1645 replies to this topic

[Bushmanbob]

Looks like remuneration received 37% against vote

[David-89]

AGM just concluded, all resolutions passed barring the non-executive directors remuneration, which fell short by around 10% of votes required for 75%. There will be shareholder engagement and then a SENS released to this matter.

[Shi]

Im sorry if I am missing something, but what was the point of the latest "voluntary business update?" There was absolutely no relevant information in there that isn't already known. 

 

Agreed. Most important part is that there was nothing regarding Remedica. Guess we won't get any SENS wrt progress in this regard any time soon. 

Edited by Shi, 01 December 2020 - 09:14 AM.

[Investment novice]

Bland sens put but does hint at business stable and potentially revenue with covid...not sure why so bland when opportunity to pump....but does position for future sens expectations...

Riyas

[Leadingedge]

Im sorry if I am missing something, but what was the point of the latest "voluntary business update?" There was absolutely no relevant information in there that isn't already known. 

[Investment novice]

No sens today, hence agm may be uneventful. Interesting to see if any strong institutional investor veto any of the resolutions. If support to maintain board means ascendis has won over the investors and there is support for the road ahead and that will be positive...if discent expressed , be interesting to see response...

[Investment novice]

Do they usually go off script at an agm... are they permitted to share that without a sens...i would be pleased if remuneration policy is signed and share purchases...will at least drive volume...
Hope its a positve agm and guidnace at least privided on progress

[Shi]

Very eager to hear what is said at the AGM wrt Remedica sale especially since there has been no SENS in this regard

[Investment novice]

Had an interesting chat with medical person...says observe usa covid rates....we still to get to a true winter in usa and europe...rates to increase significantly.

[David-89]

Agm
1. Remuneration policy loaded on asc website.
2. Chair received r1m almost ro attend 4 meetings. We should reduce this and all other board fees to 10% of what is proposed x adjustment factor for success which is an upside of 200% of what is proposed meeting shareholder value. Happy to chair for free...
3. Board effectiveness is a concern and we should not waste money on figure heads. Peay for performance....add a share kicker.


We need to discuss this and make the right productive noise at agm....

I too will vote against the chairs renumeration. I know I’m not comparing apples with apples here but Cognition Holdings is another small cap company with which I’m familiar the renumeration policy and if memory serves me correctly the chair of the board was paid a meager R15 000 per meeting in comparison. R250 000 per meeting seems a bit obscene where shareholder value is being destroyed at a rapid rate.

[Investment novice]

Agm
1. Remuneration policy loaded on asc website.
2. Chair received r1m almost ro attend 4 meetings. We should reduce this and all other board fees to 10% of what is proposed x adjustment factor for success which is an upside of 200% of what is proposed meeting shareholder value. Happy to chair for free...
3. Board effectiveness is a concern and we should not waste money on figure heads. Peay for performance....add a share kicker.


We need to discuss this and make the right productive noise at agm....

[Investment novice]

Some trends over the week, early day lows, peaks midday and settles end of day.....play intrady trade

[Investment novice]

The South African pharmaceutical market is valued at R56.4bn annually and accounts for 1.8 percent of South Africa’s gross domestic product.

The continental market is estimated at an impressive $45bn, or R780bn at today’s rate. Coupled with the political will to implement some simple yet significant improvement measures, South African manufacturers could make a significant contribution to the growth of the African pharmaceutical market.

Even by the most conservative estimates, the industry's potential in South Africa is exciting. With sufficient investment, we estimate that the sector could create close to 60 000 jobs – up from the current 9 500. And if the government, investors and the local manufacturing industry work together, we have the opportunity to reshape the pharmaceutical landscape of the entire continent and create an African pharmaceutical success story

[Investment novice]

Have just read this artical. Had not paid attention to it before. Sa looking to bolster pharamceutical leadership ajd sales for SA and Africa. Not sure if this is what Mark Sardi hinted at. Be good to know if the conversations have since progressed.

Ascendis can salvage remedica if there is government financial support and a repayment plan.

Andi the numbers above talk to some of the future revenues.as well as the fact that mark mentioned he can tap those without owning remedica but leveraging.

[andi222]

Zanme, unfortunately there is no other alternative to reduce the debt substantially if they do not sell Remedica.

Also its one of the lender consortiums requirements so management does not have a choice.

In the AFS for June 2020 ASC has generated 1.15 billion EBITDA. However the interest charge was around 900 Million and this will increase in 2021. So there is no way they will be able to trade them self out of this pile of debt. That's one reason why we are sitting at 80 cents a share.

