Tekcapital Share Discussion Threads

[wsm812] 05/10/2023 07:59

In addition to teh above, a major shareholder has increased their holding. This has to bode well for the share price today.

[mr.oz] 05/10/2023 07:17

Interest in DISCOV-R(TM) portable oxygen concentrator now exceeds 10,000 units with a potential sales value guidance of over US$30m

[strollingmolby] 04/10/2023 23:11

I've started a SALT thread for discussion of all things MicroSalt...



Let me know what you might like to see in the header.

[mr.oz] 04/10/2023 19:07

QS
Are you partaking in the Microsalt Primary bid or IPO?

[qsmeily456] 04/10/2023 18:09

Micro particles of salt is nothing new ......its the cost of the product v similar health and taste benefit alternatives.

Microsalt has created commercial buyers not just interest.

That tells you all you need to know....someone way brighter has done all the DD.

As for guident......cash sucker short term and it will get taken out cheap.

Question is will any tek shareholders see any divi or uplift in value?

Divis.....none EVER paid...Tek spout total 🐂💩

Value.....well look at the charts....c4p to 36p and down to c9.

So if you bought 10 ish....answer is probably 🤣

[wsm812] 04/10/2023 15:41

Oooo, my purchase has caused an uptick - hahaha

[wsm812] 04/10/2023 15:40

Took some more today, it feels like I am stealing them at this price....time will tell if I am wise or unwise!

[lord loads of lolly] 04/10/2023 15:13

Nick2412 - thanks for an interesting post.

That Tate & Lyle link bears out what I'm saying. Other companies have also managed to produce smaller crystal sizes. Tate & Lyle called them microspheres:

www.tateandlyle.com/news/tate-lyle-launches-soda-lo-salt-microspheres-globally

They launched their product - Soda-Lo - in 2012. But unless it's been rebranded since, it subsequently seems to have vanished off the face of the earth.

Assuming this is the case, what makes people so confident Microsalt can make a go of it, when an experienced food multinational the size of Tate & Lyle apparently failed?

The latest date I've found any reference to Tate & Lyle's Soda-Lo on Google was in 2019.

Here's an interesting article. You could pretty much substitute Microsalt for Soda-Lo throughout:

www.foodanddrinktechnology.com/news/3835/soda-lo-celebrates-patent-success/

* Soda-Lo celebrates a US "patent success"

* Soda-Lo "tastes, labels and functions like salt because it is salt". Hmmm, where have we heard that since?

* Because Soda-Lo is made from real salt, it has none of the bitter aftertaste or off-flavours associated with some other salt compounds or substitutes. Again, exactly the same questionable USP as Microsalt's using

Yet Soda-Lo appears NOT to have taken the world by storm. Unless someone can show me where it's still on sale today?

[nick2412] 04/10/2023 12:00

I don't know the full history of MicroSalt but it looks like Nottingham University has similar technology and licensed it to Tyte and Lyle some years ago. It's unclear if Tyte and Lyle have used it but I don't think they have to any significant extent if at all. It's the same principle though- smaller particles meaning the same taste but with reduced sodium.

The Nottingham Uni / Eminate Ltd deal with Tate and Lyle looks to have fallen by the wayside. Perhaps Tate and Lyle have even relinquished the license as I didn't see any reference to this as a competitor in the MicroSalt prospectus. Again, I don't think they have. Certainly, Eminate have significant financial difficulties and their accounts at Companies House show the Company is heavily in debt. Mainly it's to Nottingham University so I suspect they can continue trading.

The regulatory climate will change in MicroSalt's favour and Eminate Ltd may have been just too early.

I haven't been over-impressed with the way TEK has handled PR over this and it's poor that no upper or lower limit guidelines have been given on the ultimate % holding in MicroSalt post IPO. Markets are difficult so perhaps they don't want to big things up before knowing if the IPO will be a success.

I've been cautious and reduced significantly and taken a small profit because of the lack of information on valuation and any guidelines on retained % holdings. But the good news for shareholders is that Belluscura is sorted, MicroSalt will no longer need funding and Guident is seemingly doing well.

LUCY may do well but the big mistake there was issuing 1 for 1 warrants in the last funding. It just meant investors in the funding felt comfortable selling their shares in the knowledge they could always take up the warrants albeit warrants at a higher price. At least MicroSalt avoided issuing warrants.

For me, Guident is the pick of the four holdings in terms of having the potential to provide significant future returns to TEK and its shareholders. I'll watch developments there before potentially adding again but, for now, I've adopted a cautious approach in the context of difficult markets and poor communication from TEK on the potential value to shareholders of the MicroSalt IPO.

