for more information about stanelco click on the links.

driver's research page link
http://www.moneyam.com/InvestorsRoom/posts.php?tid=7681#lastread
website link
http://www.stanelco.co.uk/index.htm

'Morning all

The text in bold type, if I can use the technology right, is mine. The rest by "Flysch" on FYB.

Flysch welcome to FYBs Stanelco board. A thought provoking post for your first one! Excuse for me asking, but do you have any connection with Stanelco at all that is excluding a shareholding?

Having read through most of the discussion, i think you'll find that the market is "shaking the tree" i.e. until there is large buying volume as seen when the ASDA trials were first announced, the price is not going to hold.

The price is at its current support level, if it breaks this then we will move on to 2p. Unless there is some dramatic news the market will continue to reduce the price to make it look more attractive to buy. We may have seen a classic pump and dump with this stock based on what most of the discussion has been about and that is "expectation".

There have been many pump and dump exercises in the past with potential blue sky stocks, but this I believe was different. The pumping was done largely on what information the management was feeding the market, and not just by city slickers who had bought the stock and wanted to ramp the price to sell at a profit. Holders started to dump when the hopelessly optimistic forecasts were not realised.

My letter to the company was borne out of frustration and anger of many investors at the seemingly cavalier way they have treated their shareholders with misinformation. I would like to put it a lot more strongly than that based on my suspicions but the threat of legal action and decency prevents me from doing so.

Fortunately the company do seem to have a good product portfolio and at least they have the rights to the products. So to ease all those concerned, this company is not going to go bust in the short term, but it is under massive strain (its market cap has dropped from 80million to just 38 million in a couple of weeks).

I think that what you are implying above is that the company could sell it patents to the highest bidder should things really go wrong. But if they did, they wouldnt have a business model to work with. And anyway, I doubt whether they would be successful in raising more money from institutions given the latest problems with Greenseal, i.e. the 12 month extension of the exclusivity period with ASDA.

IMO i feel the current price is the new bottom but it does require buyers to ADD & HOLD. Looking at the order book we see an average of 2million shares traded each day which is a tiny comparison to the 600million traded in mid 2003 and the 25million on average for 2005.

I think that there is a tidal wave of money waiting to invest in this company on the strength of any hard and quantifiable contracts with a major UK or US company, EXcluding the ASDA Greenseal contract. As many people have invested in this company because of they believed that SEO would provide solutions to their genuine environmental concerns as have because of its blue sky potential. Personally it is a 50/50 split between the two.

Unfortunately there were many punters that traded Stanelco in 2005 who have now moved onto punting with commodity stocks, so what we are now left with is shares being traded with those who have particular interest in the company.

What evidence have you got for this statement? How do you know that they most - have migrated to commodity stocks?

Many are holding, the question is do you continue to add, to hold or to sell? Nobody can argue that the most important factor to the stock is the chart. Its currently showing some major bearish signals. But for every profit each investor made from Stanelco in 2005 the market are going to want to retrieve and now we have seen a full reversal pattern in the chart.

I agree with the chart showing bearish signals but this is a direct consequence of the company's actions over the past 18-24 months. However, chart watchers for a stock like this had better be extremely nimble when or, should I say, if contract is announced.

So all this talk about Stanelco's RNS and Letters to the company are not going to help the current situation.

The second paragraph of my answer to your pump and dump comment above partly answers this point. By writing to the company, with, I might add a host of support from contributors to three boards, I was hoping to place on record that there are lot investors (part owners) of this company that think that the management had better improve their performance in many skill sets or acquire them.

I have personal experience of a small companys growing pains as it becomes a medium size company, both in terms of staff and turnover/profits and the budget demands for new and improved facilities, technology and skill sets.

The company need money to progress and when people are selling & holding and not re-investing then we are going to see weakness. The company are at the mercy of the share holders and the only way the price will rise is if investors pump more funds into the company, proving to the market that this company has potential.

The weakness in the share price is the direct result of the companys actions (and to some extent non actions). And in answer to your second point, the shareholders are also at the mercy of the company. If the directors were so sure about the future of the company, they would I feel be buying shed loads of stock at these levels. Lack of action in this area speaks volumes about their confidence in the companys future.

