Strat Aero Share Discussion Threads

[the stigologist] 14/2/2017 09:51

By the way I don't see why this shouldn't trade sub 0.1p

The placing shares at 0.1p get free warrants attached so in effect real price is probably 0.07p or 0.08p

[macenas] 14/2/2017 09:32

Yes - this is horrible

calcs look correct to me - 1.9bn shares in issue but they have raised £1.2m (in two tranches recently)

warrants of another 1.5bn at 0.22p but obviously these will only get exercised at 0.25p or above realistically.

To be clear the Directors didn't subscribe for stock - they just took accrued fees in stock at a discount and gave themselves upside for that risk in the form of warrants. Not good nor bad - just neutral.

so a £2m market cap at 0.11p with 1.9bn shares, probably £600-700k in bank after fees/expenses and repayment of short term loan.

IF they can get to 0.25p then warrants exercised : this would raise approx £3.3m in additional funding.

so market cap of £8.5m at 0.25p fully diluted but with £3.3m cash in bank, so enterprise value of around £5m.

Doesn't look great for anyone that bought above 0.5p even if they get their "new" strategy right as that would assume a market cap of £17m : even on a PE of 17 they will need to be profitable to the tune of £1m which, seems a long way away!!!

What annoys me is the last placing RNS which, I feel was misleading. It effectively read as though the funding they had just done would get them to operational break even by year end. Based on 760m shares in issue that looked good value at 0.1p so I bought more to average down to 0.4p. Now a very short while later they dilute shareholders 65% BUT for the same strategy of b/e by y/e!!!! I don't like it.........

[andy] 14/2/2017 09:22

potter,

Well 250,000,000 additional shares were to pay off monies owing to directors.


Edited

These were an additional 250,000,000 shares, not included in the new 850,000,000 shares issued as I originally thought.

And then there's another 50,000,000 to pay of "consultants"!

True confetti time!

[andy] 14/2/2017 09:19

yorgi14 Feb '17 - 09:03 - 2029 of 2032 2 0

"The dilution is significant we know but directors have put their money in"

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Yorgi, is this statement correct?

[yorgi] 14/2/2017 09:11

I am voting for Substp :-)

[andy] 14/2/2017 09:11

yorgi14 Feb '17 - 09:03 - 2029 of 2032 2 0

"The dilution is significant we know but directors have put their money in"

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Not exactly what is says on the news release is it?

[the stigologist] 14/2/2017 09:11

Andy 14 Feb '17 - 09:04 - 2030 of 2030 0 0

So, Dennis,

Let's review the recent events here.

On 23rd Janaury, there were 384,000,000 shares in this company.

On 24th January they issued 380,000,000 million new shares, or a 100% dilution.
So 384,000,000 shares became 764,000,000 (plus 418,000,000 warrants)

On 14h February they issued 850,000,000 million new shares,a further dilution of around 112%.
so 764,000,000 shares became 1,614,125,280 (Plus more warrants).

So, in three weeks, the shares in issue has risen more than 300%!


Do you think this is good?


Now we come to the warrants. the warrants newly created total 1,535,000,000.

So, should the warrants be exercised, they would virtually dilute the company another 100%.

so 1,614,125,280 shares + 1,535,000,000 warrants could result in 3,149,125,280 issued shares in total. That's quite some increase from the 364,000,000 that existed on 23rd January, is it not?

Some people think this is good, wow!

Calcs done quickly, feel free to correct any that are wrong.

[the stigologist] 14/2/2017 09:10

Good calcs by Andy

300m to 3 billion shares in issue in the space of 3 weeks that is going some!

[substp] 14/2/2017 09:08

My apologies... will vote... :-)

" Director Placing and issue of warrants is subject to the passing of the resolutions to be put to the General Meeting on 21 February 2017 (the "General Meeting") which was announced on 6 February 2017."

Will leave a balance of 3,580,000,000(+?) to allocate....

[yorgi] 14/2/2017 09:07

UAV technology has massive opportunities that is clear now all we need to see is our BOD taking a larger slice of those opportunities to build our company otherwise :-(

[andy] 14/2/2017 09:04

So, Dennis,

Let's review the recent events here.

On 23rd Janaury, there were 384,000,000 shares in this company.

On 24th January they issued 380,000,000 million new shares, or a 100% dilution.
So 384,000,000 shares became 764,000,000 (plus 418,000,000 warrants)

On 14h February they issued 850,000,000 million new shares,a further dilution of around 112%.
so 764,000,000 shares became 1,614,125,280 (Plus more warrants).

So, in three weeks, the shares in issue has risen more than 300%!


Do you think this is good?


Now we come to the warrants. the warrants newly created total 1,535,000,000.

So, should the warrants be exercised, they would virtually dilute the company another 100%.

so 1,614,125,280 shares + 1,535,000,000 warrants could result in 3,149,125,280 issued shares in total. That's quite some increase from the 364,000,000 that existed on 23rd January, is it not?

Some people think this is good, wow!

Calcs done quickly, feel free to correct any that are wrong.

[ionlypostafterbbms] 14/2/2017 09:04

I wonder if any professional trolls were employed to pump and dump this to PIs...

There's doubt?

[yorgi] 14/2/2017 09:03

The dilution is significant we know but directors have put their money in and they are better placed than most to understand whether they can move the company towards being a profitable company in time and taking advantage of the opportunities for this technology.

However we do need to see that they are moving us towards that.

[the stigologist] 14/2/2017 09:02

'salaries and expenses accrued' ?

would those expenses include legal bills to defend themselves PERSONALLY against Hulsey ? and they are charging those to the Company / shareholders ?

[pottermagic2310] 14/2/2017 08:59

Only an additional 2.25 BILLION shares issued... to keep the lights on for another 6 months... except quite a bit of that £850k will obviously be used to pay off the short-term Loan, so maybe only another quarter of funding left in the pot ?

[yorgi] 14/2/2017 08:58

The GM has not been held yet !

[bygdennis] 14/2/2017 08:58

Wishful thinking andy! we can take it based on your current posting you have no idea at all.

[pottermagic2310] 14/2/2017 08:56

Only an additional 2.25 BILLION shares issued... to keep the lights on for another 6 months... except quite a bit of that £850k will obviously be used to pay off the short-term Loan, so maybe only another quarter of funding left in the pot ?

[substp] 14/2/2017 08:52

GM voted to allow allocation of 5 billion shares until June AGM... Then they can ask for more....

[andy] 14/2/2017 08:47

bygdennis14 Feb '17 - 08:15 - 2022 of 2024 0 0

"Daft question again andy, time to build and grow don't you think?"

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Well they're certainly "growing" the shares in issue!

I did say they needed another placing!

And once again I was proved correct.

[yorgi] 14/2/2017 08:26

I think you mean the previous CEO Bsg.....which most of us thought was somewhat a pipe dream but did still see the potential areas to develop with this technology. I'm afraid our previous CEO could talk the talk but at least our present CEO is not doing that and I hope he can deliver on the opportunities that there clearly our for this technology.

[bsg] 14/2/2017 08:20

Old director talking about £1 SP, now placing 850,000,000 @ 0.1p, couldn't make it up!

[bygdennis] 14/2/2017 08:15

Daft question again andy, time to build and grow don't you think?