That is Nigel’s problem. He is just too much of a nice guy as he showed with his piece earlier on the Tern/Wyld cash crisis. I am not so charitable. I am not a nice guy. The crisis is far worse than even Nigel suggests.
For most of the last year, AIM-listed jam-tomorrow IoT investment company Tern plc (TERN) has survived because its supporters were truly sold on Tern’s portfolio being worth a multiple of the official NAV per share which allowed Tern to issue more and more shares like there is no tomorrow at a huge premium to NAV per share, even if at massive discounts to the prevailing share price. Until now.
AIM-listed jam-tomorrow IoT investment company Tern plc (TERN) announced yesterday that it is to participate in the Sure Valley Ventures UK Software Technology Fund, to the tune of an initial £90,000 and a total of £5 million over the next ten years. So where is the money coming from as the deadline for converting Tern’s first round of warrants in Wyld (due at the end of the month) ticks down to an inevitable discounted bucket-shop placing?
Tern (TERN) is always happy to use the Adam Reynolds keyboard to publicise details of new deals for its investee companies but is much shyer about revealing any financial details. Wyld Networks recently published its results for the year ended 31 December 2021, HERE, and unsurprisingly Tern didn’t bother to highlight them probably because financially they were piss poor..
AIM-listed jam tomorrow investment company Tern plc (TERN) is desperate for good news to ramp its shares ahead of a bailout placing which looks needed to raise money to keep its end up at Wyld as the deadline to convert the first tranche of listed warrants there falls on April 4th and if my back-of-a-fag-packet is right, the money isn’t there. And that brings me to today’s intra-day RNS…..
How do you keep an AIM-listed Tern plc (TERN) shareholder in suspense? Why, of course, issue a Portfolio Update with no numbers attached! And that is what we had yesterday morning, from a company desperate to get a big bucket-shop funding round away as it faces a hefty bill to stand its corner at Wyld, which has a round of warrants due to expire at the start of April and not enough cash to pay for full conversion. But perhaps the biggest Red Flag of all was the excuses offered with regard to principal investee Device Authority.
AIM-listed jam-tomorrow investment company Tern plc (TERN) announced yesterday that investee Talking Medicines had raised £1.59 million from a fundraise – including £400,000 from Tern. The company trumpeted that the value of its investment had therefore headed north from £0.86 million to £1.79 million. Is it time for the TERNers to crack open the Ouzo?
I asked on Friday whether AIM-listed jam-tomorrow internet of things investment company Tern plc (TERN) had run into some problems with its proposed listing on the US OTCQB market. A trip to the SEC website asks more questions than it answers.
It is now just three days short of seven months since AIM-listed jam-tomorrow investment company (which is a tad short of cash) Tern plc (TERN) announced plans to join the OTCQB market on the other side of the pond. Of course, even by the standards of the world’s most successful growth market OTCQB is a demonstrably tin-pot exercise, but Tern was clearly very excited about it.
An issue I have raised frequently concerns poor quality companies listed on London Markets that cite listing on the US Over the Counter Markets as being a key event for their investors. Some of the Bulletin Board Morons buy into this myth. For instance if you look at the Tern (TERN) Bulletin Board on London South East website you can see some of the morons complain that the CEO Al Sisto hasn’t manged to list Tern implying that this failure might be depressing the share price as US investors can’t invest into Tern.
We all know that AIM-listed jam-tomorrow investment company Tern plc (TERN) needs to rattle the tin yet again and sharpish in order to hold its corner as the first round of Wyld warrants comes up for exercise. We also know that Tern’s share price has collapsed (not by enough) in the wake of bad news from its portfolio of cash-hungry investees. And that brings me to today’s flag-waving RNS.
As I demonstrated HERE, April Fool’s Day is too late for AIM listed, sub scale, investment company Tern (TERN)- it needs a placing before then or it will be crash landing in tits up alley. No institution will touch this POS with a bargepole so it is an inevitable trip to the bucket shops for a discounted raise. The shares are now 11.75p. The NAV is not going to be anymore than 8p and is falling so what price to you think the placing will be at?
AIM-listed jam-tomorrow internet of things investment company Tern plc (TERN) has announced a fundraise at investee INVMA resulting is an upwards revaluation of its investment. Two other investors have stepped up to the plate in the form of Foresight and Mercia, stumping up £1.925 million between them (presumably of other people’s money) to add to a further investment from Tern of just £0.2 million. Good news for INVMA, as it now has cash – and good news for Tern as at least one hungry mouth to feed has been satiated for the time being.
Tern (TERN) is reluctant to disclose financial information about the portfolio of Tern’s investments citing commercial confidentiality. All of its portfolio investees file abbreviated accounts excluding profit and loss account and cashflow statement as they are permitted to do and Tern rarely publishes any financial information about the investee companies.
Today’s news from Tern (TERN) is welcome because it has reduced its future cash flow burn by finding new partners to fund InVMA or Konektio. The downside is that Tern has diluted its stake from 50% to 36.8% just as the company is experiencing significant sales growth, according to the RNS:
I have been watching Companies House with interest recently, regarding AIM-listed jam-tomorrow internet of things investment company Tern plc (TERN) and its principal investee Device Authority (DA). Following news of the bailout investment of yet more cash into DA, I have a few questions. Call be a pedant, but……
Having raised £4 million gross at 18.8 pence per share on 13 July 2021, the Bulletin Board Morons, although feeling somewhat sore given that the Tern (TERN) share price was 12.5 pence bid price at the close of business yesterday, might be consoling themselves thinking that, at least, the jam tomorrow specialists, won’t be asking for any more cash for some time. Sadly, that isn’t the case and I demonstrate below why they will very shortly be asked to stump yet more cash to feed the greedy board and its portfolio of loss making and cash guzzling investments.
Evil Knievil: “the best time to kick a man is when he is down.” The great bear raider is correct, especially in these crazy times when so many frauds or near bankrupts seem able to defy gravity as the believers still belief and continue to BOTFD, so providing share price support. But in some cases even the believers are starting to smell the coffee.
