Surface Transforms Share Discussion Threads

[amt] 19/1/2021 18:54

So about 7.5m annual cash return on a 9m investment.
If they get all 5 cells built ultimately that's nearly 40m gross profit per annum.
Certainly a lot of upside over the next 5 years.
Hopefully next time the company will be valued at a couple of a hundred million and dilution will be minimal.
Just a pity they couldn't secure the deals before the announcement or let private investors take a greater share of the funding. Still 25% dilution isn't too bad.
I can easily see this with a market cap of between 500m to one billion in a couple of years. 2.50 to 5.0 quid after placing taken into account

[talk2dubya] 19/1/2021 18:40

Reminds me of ITM when did raises at 30 odd pence with the pipelines they have. They seem pretty confident of converting when you read the details of the reason for the fund raise.

[pinkfoot2] 19/1/2021 18:39

I’m very bullish Longshanks-there is no ceiling on this company in my view

[longshanks] 19/1/2021 18:24

I guess by your recent absence pinkfoot, that you are an insider on this placing.Good to see an OO alongside the placing and subscription and one would hope that should it be oversubscribed, they will seek to accommodate excess applications similar to last year.

[pinkfoot2] 19/1/2021 18:16

This is a brilliant deal-and timing just right.Well done to the team

[condom2] 19/1/2021 18:13

A bullish placing, I think that’s a first for me! Love the thought of 35m revenue for 2022 !

[spookies] 19/1/2021 18:10

Beat me to it talk2dubya.

[bones] 19/1/2021 18:10

“....either or both of two potentially significant opportunities with the "carry over" of parts onto new models with OEM 8 and a possible new customer, OEM 9, award supply contracts to the Company. OEM 9 is a new entrant to the EV market.....”

[spookies] 19/1/2021 18:08

I would suspect that some customers want to see the ability to meet their volume requirements before awarding contracts. This would put their fears to bed.

[talk2dubya] 19/1/2021 18:04

‘This decision to invest ahead of contract award reflects both our confidence in the strength of our pipeline - and our realisation that the new disruptive OEMs operate to different timescales than our other customers. The automotive industry is changing with electric vehicles central to this, and we are delighted to be a part of it’

[talk2dubya] 19/1/2021 18:03

Looks uber bullish to me:

‘This funding will enable the Company to move to the next stage of its development - the building of OEM Production Cell Two will provide revenue capacity of £35 million at Knowsley from 2022, and enabling us to fulfil contracts we are confident of being awarded in the near future’

Glad I kept some back, bloody typical. What I do take comfort from is the fact that there was no dumping going on prior to this announcement.

[typo56] 19/1/2021 17:52

Looks like a token open offer for ordinary shareholders. I haven't found it in the RNS but about 1 for 39 existing shares perhaps?

[bones] 19/1/2021 17:46

As per post 4916: “.. Often a new MM presages additional activity behind the scenes..“

Happened on RUA in December. New MM followed by placing a few hours later.

[bones] 19/1/2021 17:39

Placing at 50p to raise £17M+ for cell # 2. Decent price I would say. Need to read up on it now!

[talk2dubya] 19/1/2021 09:56

Surprised just how sticky these shares are, has taken me a while to get the position I wanted.

[supernumerary] 18/1/2021 17:47

Yeah, I guess, or maybe they just think it's relatively under-served at the moment? Definitely more good than bad, however you look at it :)

[bones] 18/1/2021 17:37

Supernumerary, thanks for clearing that up! They must see some worthwhile business ahead dealing in SCE shares then. Up until recently it wouldn’t have been especially busy for them.

[bones] 18/1/2021 15:47

Quemaster, yes, an odd addition as that firm seems to be mainly involved in commodities markets. The plot thickens a little there. Often a new MM presages additional activity behind the scenes. Links can be made between electric vehicles and certain metals etc, but I’m intrigued.

[quemaster] 18/1/2021 14:08

Yes amt, I think it's all us lot on here accumulating the free float over the past decade and not wanting to leave now the party has started :-)

Another market maker has appeared today Marex Spectron (MREX) so we now have Six.

[amt] 18/1/2021 13:15

I think we are on the verge of a big move up. No shares available to buy but they want our shares like never before and no one is selling.

[longshanks] 18/1/2021 12:08

Welcome back kilgallp. If you use the main browser version of ADVFN, I have posted links to the Hardman notes in the header, as well as the company presentations. Those should help with your research.

The company has changed considerably since it was first on OFEX and doesn't get too distracted these days by speculative opportunities. Gone are the diverse range of research activities that never went anywhere, and instead the company is focused on automotive OEM supply.

They still have a pending aerospace contract for a US military aircraft, but no-one is holding their breath on that, and neither is much energy expended on the proposal in 2019 by Brembo that CC brakes should be once more considered for F1.

hxxx://www.motorsport.com/f1/news/carbon-ceramic-brakes-brembo/4448265/

As swiss paul suggests, Formula E might be a better candidate, but I think marketing activities will remain focused more on track-day events for the time being. These have proven very successful in developing a growing community of race enthusiasts all converted to the premium nature of ST disks.

[swiss paul] 18/1/2021 10:41

Formula 'e' might be better suited - or even sponsored!