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

Reading the prospectus (again) I'm going with plan A.
It clearly states the fundraising will be used to ensure the successfull completion of at least the first 2 manufacturing plants.
Not might be could be or may be, but will be. Given the tone of a prospectus that lays it on thick about the potential risks, this seems pretty clear to me.
If it will be, but the LOI and contracts are now not able to be talked about, that suggests the finance issue is the key. If it said the funds would hopefully or probably or possibly be used for it I would not be so certain. If the risk factors listed said they may not get contracts for the plants I would have questions.
So I'll stick with finance being the key.
Alan

It could also explain the Board following this funding despite the considerable dilution. In the case of AoR, 12% of an ultimately huge Market Cap is better than 23% of a tiny one.
But this takes me back to wanting to know AoR's intentions, not so much of the 'rights' offer but the 'institutional and other investors' (sorry, not exact terminology but I did'nt lug the prospectus away with me, Aerofart's Excess baggage rates are $15/k !)

Having been involved with LOIs in the automotive components industry I can tell you that they CAN mean virtually nothing. They are always stuffed full of conditions and normally end by saying they do not form part of any legal or binding commitment.

Another thought for the future, when you are paying by the Kilo for your non re-cyclable rubbish to be collected every 2 weeks. Consumers will not want bio degradable packaging, they will want only recyclable materials eg. plastics marked 1 or 2, or paper, card, foil etc. Bio degradable will go in landfill and consumers will be paying for it to be taken away. The supermarkets will come under a lot of pressure as soon as charging by weight is introduced by your wonderfull local gestapo (oops sorry I meant council).

Rpaco,or just throw it on thier compost heap.

I notice that the share price seems to be holding around the current price.

Now if you were an instition that had bought zillions of shares at 0.8p - wouldn't you be unloading them now so as to get an immediate 50% profit, OR is it just possible that they know they will get a 100% profit or greater by holding - because they have seen the proposed deals and potential of future contracts.

Just a thought

rpaco: this issue already discussed at length on this board. Fact is that it will be biodegradable, is competitively priced and is green (regardless what councils may charge -and they may well come under pressure in the future to make concessions on landfill charges if biodegradable waste is involved)

Asdas answer to the landfill issue - they have a company to compost waste

BH1910,

The institutions who have signed up to zillions of shares cannot trade them yet!

Maybe not officially - but surely if they really wanted to they would just borrow thaam and short it

Or are you saying that it would be a condition of the sale ??

BH1910,

Not sure of the intricacies, but I believe you're indicating that they could short it now at say 1.2p but surely that would be a bit of a gamble, especially if we're expecting the sp to rise once the EGM has rubber stamped the proposals.

Alan, 'Reading the prospectus (again) I'm going with plan A.
It clearly states the fundraising will be used to ensure the successfull completion of at least the first 2 manufacturing plants'

Not intending to stalk you, but! My whole point was that although we can be confident the fundraising will in part be used for 2 manufacturing plants, we do not know that they are the manufacturing plants mentioned in the LOI's and the contracts which were in the process of being finalised.

My opinion is that the deals to which the LOI's related fell through, and that SEO have adopted a new plan in relation to the MMP's which may or may not have customers.

.

Todays Daily Express

Drug discovery firm EiRx Therapeutics was steady at 0.28 amid speculation it was set to receive two milestone payments.

No I can accept your point, Oblo.
That would be a valid argument. It would still remain though, that SEO were skinning the same cat, just differently. I cannot see though how even the most incompetent management in the world (and SEO are on the list of nominees) could decide to blow half of its cash on building plants that no-one else wants, to produce a product nobody is yet buying!! I can imagine those who put up the 12 million going for that.
It would make more sense if the argument about LOI being dead if we said that they were dead to avoid the SPhere problem and SEO had found a watertihgt way of doing the same thing, by SEO financing the plant. As I do not know what the LOI said, or the exact details of the problem between SPhere and SEO, I am guessing as much as anyone, but I still think the LOI are alive and well really.
Alan

Garyble - I think that is my point.

If they sell now and short it - they can buy back at 0.8p through the rights issue and make a guaranteed 50% profit.

If they sell (short) now and the rights issue fails - they would be able to buy on the open market at less than 0.8p as the sp collapsed making (say) 100% profit.

BUT - they all seem to be holding - so they must know something and therefore be expecting the sp to rise above 1.2p thus making more than 50%.

Does that make sense?

Alan,

Good find re the ASDA compost own waste issue. This will show other supermarkets that ASDA look like leading the way in an attempt for zero waste.
The race is hotting up. As the article is in the public domain, I will post it on a competitors site. Giving credit to the initial poster obviously.

I can see a compost problem in the making - too much of he stuff! LOL

tony you can NEVER have TOO much of COMPOST ?? it like money you cannot have too much?OR HAVE YOU THAT WHY YOU,VE LENT SOME TO POOR OL, SEO/

BH1910,

Of the three options you've presented there's only the one that is indicative on an insti having a positive perspective and that is to Hold and plough new money into their offer.

The only other option would be to short it with the belief that it is doomed to failure.

I think we are violently agreeing??/