Fred555
10 Oct 2017
Re: Company and value Sure it's all existing out their, however saying that i am also equally sure improvements could be made possibly but i really can't see why anybody would need £200mio for this, even 10% (£20mio) should probably be considered as an over kill.A textbook case of too many Chiefs, not enough Indians !
deepsleeves
09 Oct 2017
Re: Company and value FredBiggest issue with plastic being a good idea is that they already exist as does pallet tracking...Which then beggar's the question, what have RM2 spent £130M trying to invent?Polite answers only pleaseDeep
Fred555
06 Oct 2017
Re: Company and value I think you are wrong, the idea of a plastic pallet is good; it's stronger, easier to clean, easy to customise (colours/logos printed on pallet) more long lasting, less repairs, possibilities of using recycled plastics in manufacturing cycle etc etcBut it certainly doesn't cost anywhere near 10% of the capital invested here !
LK Hyman
06 Oct 2017
Re: Company and value Fred,"This is a huge amount of money for .....a pallet,......."You're soooo right, m8. A pallet should be made out of wood. Not plastic ffs.End of. You'd think that Woody, of all people would of known that, woodn't you?LKH on the flybridge
LK Hyman
06 Oct 2017
Woodentop strikes again! This is another one of Woody's innit?LKH on the flybridge ducks head below parapet
Fred555
06 Oct 2017
Re: Company and value That may or may not be so, but one really needs to think how can you raise £137mio on a floatation, pick up a few extra sizable chunks of ££ on the way, so somewhere around £200mio and end up with absolutely nothing in a very low tech business ?This is a huge amount of money for .....a pallet,....... something that is simple, which tends me to think that the BoD carry a large part of the responsibility for this debacle and should maybe held to account.They have always been very parsimonious with information, is this maybe the reason, mismanagement and incompetence ?
deepsleeves
06 Oct 2017
Re: Company and value BOD and Molson & Walsh in particular have put significant amount of there own money into RM2 so it seems unlikely they were guilty of misrepresentation - just stupidity.Low cost manufacturing in Canada - really!!!!Deep
Fred555
05 Oct 2017
Company and value So we lost £0.003 today on a sale of 15'000 shares, a trade of £705.00.Not really a big deal until it's calculated over the 407.06 million shares issued in this company.How much longer is this going on for, I am having immense difficulty in understanding where over £130 million went and nothing to show for it ! How much do you need to develop a pallet, it's not exactly a new technology, maybe an improvement but how can anyone expect to get anything out of this company now ?One would think that the BoD have some responsibilities here, maybe their is a case to answer for misrepresentation and miss use of funds ?
deepsleeves
03 Oct 2017
Re: Director dealings FredSpot onDeep
Fred555
03 Oct 2017
Director dealings I can see our super star directors have also lost faith in this, no share dealings by directors since Feb 2017.......[link] in their right mind would give this lot any more money ? They have burnt through so much following ill conceived strategies all which have resulted in nothing. Please switch the lights out when you go
deepsleeves
22 Aug 2017
Re: ST article -part 2 Was just thinking the same - £300 million down in one share on 1 day
Cantseethewoodsforthetrees
22 Aug 2017
Re: ST article -part 2 Add this to Provident Financial and Neil Woodford's track record loos like it's going off the rails!
deepsleeves
22 Aug 2017
Re: ST article -part 2 The quality of the journalism is not much better than the quality of RM2 management. Seems that journalists like bankers no nothing about pallets else they would point out the obvious, plastic pallets already exist as does pallet tracking.Deep
Cantseethewoodsforthetrees
21 Aug 2017
ST article -part 2 Smart pallets and the not so smart boardroomA starry cast of directors has not saved AIM-listed RM2 from financial embarrassment. It faces a scramble to raise new funds, reports Peter EvansThe Sunday Times - Business20 August 2017John Walsh enjoyed his fair share of dramas during more than two decades in international finance. While a capital markets big shot at Credit Suisse First Boston in the early 2000s, he had a spectacular falling out with Stephen Hester, then the bank’s finance chief.Bob Diamond, who was running Barclays Capital at the time, heard about the discord and offered Walsh — along with dozens of his cohorts — big money to defect.The “naughty 40”, as they became known, leveraged their position to force huge pay rises from Credit Suisse. Walsh was widely seen as the ringleader.After such high-stakes poker, the financier craved something more prosaic. In 2007 he stepped away from the coalface and founded a pallet-making company.Walsh’s desire for a quiet life has not worked out. The drama now unfolding at RM2, an AIM-listed “innovator in pallet development”, rivals anything he experienced when dealing with Diamond and Hester.The company, which is 28%-owned by the star fund manager Neil Woodford, has lost more than 90% of its value since listing three years ago, when it raised £137m. After an aborted attempt to raise $65m (£50.5m), it faces a cash squeeze that insiders say must be resolved if it is to continue to supply its muchvaunted pallets.Members of its board, which contains business galacticos such as ex-Diageo chief Paul Walsh (no relation to John) and former Marks & Spencer boss Lord (Stuart) Rose, privately admit they have made blunders.Pallets may sound boring, but they are big business. The transportation of physical goods from iPhones to iceberg lettuces relies on them. The industry is estimated to be worth $45bn.Yet pallets have traditionally been made from wood, which splinters easily and is not environmentally friendly. After founding RM2, Walsh spent $50m developing a longer-lasting, sustainable alternative. The result was a “smart pallet”, made from a glass-fibre composite. An embedded microchip allows the pallets to be tracked across the globe and can even record the ambient temperature.Walsh enlisted Ian Molson, scion of the Molson Coors beer empire and his former boss at Credit Suisse, to chair the business when it listed. Amaury de Sèze, former chairman of French retail giant Carrefour, also agreed to sit on the board.Despite a cast of luminaries that would make any FTSE 100 company jealous, RM2 has spiralled out of control.The most catastrophic decision was to make the new pallet in-house at a plant in Canada. This strained the Luxembourg-based company’s resources until manufacturing was outsourced to Mexico and China last year.RM2’s cash reserves at the end of May stood at $2.7m, while its cost of doing business for the remainder of the year is $1.7m a month. The company raised $20m in June by issuing convertible preferred shares to existing investors. Last year its turnover was $8.9m.In June, RM2 pledged to raise “at least $65m”, but last month said it would not be in the best interests of the company and shareholders to complete the equity offering.It is understood new backers were willing to invest, but at a much lower price than the offer. Jasper Judd, the industry veteran who replaced Walsh as boss in June, left this month after a disagreement over the fundraising.The cash is required to purchase pallets from RM2’s new manufacturing partners. Without it, the company will not be able to fulfil future orders. Molson admitted to errors in the running of the company, especially the failure to outsource manufacturing from the outset.“That was a terrible mistake,” he said. “We tolerated a lack of performance for far too long and spent a ton of money.”RM2 is understood to be in talks with several potential multinational customers, though no contrac
deepsleeves
21 Aug 2017
Re: Yesterday's ST CantseeLikewise I have thankfully have no holding in RM2.I looked into it on it's IPO but thought - you are having a laugh.For my own interest I have followed RM2 since then and been fascinated by the twists and turns from £0.88 to £0.06In all truth I cannot understand how apparent scions of business, Molson Rose and Walsh along with Woodford could invest so much cash in this business.Deep