[lord loads of lolly] 04/10/2023 09:53

mr.oz - not according to the many online customer reviews it doesn't.

trustedinvestor - excess salt is NEVER good for you. Regardless of whether it's natural salt or not. And do have any hard evidence that - dose for dose - potassium chloride is any less good for you than sodium chloride?

btgman - I didn't buy TEK purely on Microsalt. Far from it. And by your reckoning, presumably before investing in Tesco shares I'd need to munch my way through every supermarket aisle first. Or at least all of their own brand products. What a daft line of argument.

The 5 companies Microsalt refers to may well be significant. And if you actually read what I wrote you'd see I expect Microsalt to carve out a decent niche in the market. But the question is, how big? Like swallows, 5 companies does not a summer make. Microsalt has been at this for some time already and to my mind, they've gained limited traction in that time, before going cap in hand to investors. I'd like to have seen a far wider-spread proof of concept before any IPO.

You say "Microsalt is a once in a lifetime product". I say, the main USP in their prospectus (yes, I've skim-read it now) is superior taste versus the bitter & metallic flavour of competitors' offerings. Which sounds great. Until you look at all the online customer reviews of Lo Salt, Saxa So Lo etc. Which are generally quite happy with the flavour of these competitors.

Another big concern is the HUGE price differential. On Amazon US, a 6oz Microsalt shaker costs US$12.25 and a 2oz US$9.95 (and it's currently out of stock anyway).

Compare that to Lo Salt at £2.40 for 350g (OVER 12oz) at Waitrose. Or Saxa So Lo 350g at £2.70 from the same store. At current exchange rates, ounce for ounce that means Microsalt costs OVER EIGHT TIMES as much as its competitors. And that when US prices are generally cheaper than in the UK.

And you say I'M under researched!

[mr.oz] 04/10/2023 08:39

And it tastes like sh!te

[trustedinvestor] 04/10/2023 08:07

Lo salt has chemicals - higher dose of potassium. Not really good for human consumption compared to microsalt which is still natural salt!

[retirementfund] 04/10/2023 06:56

B15 why did you ever invest in the first place clearly you don't understand what microsalt is. Watch the latest video by Rick Guiney read the prospectus it really isn't difficult to see how good Microsalt is

[bri15] 04/10/2023 02:03

Lo salt has 67% less salt, Micro salt has 50% less,I'm out of here if it spikes on the fundraiser.

[paleje] 03/10/2023 23:23

IC Simon Thompson suggested a buy on these this evening




………The company currently has two products available through its B2C channel – shakers and SaltMe! Crisps. To grow this channel, MicroSalt has partnered with one of the largest wholesale distributors of health and speciality foods in North America, United Natural Foods, and one of the largest US distributors of organic and natural products, KeHE. MicroSalt also has an agreement in place to provide a low-sodium solution to US Salt LLC, a distributor of over 90 per cent of the private-label, round-can salt business in the US.

MicroSalt made a pre-tax loss of £2.5mn on revenue of £0.6mn in 2022, but it should scale rapidly with the benefit of the new investment. I have more than a passing interest in the IPO. That’s because the laggard in my 2022 Bargain Shares Portfolio, Aim investment company Tekcapital (TEK:13p), held a 97.2 per cent stake with a carrying value of $17.1mn (£14mn) in MicroSalt ahead of the IPO in addition to $1.4mn of convertible loan notes. Combined, the holdings accounted for 35 per cent of its net asset value of $53.1mn (24.5p) on 30 June 2023.

If MicroSalt whets investors’ appetite, then a decent re-rating of Tekcapital’s shares beckons. Buy.

[btgman] 03/10/2023 18:05

It is always fascinating when someone posts all their opinions about a company when they haven't done the most basic research like read the prospectus let alone try the products. If you truly held shares you should have done this at which point your credibility is quite frankly zero.

So Microsalt isn't going to take significant market share (according to all knowing commentator) etc.

All I would say is that from the prospectus it is clear to see that the 5 companies referred to are significant to say the least.

They have either placed orders with Microsalt or are going through the process. So why didn't they choose an alternative if it doesn't matter

Would these major companies place orders if there was any doubt Microsalt could deliver.

The fact major companies are placing orders effectively due diligence is and has clearly been done.

To get major companies to switch to Microsalt is quite difficult this is happening and to some tune. Once they switch they are unlikely to go back.

