Zotefoams Share Discussion Threads

[clocktower] 12/4/2021 15:17

Blip over and heading the right way once again. With air travel on the horizon again, the demand may also pick up from that industry for the foams they company have traditionally supplied the industry with.

[clocktower] 07/4/2021 11:10

Nice and steady climb is all that is wanted here but it will be nice to see it break £5.

[kazoom] 26/3/2021 18:07

I wrote that before reading the Directors Talk interview (thanks for the link ga_dti) which also confirms. Not sure I can take Directors Talk serious as an outfit though. "First off, congratulations on a solid set of pre-lim results" Personally I am waiting for the "lim" results themselves, before I form a judgement.

[kazoom] 26/3/2021 17:58

Yes I think edwardt's question & Exbroker's answer sum it up nicely. There was more information on the Poland 'site tour' (also on Investor Meet Company). Poland will also IIUC be the main hub to supply the EU, so there may be something about avoiding the 'non-existent' trade barriers.

[exbroker] 26/3/2021 16:49

edwardt As I understand it the Rezorce plant would be a standalone operation and could be set up where it was needed. I would suspect that they would set up a joint venture to progress this with one of the smaller players in the packaging sector. As far as I know Poland is running on one shift so plenty of capacity at Croydon. Poland has only low-pressure expansion vessels not the high ones that are in Croydon and the US. The Croydon site has no more room for expansion or extra storage of finished or unexpanded blocks of foam.

[ga_dti] 26/3/2021 09:05

Written Q&A for the latest interview with DirectorsTalk discussing preliminary results: hTtps://www.directorstalkinterviews.com/zotefoams-qa-recovery-in-many-of-our-core-markets-lonztf/412971113

[edwardt] 25/3/2021 08:55

my other query is was around poland. it strikes me it is more about moving lower margin processes out there so croydon can focus on higher margin products? Anyone know what sort of capacity utilisation rates they are at as it was not covered in the presentation? i guess croydon was full so to speak hence the need for poland...

[janeann] 25/3/2021 08:53

Hope the Nike spat with China wont impact here

[edwardt] 25/3/2021 08:45

i think he said tetra pak is 8bn revenue. i was of the view that mucell the manufacturing remains with the client and zotefoams licence out the tech. So whilst this rezorce apple carton or whatever application uses mucell extrusion tech it is likely it will be manufactured at the zotefoams US plant? anyone with a better understanding pls correct me! i did like the fact that 49 out 50 firms approached wanted to look at prospect of pilot schemes...

[shieldbug] 24/3/2021 11:56

The biggest takeaway from the presentation for me was the opportunity in Rezorce. Not a given that this will happen but looks more promising than the current Mucell offering. There might be scepticsm about more plastic packaging. It might need some marketing to get people to understand that it is actually recyclable rather than just looking recyclable (Tetra Pak). Tetra Pak is typically 4 layers of polyethylene, 1 layer aluminium, 1 layer cardboard.

[deadly] 23/3/2021 20:42

Don't know about very positive, don't know what to make of the mixed bag of comments: "We do not anticipate any significant sales from PPE programmes this year, which materially supported 2020's second half trading. In our HPP Business Unit, demand for footwear products continues at similar levels to the strong performance seen in the second half of last year, while COVID-related factors continue to impact aviation and the rate of growth in T-FIT(R) insulation products. The operational environment is currently impacted by Brexit-related changes and global trade imbalances, making it more difficult and expensive to plan transportation, although we anticipate that this will ease with time. We expect to recover inflationary pressure, particularly in raw material pricing, through price increases in the second quarter." After all that, seems they think propects are good!

[janeann] 23/3/2021 16:31

Yes all very positive; do like the move into recyclable packaging especially if the carbon footprint of production also beats the current status. Id be buying more if I didnt have quite so many!

[clocktower] 23/3/2021 14:44

If all goes well with the new material, Tetra Pak could find itself with a company that they want to take out the market before it hits their sales and profits. The other interesting answer that was provided was in regard to Sekisui Alveo shareholding sale. Nothing sinister there to be concerned about but very surprised that in 15 years of holding this size stake they were not active with the company. The new owners of the stock have picked up a bargain.

[dubai123] 23/3/2021 13:07

Should read chaps not chaos..... good old predictive text

[dubai123] 23/3/2021 13:06

Meeting on investor meet company starting shortly will be interesting to hear what the chaos have to say. It will be good to understand more about the application for mucell

[battlebus2] 23/3/2021 09:26

Yes good results and a lot to look forward too.

[clocktower] 23/3/2021 08:26

The aviation overhang is here to stay for some years I anticipate but as the company has so many strings to its instruments it is fleeting footed to mitigate the impact as it has clearly shown through these results.

[janeann] 23/3/2021 07:46

Agree looks pretty positive to me; pity about the aviation end of the business but footwear is likely to remain bouyant the way things are

[clocktower] 23/3/2021 07:38

After a brief scan of the accounts I think that this is a remarkable achievement in a tougher market, and to return to a decent dividend should get the share price moving up again with prospects even better going forward now that the Polish factory is online.

[redartbmud] 09/3/2021 13:41

The placing was orderly and disruption to the share price minimal. I can live with that.

[clocktower] 09/3/2021 13:29

Heading back up as expected.The shares were a bargain yesterday, and are still good value for long term investors imo. DYOR. When you have that amount of shares you have to liquidate at a big discount in the current market.

[dubai123] 08/3/2021 19:17

They were very old holders who have neither added or sold over the last 10 years or so. They obviously have a requirement for the proceeds but must say that 350 was a great deal for those buying

[clocktower] 08/3/2021 15:47

As they are institutional investors, I am sure they are locked away for even greater long term rewards. So I guess we will soon head back to 420+ over the coming week.

[shieldbug] 08/3/2021 15:45

Added a few. If it falls down towards the 350p level I'll add some more.

[janeann] 08/3/2021 15:08

Someones had a bargain.......... Seller has sold an aggregate of 3,814,762 ordinary shares of 5 pence each ("Ordinary Shares") (the "Placing Shares") in the share capital of Zotefoams, by way of an accelerated bookbuild to institutional investors at a price of 350 pence per Ordinary Share