Verditek Share Discussion Threads

[chawkers] 24/2/2021 10:43

I think it's pretty much game over for VDTK. The PowerMat solution isn't exactly high tech and container rates ( as measured by the Baltic Freight 8ndex) have roofed it in recent months so will inevitably erode margins. I think it is only a matter of time before VDTK run out of cash again and I simply don't believe that investors will once again bail them out unless the CR is at a massive discount.Caveat emptor!

[erinvale1] 24/2/2021 10:22

It looks as if Verditek is on its last legs. Any hope?

[il duce15] 24/2/2021 10:15

The below is from the Rns year end update


Work on the PowerMat solution (a containerised, quick deployment and minimal infrastructure solar solution) has resulted in two design offerings going into production, one of which will be used to fulfil the InterGroup mining order announced on 24 September 2020. It is now expected that the order will be shipped to Australia in the first quarter of 2021.

[32campomar] 24/2/2021 10:13

Yes it was, didn't SAF take it. Before they suspended the contract?

[dubois] 24/2/2021 10:06

il, I thought the Powermat was up and on sale last year?

[il duce15] 24/2/2021 10:02

The transition to lightweight panels is taking longer than I thought it would, but with the Mkt cap now at only £15m I think our delays are in the price.

I believe we have money for another 9 months (the vibe from the company) without any sales, enough time I believe for the odd order to drop in.

We should have the powermat ready in a few weeks and that should be the catalyst in getting orders from off grid miners etc.

I'm not happy with the delays and understand why people have sold, but I still believe its a case of 'when' not 'if' with sales.

[astralvision] 24/2/2021 09:37

Double bottom or lower lows?Could be about to find out today.Still nothing from the company re strategy, sales force, those 'delayed' orders, Paragraf JV.Is anyone still there at VDTK?

[1teepee] 23/2/2021 13:47

Have you still got your 1%?

[1chalky] 23/2/2021 11:24

I just tried to buy on two platforms and wasn’t permitted sell only

[chawkers] 23/2/2021 10:28

I think the sad fact is that it takes quite a lot of time to develop solutions for a new market like lightweight flex solar. It is not enough to just have panel production capacity and expect them to fly off the shelves. For example competitor Sunman last year installed a 420 kW generation capacity, 4,000 square meter roof cover for 152 parking bays at the Jakobsbad-Kronberg cable car in Appenzellerland, Austria. The roof required 13 months to install, following 2.5 years in the planning system! Time is not on VDTK's side if they are developing solutions for new markets like oil&gas, mining and transport.

[astralvision] 23/2/2021 10:18

These were my calcs a while back Here's the cash burn for last year 2020, started with £107K, finished with £580k end of 1st period,raised £1.45m in first 6 months. So cash burn first half c £1m Second half, RR tells us he's cut overheads Started Second half £580k, finished with £1.7m. Raised £3.5m from placing gross, call it £3.3m net. Further £300k from warrants in August. Deduct £600k repayment of directors loan and interest. That's a cash burn of an eye watering £1.9m in the second half! They will need to get substantial orders in soon, imo, as that £1.7m won't last long at that sort of burn! To be fair there's the £1m stock to take into account. That stock won't have cost them anything like £1m, but still it's a cost in raw materials.Cash burn, imo, is likely to be something like £250k a month. That means effectively they will have to look at another raise in the next few months. Even if they start selling stuff, they will still need to raise as they are under capitalised and will need cash to fund further orders, assuming they manage to drag the odd order over the line.

[horseposture] 23/2/2021 09:25

I think they have hit the buffers already. I don't see a way out, even if you believe their assertion that they have many real customers. They need firm orders to be converted into sales --however these sales will sit as 'accounts receivable' for months before finally becoming cash in the bank. I think it is now too late --company runs out of cash later this year and there is certainly no appetite from anyone to give them any more.

[chawkers] 23/2/2021 08:37

Does anybody have any thoughts about when VDTK runs out of cash and what the implications are if they can't raise capital from existing shareholders? If they are paying their CEO a salary and making new hires in sales & production and having to contribute to Phase 3 (commercialisation) of the Paragraf JDP, even if they do land a couple of 1MW deals in the next 3 months, when do they hit the buffers?

[vatnabrekk] 22/2/2021 18:36

Unfortunately I can't afford to reduce my holding here.
And neither can my wife, although she doesn't know that!
Shhh

[astralvision] 22/2/2021 18:16

Fair summary dubois.It was reported that RR , at least initially, was on a commission only deal. I assume he is now salaried as if he was on commission he'd be on a bread and water diet, with not too much bread!Bit like the starvation rations shareholders have been on waiting for news of a sale, and one that actually stumps up!Yes, opportunity cost being in these.I have sig reduced my holding here.

[chawkers] 22/2/2021 18:11

The new UK sales guy (Leo Powell) is based in Abergavenny near the Brecon Beacons. It's hardly the most obvious location for VDTK to launch a global sales drive!

[dubois] 22/2/2021 17:17

There are sales people out there who can sell anything, anytime, and at a premium price.How can anyone go 6 months and not sell anything of substance. I didn't ever think I'd say this about Verditek, but do these salesman exist.The new guy has only been here a few weeks so can't blame him.I do hope I'm totally wrong

[32campomar] 22/2/2021 17:06

I can only surmise that the panels are too expensive. No sales in such a long period of time suggests there is a fundamental problem.

[erinvale1] 22/2/2021 15:50

Astral: agreed. No significant sales. Much the same as Eden - great IP, minimal income. They won't survive long unless they can sell product. Too many small cap CEO's don't understand this and appear to regard process as an acceptable substitute for revenue generation.