Given the above we then move on to the market:-

Snack foods:- Crisps Peanuts Hazelnuts Nuts Popcorn

Bread, Pizza bases cakes

Ready Meals

Frozen Foods

Chicken Meats

Salt shaker

Drinks?

The size and scale of the market is beyond comprehension and companies have a social reasonability to change governments and the world health organisation are going to demand it happens.

Microsalt is a once in a lifetime product.

Please note I won't be responding to negative under researched experts.

AIMHO
GLA
BTG

[maytrees] 03/10/2023 14:36

BELL's t/o offer for TMT looks good; cash for new shares.

[888icb] 03/10/2023 14:28

BELL Up 16.4% due to takeover offer:
“ Belluscura plc
("Belluscura" or the "Company")
Statement regarding possible offer for TMT Acquisition plc
The boards of Belluscura plc (AIM:BELL) and TMT Acquisition plc ("TMT Acquisition") are pleased to announce that they have reached agreement on the key terms of a possible share for share offer for TMT Acquisition by Belluscura (the "Possible Offer"). TMT Acquisition is listed on the Main Market of the London Stock Exchange. TMT Acquisition has no trading activities but does have unencumbered cash and near cash of approximately GBP4.7 million on its balance sheet.
The independent director of TMT Acquisition, Paul Tuson (the "Independent TMT Acquisition Director"), has confirmed to Belluscura that, should a firm offer be made on the Possible Offer Terms (as defined below), the Independent TMT Acquisition Director is minded to recommend it to TMT Acquisition shareholders, subject to the agreement by both Belluscura and TMT Acquisition of customary terms and conditions as well as the satisfactory completion of confirmatory due diligence by both Belluscura and TMT Acquisition.
Any announcement by Belluscura of a firm intention to make an offer for TMT Acquisition remains subject to the satisfaction or waiver (by Belluscura) of a number of customary pre-conditions, including, inter alia, completion of confirmatory due diligence, agreement of the detailed terms of the Possible Offer and a recommendation from the Independent TMT Acquisition Director.
Terms of the Possible Offer
The proposed terms of the Possible Offer comprise the issuance of 15 new ordinary shares of Belluscura ("Belluscura Shares") in exchange for every 22 ordinary shares of TMT Acquisition ("TMT Acquisition Shares") equaling 18,750,000 Belluscura Shares (the "Exchange Ratio"). The Exchange Ratio would imply a valuation of 21.82 pence for each TMT Acquisition Share and a 24.7% premium to the three month volume weighted average price for TMT Acquisition Shares calculated for the period ending on 2 October 2023, the last practicable date prior to the announcement of the Possible Offer (the "Possible Offer Terms").
Accordingly, on the basis of the Exchange Ratio, the Possible Offer will imply a total valuation of GBP6.0 million for TMT Acquisition”

[belluci] 03/10/2023 13:05

Has not transformed the market it should read

[belluci] 03/10/2023 13:03

Good post sums it up well. I've been invested for almost 3 years in this company. In 3 years it has managed to transform the market. I might be wrong but I will buy when I see profit. I'm looking for an exit now , hopefully in October or November

[lord loads of lolly] 03/10/2023 12:12

maytrees- you're welcome.

I hope Microsalt's IPO is a stormer, as all TEK holders would be set to benefit, if so.

But as I set out earlier today, I do - along with your younger brother - have several reservations.

It's also worth remembering that the same IPO feeding frenzy occurred shortly before Lucyd's launch. Several posters were salivating about how this would transform TEK's own share price. Which it did of course. Only not in a good way.

Sure, some will say "things are different this time" - and indeed Microsalt's IPO may well be structured better. But whenever we're told something's different this time, it's usually a signal to run for the hills.

[lord loads of lolly] 03/10/2023 11:59

theresalwaysone - I'm not relying on gut feeling.

I simply don't want to add to my existing Microsalt exposure, which my current TEK holding offers.

Otherwise, I would have ploughed through their 100+? page sales pitch. Sorry, prospectus.

[maytrees] 03/10/2023 10:22

TX for your comments lord loads of lolly

My younger brother mirrors some of your views in family emails.
I disagree with him though he is currently far more of an investor in companies than I.

[theresalwaysone] 03/10/2023 10:18

Why would you rely on gut feeling without reading the prospectus

[lord loads of lolly] 03/10/2023 10:08

maytrees - yes, that Wikipedia definition is my understanding too.

But my point is, customers generally don't seem to have an issue with the taste of these low sodium Kcl alternatives. Nor the fact that they've got additives.

So long as the taste's OK, it's reasonably priced & it's healthier, who cares about its composition?