Tekmar Share Discussion Threads

[shallwe] 23/7/2018 21:13

Heard an announcement on the radio this afternoon that the government is starting up the wind farm subsidy auctions again. Should be good news for TGP, although more to the future than right now. May help the share price once people do some deeper research and discover this gem.

[petewy] 23/7/2018 17:11

Thnks Jonwig

[jonwig] 23/7/2018 15:41

@ brucey - thanks for Moneyweek pointer. Since I'm not a subscriber but could read it, there's no issue about copying:

Since spotting a gap in the market in 2009, Tekmar Group (Aim: TGP) has become the world’s leading supplier of cable protection systems for the offshore wind market. Its patent-protected Teklink system has been installed in the harsh environments at the base of offshore wind turbines over 6,000 times since the company was founded – without a single failure to date. The technology replaces older systems that are unreliable, more difficult to install and more expensive. Tekmar has captured a dominant market share, and with the cost of producing offshore wind now roughly on a par with extracting fossil fuels, demand for this clean source of fuel is sure to keep growing.

[brucey6onus] 23/7/2018 10:19

Little flurry of interest on Friday and Today was probably from a mention in Money Week magazine as a fine example of a growing small-cap company that should be fairly immune to Brexit due to such a dominant market position.

[shallwe] 22/7/2018 17:29

Depending on whether they issue a market update sooner than November, I'm looking forward to their first public results announcement. Imo, the public will start to fight over these shares. There aren't many out there, so could get interesting.

[imperial3] 22/7/2018 16:52

From their website.."Investment case."

"Strong track record of historical financial growth with clear visibility on organic growth revenues and pipeline-the Group has delivered a consistent record of growth with with a revenue CAGR of 12.7% from £17.2 million for the year ended 31 March 2016 to £21.9 million for the year ended 31 March 2018.This significant revenue growth has been accompanied by a CAGR in adjusted EBITDA of 28.5% over the same period,reaching £4.9 million for the year ended 31 March 2018. The Group has forward revenue visibility with £146 million of sales enquiries across 280 projects"...…

Impressive.In November they will announce their half year results.Now that will be interesting.

[aishah] 20/7/2018 21:45

Not invested in a post IPO for a while but this looks like a good one. Under the radar at the moment, but will get more interest as time goes by I'm sure. Happy to hold.

[euclid5] 20/7/2018 21:18

Imperial, I make the free float 17% - or 8.5m shares - if you add up all the M/holders & BoD's holdings.

[shallwe] 20/7/2018 18:08

Imperial, would that be put aside for future directors incentive schemes?

The nice rise today looks as though the market has just cottoned on to their last RNS. That's the problem with small new AIM companies, they go under the radar for quite a time before other PI's notice. But at the same time it's quite nice as you can have a steady share price moving (hopefully) up.

[imperial3] 20/7/2018 17:35

From their website...."The number of shares not in public hands at 18 June 2018 was 1,762,930 representing 4.9% of the issued share capital at that date."

[ramridge] 20/7/2018 16:37

Please note that Tekmar has now given details of future announcement dates on their website.

[modform] 20/7/2018 16:11

Looking very strong now with tiny free float

[aishah] 13/7/2018 11:38

Ørsted selectes Tekmar Energy for Borssele I&II along with a 6 year framework

Tekmar Group plc, a market-leading technology provider of protection systems for subsea cable, umbilical and flexible pipes and offshore engineering services, is pleased to announce that Ørsted (formerly DONG Energy) has selected the Company's patented Cable Protection System (or CPS) TekLink Mechanical Latch for it Borssele I&II Offshore Wind Farm Projects.

Alongside this recent win, Tekmar is also pleased to announce that it has successfully won a place on Ørsted's 6-year framework for providing Cable Protection Systems on Ørsted's future projects.

Borssele I&II, a 752MW project that will go into construction off the coast of The Netherlands in 2020, is important as it is one of the first projects to start a trend of significant price reductions within the Offshore Windfarm Industry.