With the extra market capital Stanelco can then progress without it they will continue with cash calls.

Again, I doubt how many institutions are doing to be willing to stump up more cash when they have seen their investment in the last call almost half in two months. Can you imagines what the top brass would say to guy at Fidelity Asset Management if he asked for more cash for SEO? Foxtrot Oscar springs to mind.

Everybody who has invested in stanelco have taken a massive risk to begin with. Firstly it's a penny stock, secondly the company have not sold their products. It was all based on expectation not facst and figures. So i would advise no more letters to the company complaining about there performance.

The fact that it is a penny stock is completely irrelevant to the argument. The massive risk taken by shareholders was increased by a factor or ten by the companys scandalously optimistic forecasts and updates of progress with the Greenseal project. Rightly or wrongly, acting on information provided, many investors were working on the assumption that with a successful Greenseal, that would automatically open other doors for Starpol and Wrap 100 because of the confidence and faith that the companys customers would automatically? have in their other products.

What it does need is support, ether show this by re-investing or just cut your losses and invest in a FTSE100 stock that will provide profits, dividends and security.

Genuine support will only come when the company has established a track of reliability and lose its reputation for unreliable information.

If you wish to take a further risk then "buy straw hats in winter" if you honestly believe that the company is secure, then there is no question... right now is the time to buy.

I agree that right now is the time to buy but only on actual and quantifiable contracts.

An open invitation to all to comment and to be a blunt as you like. That is what bbs are there for.

The oily one

Only got one thing to say.
The poster starts by claiming we are seeing a tree shake, then goes on to forecast a lower sp and a company going nowhere.
This is him arguing against his own belief.
A tree shake is usually associated with mm's trying to make people think something is drastically wrong, so they sell up and allow the mm's, or their larger / institutional buyers to build stock more cheaply than otherwise would be the case. This usually presages good news, or is simply a way for the big boys to get something they believe in on the cheap.
How you can follow this up with a monologue that goes on about a company being almost worthless and a potentially plummeting sp is a little beyond me. Or am I missing something?
Alan

Apologies all for the constant changing to the bold text. Have never got this completely right first time. Was trying to make the changes while talking for half an hour to my sister abroad.

Alan

Perhaps you may change your point above when you see that the bold types have changed since you made it. Sorry if it confused you.

The oily one

Yep.
I withdraw my point in post 18541, cos now you have changed 18540, I look like a complete pratt typing a load of old rubbish. (No change there, then).
SEO has become a battlefield between the fundamentalist / performance investors and the gamblers on potential. There is no doubt that the former are winning the argument at present, and the argument will never be truly won by either side (unless SEO go bust, and even the most ardent Anti's doubt that).
If it fails, us "riders of the storm" will continue to say that the realisation of potential will come, and we should be patient. if it rockets, then the fundamentalists will say that we could all have made a lot more getting out earlier and back in again later.
It would be nice to never get it wrong and always time it perfectly, and if anyone out there can claim that, I have an acqauintance at Hendersons who wants to offer you a salary of 1million, and will give me the same for introducing you.
Only problem is you have to be able to prove your claims. CV's to me please.
Alan

Talking of biodegradeable bottles, I was out in Cardiff recently and alot of the bars were selling the popular dinks (Budweiser, WKD, Smirnoff etc...) in plastic bottles made form PET. The drinks market may go this way as they are alot safer. They had all the correct branding on and so I guess they are bottled at the breweries, if SEO have or could make a biodegradeable bottle then that's a massive market potential?

angus
Agreed when you remember that starpol is THE ONLY non PET product that has a gas barrier.How many A&E units would not be freed up to deal with real emergencies instead of those caused by broken bottle stabings in after hours brawls? If it saves the health service money then government should back it as well.Can see a massive market here as starpol is cheaper than oil based products,and will remain so.

Whilst on holiday in the mountains of Colorado recently, i discovered a company named Biota,
who also sell their spring water in biodegradable bottles made from PLA by Natureworks.

http://www.biotaspringwater.com/bottle

There must be massive potential for anyone bringing these bottles to the market place, but i don't think anyone has yet manufactured a biodegradable screw top to compliment the bottle?