Obviously the price for Remedica needs to be fair. During the last deal the price would not have been fair and thus the deal got cancelled.

The company currently has around 8 Billion rands of debt. And the only way to get rid of this is unfortunately the sale of Remedica. However I as shareholder want a fair price for this gem.
Given an EBITDA of 730 Million and the strong growth prospects of this company an EBITDA multiple of 10 to 12 would be reasonable. This would value Remedica at between 7 and 9 Billion rands or roughly 400 Million Euros.
This would take down all debt and most of the interest expense.

I do hope they will not sell it below its fair value.

Then the question comes up what remains in ASC and is there any future potential?
And the answer is definitely a big YES in my opinion. Why do I say so:
The following business will remain in the group:


Consumer Health South Africa
(Ebitda 36 Million)
Sun wave pharma
(EBITDA 250 Million)
Pharma SA
(EBITDA of negative 45 Million)
Farmalider
(EBITDA of 64 Million)
Medical
(EBITDA of 143 Million)
Animal Health
(EBITDA of 125 Million)
Total EBITDA of around 650 Million with basically zero interest expense.
Given a EBITDA multiple of 6 to 8 we have a value left of around 3 to 5 Billion. NAV 6 to 10 Rands

Outlook 2021 of these businesses from the integrated report:
Consumer Health SA: focus on sports nutrition and international growth
Sun wave pharma:
New product launches planned and expansion into Cyprus and Bulgaria.
Pharma SA: increase online presence
Farmalider: Expansion into EU.
Medical: expansion into afrika as well as strong sales due to COVID PPE sales.
Animal Health: expansion into other African markets.

So even at the remaining operating units there is huge growth potential.

Also they are also looking at selling the Animal business as well as the medical devices. I hope they will not have to sell these.

Again this is just my outside opinion.

[Investment novice]

Some nice mid day volumes coming in with big chunks...a nice article on omnia...risk reward and taking the time to appreciate the value of the share that has been beaten down...
Riyas

[Zanme]

Zanme from your mouth to angels ears...
Analyst friend and investor said company have commited to institutional investors and shareholders to support share value recovery.

This can be achieved in short term through the remunration committee which may be discussed at agm.

There is a share incentive for management and a share buy opportunity where the comoany will buy 1 sgare for wvery share and empliyee purchases through the scheme. This is similar to other companies. He says short term aside from all katters the company may need to lock in a buy of potentially 10 to 20 million shares which will create an upward pressure on the share recovery. He sees r2.20 as a mid december reality drivem mainly through employee investment requirements. Also keen that post agm we will have more info. Unlikely downside pist agm as all the negative is already priced in. Advises ignore the small volume movements however use that as a buy opportunity if you trading with an exit of r2 safely mid december.....all of this is his opinion......he also beleives jse going to lose significant market share if there are no bourse reforms and changes to protect and benefit shareholders..

Thanks for that information sounds promising.

[Investment novice]

Any comments on below....historically have seen when there are margin calls and lots of volune share drops....this share was hammered several times. Any voljme demand itself will cause this share to propel itself to reasonable new highs. We may even see controlled batch purchases coming theough rather than once off purchase. And this is not share manipulation.....and unlikely crdditors would have imposed a restriction on management retention strategies....think about it. I got a few more at 79c. Hapoy with my volumes. Ready for agm....

[Investment novice]

Zanme from your mouth to angels ears...
Analyst friend and investor said company have commited to institutional investors and shareholders to support share value recovery.

This can be achieved in short term through the remunration committee which may be discussed at agm.

There is a share incentive for management and a share buy opportunity where the comoany will buy 1 sgare for wvery share and empliyee purchases through the scheme. This is similar to other companies. He says short term aside from all katters the company may need to lock in a buy of potentially 10 to 20 million shares which will create an upward pressure on the share recovery. He sees r2.20 as a mid december reality drivem mainly through employee investment requirements. Also keen that post agm we will have more info. Unlikely downside pist agm as all the negative is already priced in. Advises ignore the small volume movements however use that as a buy opportunity if you trading with an exit of r2 safely mid december.....all of this is his opinion......he also beleives jse going to lose significant market share if there are no bourse reforms and changes to protect and benefit shareholders..

[David-89]

We currently post anonomously. But i am happy to sign a proxy to anyone here to help get the voice louder re our initiative.

Also happy to sign a proxy.