James Ritchie, CEO of Tekmar, said:

"We could not be more pleased that Ørsted has chosen Tekmar not only for the Borssele I&II project but also to be part of the framework going forward. This supports our vision to be our customers' partner of choice and will drive us to innovate to support in cost and risk reduction for this project and the next generation of offshore wind farms."

[brucey6onus] 12/7/2018 16:36

Thanks Jon - makes me wonder what is considered RNS worthy? - i was hoping the steady contract wins they continue to achieve (as this news demonstrates) would be on RNS to help keep interest in and provide lifts to share price

[jonwig] 12/7/2018 16:17

News on website:

Tekmar Energy (Tekmar®) are pleased to announce Orsted (the former DONG Energy) have selected their patented Cable Protection System (CPS) TekLink® Mecahnical Latch for their Borssele 1&2 Offshore Wind Farm Projects.

Alongside this recent win, Tekmar® are also pleased to announce they have successfully won a place on Orsted’s 6-year framework for providing Cable Protection Systems on their future projects.

[jonwig] 04/7/2018 20:31

brucey - I'll concur about previous ownership - thanks. The debt they were carrying (thankfully redeemed) and the interest rate attached were eye-watering.

[euclid5] 04/7/2018 20:04

a nice 230,318 buy today - £345k

[brucey6onus] 04/7/2018 15:44

Hi Jon - I agree with your numbers but rather unhelpfully I'm going to say everything is relative - so when you say "isn't cheap" compared to? e.g. apparently (google search) the S&P 500 end of 2017 average EV/EBITDA was 12.75x (composed of large, mature companies)

I'm probably being defensive as really its a big part gut instinct that's telling me its cheap and I struggle to live with valuation measures - for instance what I do know is I sold an AIM company this morning with EV/EBITDA of 108x! which had risen 250% in last few months. I also own an AIM stock on EV/EBITDA 3.7x which is down 25% in last month. I will however run a screen through stocks on EV/EBITDA and see what it throws up, so thank you for reminding me of this measure as lens to look through :)

As to your other point the company was founded by 2 commercial divers who sold the company to private equity houses - so new CEO brought in a few years back and would probably have about 2% - not sure where you get 100%?

[jonwig] 04/7/2018 15:07

@ brucey - sorry I can't access the data at present but isn't the EV around £65m, so assuming EBITDA of £5m that's EV/EBITDA of 13x which isn't cheap.

Of course we have presumed growth which I understand would put that multiple at short of 10x. That's OK but of course AIM companies don't carry risks!

A thought I had when investing was the CEO: down from 100% to 2%. Was the company being ripened for takeover? Look how quickly the share register was filled without, seemingly, much effort!

[modform] 04/7/2018 12:06

There has been continuous buys since ipo and with such a small free float available to pi, it will pop very soon

[shallwe] 04/7/2018 11:14

Couldn't agree more Bruce. I bought mine on the first trading day and although there hasn't been much movement since then, all the fundamentals point to it being a safe, steady company with a market leading product with very little competition.

[brucey6onus] 04/7/2018 10:45

In a nutshell this is a nicely profitable business, with a solid product in a growing market that's been weighed down by debt repayments, that debt and repayments will now disappear. That current EBITDA is circa £5mm and its current market cap is £75mm is bonkers - have just bought as many as I can.

[euclid5] 21/6/2018 21:14

Don't get me wrong I like this company - just skimed through the AD for any strong negatives - always best to otherwise it bites you back hard later on for not looking - overall now a debt free co, that actually makes a profit

[jonwig] 21/6/2018 17:00

Some recent press reports add a bit of colour (the cash pile is variously put at 9m to 11m):

H ttp://www.proactiveinvestors.co.uk/companies/news/199345/youngest-boss-of-a-uk-listed-company-steers-tekmar-to-a-stellar-start-on-aim-199345.html

Youngest CEO of any UK-listed company.

[Our masters don't like that website, hence the gap in the url.]