Do not tell anyone but I am a fair man. I remain unconvinced by the investment case for Hydrogen Utopia (HUI) but to show balance I bring you broker research out today from Clear Capital. I can't say fairer than that.
After stacks of RNS pumping today came the dumping with Hydrogen Utopia (HUI) announcing that it had attracted its first institutional investor via a “strategic placement” . Bollocks.
Today we have interim accounts from drowning in red flags Hydrogen Utopia (HUI) and I suggest to you that the presented balance sheet is a work of fiction designed to hide the fact that the company is in the financial doggy doo doo.
Shares in Hydrogen Utopia (HUI) are now just 1p to sell but with average daily volumes of less than 100,000 shares if you own 50 million shares you would be unable to sell for a fraction of that. And this maters because of an RNS from 27 August 2024. I have written to the FCA
I explained in yesterday’s second bearcast why the day’s release from Hydrogen Utopia (HUI) was nonsense built upon nonsense built upon nonsense. £500,000 has gone missing and what was meant to be a cash cow supplying weed to folks like Liam Murray is, in fact a cash drain. After that ramptastic shite, today comes a discounted and paltry placing that stinks in every way possible. Let’s start with a statement from CEO Aleksandra Binkowska yesterday:
I am afraid to say that my old pal Nick Michaels at Alfred Henry Corporate Finance is taking the piss. His silence on two critical matters relating to Hydrogen Utopia (HUI) is deafening. And as such the stock, running on vapours as it is, is 100% uninvestable.
Interim numbers from Hydrogen Utopia (HUI) indicated a monthly cash spaff of c£100,000. That will not have changed in the second half of the year. If anything it has got worse. Not surprisingly that sees the shares sliding and that poses a particular problem for CEO Aleksandra Binkowska who has agreed to pledge all her shares for £3 million of rescue loan finance. But as the shares collapse, that package looks in jeopardy.
The annual report of Hydrogen Utopia (HUI) is explicit. The Company’s waste to hydrogen projects will need to secure fresh funds as a “bridge” to profitability. The numbers are explicit. As at 31 December 2023 cash was £1.29 million but net current assets were just £1.067million. And the business burned £1.27 million at an operational level. With no sign of meaningful revenues in sight you can do the maths. But it had two cunning plans. Baldrick would have been doubly impressed.
Smoke and mirrors, dodgy related party deals involving Howard White, the near 70 year old “friend” of Hydrogen Utopia’s (HUA) thirty something CEO Aleksandra Binkowska, an inability to file accounts and sums that don’t add up. 2024 has started as 2023 ended for this Standard Listed dog. Today we are told that Hydrogen has exercised an option to buy 49% of Ochrid “to provide an income stream in 2024.” Well up to a point, Howard, old boy.
