trident5] 09/8/2016 14:40

Second that.

[davidosh] 09/8/2016 14:19

I am fully behind fft on this one. I also do not like zero price options as that means directors do not have to commit any funds whatsoever. That is made even more extreme when based on a share price for just 20 days.

What is wrong with the old system where directors committed longer term by investing their money or took reasonable bonuses in shares which keeps them committed and aligned with shareholders ?

It should be a privilege to be a director and equally to be a long term investor in a well managed company. The two need each other so should respect each other.

Many investors found SRT over ten years ago and the average will be seven or eight years like me. It came to market at 35p and there have been numerous placings so a fairly bumpy ride....

Software Radio Technology plc ("SRT" or the "Company") was today admitted to
trading on AIM in conjunction with a placing which raised £4.04 million (before
expenses). The market capitalisation of the Company at the placing price of 35p
per share is £24.17 million.

This followed in 2007....


The Directors of SRT, the AIM-quoted provider of TETRA and AIS solutions to the
communications and homeland security markets, are pleased to announce that the
Company has carried out a conditional placing through HansonWesthouse of, in
aggregate, 9,523,810 new Ordinary Shares at 42p per share.


We now have almost 130,000,000 shares in issue which is nearly double the number of shares than when it came to market so there is much dilution to consider and if directors only advise us six months after shares have been given away in these schemes how do we know what we are investing in. We should know what directors are awarding themselves before not after the event !!

The first target in any remuneration scheme should be at least a 5% annual return over and above the price of the highest fund raising IMO so that would be at least 75p not the 50p giveaway price.

Just my thoughts as a long, long term investor.

[trident5] 09/8/2016 14:19

This doesn't look good.

Big share tip, high volumes and price moving up and down in extreme shifts and this announcement in the midst of it.

[supernumerary] 09/8/2016 14:11

zoolook - I'm surprised you're quite so upset:

zoolook - 15 Jul 2016 - 11:05:33 - 2970 of 3222
I sold yesterday - so feeling a little bitter ;-)

[lavalmy] 09/8/2016 14:04

I expect the 125p to vest before the end of the financial year, so they will have to think of new targets. Given that the price was 20p or so when they did this, maybe 250p, 500p and my chartist pal's 725p would be about right.

[fft] 09/8/2016 14:01

Personally I think it is incompetence but it leaves a very bad taste.

[fft] 09/8/2016 13:43

Having had a meteoric share price rise, which miraculously meant that the share price averaged over 50p for a 20 day period the directors are now hundreds of thousands pounds richer.The share price is now reversing. I just hope that no share price manipulation is discovered. It has been elsewhere in this kind of situation.It is so stupid of SRT and especially the remuneration committee to allow this situation to have happened.Yes, the directors deserve to be rewarded. But not with options based on share prices which have already vested because the chair of the remuneration committee couldn't be bothered to sign it off ! It didn't need ST or the other execs to sign it.

[crazycoops] 09/8/2016 13:12

2vdm - as the share price headed over 50p I began wondering whether it was sustainable and how much "hot money" was invested here. I think the past few trading sessions have begun to provide the answer.

There was a post from Titus last week who is a very experienced chartist that I have encountered previously with another company. His suggestion was that 60p is the long-term resistance and the underlying support is at 40p, although he doubted it would go that low. I wouldn't bank on that now we have seen how much hot money is involved here.

Therefore, I have taken the view that the normal trading range at the moment is 40-60p and the fluctuation could well be anywhere in that range - I think there will be a lot of buying if go down as far as 40p (unless there is bad news of course). At the other end, I doubt we will go above 60p until there is further news; be that new deal announcements or positive interim results.

All IMHO and DYOR.

[supernumerary] 09/8/2016 13:02

One final comment - it might be a nice gesture if they were to convert some of these options into actual shares before they were forced to by circumstance. That might assuage at least some of the concerns of the nay-sayers.

[2vdm] 09/8/2016 12:59

Rather than getting hung up on the question/timing etc of options, please can we get back to where the share price is now heading/support and any thoughts about what will be coming up on the horizon next?

[trident5] 09/8/2016 12:19

But we weren't told six months ago

[the prophet] 09/8/2016 11:59

trident5
as I said, we're all entitled to take a view on it.
SRT's clarification is that this was set up 6 months ago, I'm sure there wouldn't have been this fuss if 50p was announced when the shares were 20p but we are where we are.
As regards to tying it to a share price, they took the view that a share price based option was better than the usual time-based ones. I'm happy to go with that view.

Whoops, sure I said I wouldn't say any more on it a few posts ago, oh well!....

edit
at the end of the day the company will be judged on its performance.

[trident5] 09/8/2016 11:44

TP
no it's not - the 50p award was simply wrong
I dont begrudge them being well awarded and had previously struggled a bit with their low shareholdings.
But giving those options against a share price already met is wrong. As is, tying the awards just against share price