The Plastic Sea

Worse than oil spills? An ocean awash in lethal bags, bottles, pellets, line, tarps and diapers.
By Paul Watson
Published: July 26, 2006

Although the following extracts are from an article about 10 days old, a similar article was repeated in the Telegraph at the weekend.
It gives a very good insight into, not just how much waste we dump, but where some of it ends up.
The full article is about a 5 min read

A June 2006 United Nations environmental program report estimated that there are an average of 46,000 pieces of plastic debris floating on or near the surface of every square mile of ocean.
Every year we eat and drink from some 34 billion newly manufactured bottles and containers. We patronize fast food restaurants and buy products that consume another 14 billion pounds of plastic. In total, our societies produce an estimated 60 billion tons of plastic material every year.
Each of us on average uses 190 pounds of plastic annually:

http://thetyee.ca/Views/2006/07/26/PlasticSea/

NS, Starpol can be thermoformed or injection molded. I think that may make it possible for it to be made into a screw cap, though I am not sure how screw caps are currently produced, and it may not be an economical alternative.
Alan

Yet another scare. It appears that almost weekly, if not daily we hear of the dangers in plastics. No doubt the none oil based plastics do not have this latex addative.

Food packaging poses latex health risk
Monday, 07 Aug 2006 08:35

Concern about dangerous levels of latex in food packaging has led to calls for relevant products to be clearly labelled.

Fears that some food packaging products contain up to 20 times the amount of latex required to trigger a potentially fatal reaction have been expressed by the UK Latex Allergy Support Group (LASG) advisory panel following the publication of new research today.

http://www.inthenews.co.uk/news/news/buisness/food-packaging-poses-latex-health-risk-$446884.htm

Lots of press reports covering the plastic bag environmental problem this weekend, SEO may at last prosper, good time to buy back now at these levels as the up side could be huge.

I really don't want to see this share 'pumped' on hearsay, gossip, and rumour again...his masters voice It's full of potential and no doubt deals will come.
SEO need to show investors 'the money' for us to get excited and buy further into an as yet unproven market.
Happy to hold.

tweenie,

Same. I have been tempted several times in the past to buy more (did give in to temptation twice, each time buying at a fair bit higher than now).
Would not advise anyone re this share, but as far as I am concerned, for me it's a hold.

Mmmmm.... I wonder if that last trade of 1.8m shares might have been Evil dumping his lot. Pure conjecture on my part without a whiff of anything to back it up.

He did say a week ago that the did not have a clue what was going on at SEO and he is not one to hang on to shares when he has a chance to make gains elsewhere. I should add that I did copy him my message to the board.

The oily one

At least we now know why with buys easily outweighing sells to close, the sp hardly moved.
As for EK dumping his lot, 1,800,000 shares at 5p would only be 90,000 worth. I would have thought EK's stake would be much more.
Of course he could be dumping in tranches.

Is it a sell, though? At 4.89 - buys and sells were going through at 4.90 and 4.89. Virtually no spread, so was it a buy or sell?

Anyone tell with Level 2?

bought 200.000 today, still no sign of them . why ? the mm's think were stupid,i dont take any notice any more, of what they post as sells or buys. i think this is the right time to get back in to this share,personally i have used it to bring down my av; price , now it wont take much to get back in profit.this company is in the right market at the right time. it's just a mater of time...... and time is now on our side ......

How can you say time is on how side when SEO as a cash burn problem and no cash flow in sight.

I bought more shares in ttc when they fell on a delayed contract,in june because i felt it was an over reaction , two days later motorola took them over....13p turned into 45p.. i see lot's of good things that could happen to SEO....dont give up ......

website just updated


Stanelco is pleased to announce an update regarding its GreenSeal technology following its initial 12 month exclusivity period with ASDA. Stanelco will continue to work with ASDA as they support our GreenSeal technology as a way to achieve part of ASDAS greater business objective of meeting their obligations around sustainability.
In order to accelerate the roll out of the technology, ASDA have agreed to waive the exclusivity, which will then offer GreenSeal to non exclusive sites.