Pursuit Dynamics plc is a UK based research and development company, which was founded in 2000 to develop and commercialise a revolutionary pumping and propulsion technology. Pursuit Dynamics (symbol: PDX) was listed on the Alternative Investment Market of the London Stock Exchange in May 2001.



PDX 25 Sonic.

The PDX Technology is a steam-based system that has applications in both pumping and marine propulsion. It is cheap to manufacture, extremely robust, contains no moving parts and is virtually impossible to block. Pursuit Dynamics owns 100% of the Intellectual Property Rights that surround the PDX Technology.



Pursuit Dynamics is now working towards the commercialisation of the technology it has developed.





Corporate website : http://www.pursuitdynamics.com/


Pursuit are rumoured to be close to closing their first deals, which may be in the food processing industry.

Having a good look at PDX on recommendation of my friends on SEO. A couple of questions: first, what is the pricing structure; in particular, is there a licensing arrangement as with SEO? Second, has there been a decent write-up in Shares - when or whenabouts?

SEO has just broken through its resistance level - may be last time to but at this level. Cap way behind PDX although they are further down the line.

Eric

Eric, I bought in at the 1.20 level and sold a couple of weeks ago after taking a very nice profit.

PDX has ground breaking technology and does have massive prospects. There are a few deals in the pipeline apparantly.

I did some research a few weeks ago and at the moment the fundies don't stack up and even if it did win a few contracts, it would be hard to justify a 100m valuation of the company. Equally on the other side of the coin, how can you value a company that saves companies or people so much money and time?? The uncertainty forced my exit!!

The technology is so amazing from a engineering point of view.

I think that from here it is a gamble... and i hope to god that my old pdx followers will do well out of it.

legend

You are always popping up and making money and then having the guts to get out! Got the answers to my PDX questions on the SEO board! That included the Shares article of 17th July 2003, recommending as a 10-bagger at 43p. Well, its a 5-bagger already so that's a 2-bagger to go from the current level! Does look expenmsive though against SEO: twice the cap and less far down the line. Big plus for SEO is the royalties and I don't see them mentioned. I am impressed though with the PDX marketing strategy: direct in some industries and through distributors and resellers in others. But it does come back to how the product is licensed: do they just get the maufacturing and one-time licence payment or so they get a recurring income from each sale. If the latter, I would go in now and hold; if the former, I would be wary at present price. Finally, the charts are looking a bit suspect. I suspect we will know more during the runup to the results.

Eric

Eric - you do seem to be doing a good job "selling" SEO on this board (another of Shares Mag little gems). I have found that PDX CEO is happy to answer questions such as yours via e-mail (he may be just a bit busy to-day !!) I have been into PDX since July 03 and have bought and sold them twice since (but kept hold of the original purchase!!) You will find much info on this board in the preceeding 400 odd posts. Dont anticipate a good interim but my crystal ball tells me there will be associated good news with it on 7th Feb - Notice Legend still keeps a watchful eye on this board. PDX is innovative and British and it will fly (IMHO) -
I notice that it looks as if sells are being duplicated. Recent examples are 6087, 5000, 2080 (x3) and earlier 17,000. Not too helpful ! Good luck

Oakapples - I have held pdx since july 03 and therefore am sitting on a large profit. For cgt purposes (ie. 10% rate on aim stocks after 2 years) I would like to hold. Having read much about it, I think the technology is amazing.
However I am concerned that about the market cap. and the absence of any figures relating to the contracts. What income is the Coke deal bringing in ? what is basic pricing structure for these deals ? How many need to be signed before pdx breaks into profit. Have Investec produced any research with specific projections? etc etc. I hope your crystal ball is accurate or we could be heading for a hefty correction over the next month.

Rake - Many thanks for the info on CGT I was not aware. Like you I am sitting on nearly 350% profit. What is the score would I be liable for 10% CGT if still holding 2 years after purchase (July 05. I too am concerned by the M/C and will be out of the country on holiday on 7 Feb. Promised the wife that I would not be logging on in the hotel internet cafe so I will need to speak to her again. Chelsea v Man U to-night so I will wait another creeping occasion.

My understanding is Under normal circs. once you have made net gains over cgt allowance 8200, 2004-2005, you are liable to cgt. rate depends on your overall income, total taxable gains are added to your taxable income (after allowances)and gains charged at 10% where below start rate for tax ie. 2020. Then 20% if between start rate and basic rate limit, 31400, and 40% if fall above 31401. So if you earn 31500 a year and have net gains of 18200, then you pay 40% on 10,000. If its an AIM stock you have held for 2 years then cgt rate is only 10%, in this case a saving of 3000. Also AIM stocks so held do not form part of your estate for IHT purposes. Am not Acct. so please check, but I believe these are current rules.

What a lovely problem to have. That's a good write up Rake and ties in with discussions on other boards. You are asking the same questions as me - I have written to the company only today to try to get an answer on whether there is recurring income from sales. This is a huge strength of SEO where the royalty payment each year is comparable to the original capital cost. SEO is way behind PDX in cap (less than half) although already making deliveries. However the momentum is with PDX and I am awaiting an opportunity to get in; what I mean is, I am wanting to build up the SEO stake further first and hoping that PDX come back a bit. I admit to being surprised, though, that my questions re pricing have not elicited much response.

Eric

Rake I have a CGT trick that I use... works too ;-) I work for a tax accountants!!!

legend,

which is....?


All,

I BELIEVE that PDX are looking to gain a licence fee for each unit, rather than a straight sale.

Thta's why I invested, and as it's a growth company I allow a bit of tolerance where the fundamentals are concerned.

Results aren't important this year,it will be a loss, but 2005 - 2006 will be, so i'm looking for info on potential deals.

DC Norris & Co. info can be found here;


http://www.dcntest.hostinguk.com/index.shtml

Rake - Thanks you for the much appreciated briefing on CGT. I have now been able to check what you say and confirm you are correct.

Pleasure Oakapples,
Lot of selling this morning, 10.50am, 321,000 so far, Lot of people expected new contract announcement perhaps. Also an unusually tight spread....any significance?

Andy

Thanks for your comment re licence fees. Can you enlarge? Is there a source that gives any sort of pricing structure? Thanks.

Eric

Rake A lot of the perceived sells were actually buys- clever those MM's - Without having precisely calculated my estimate is that to-day buys outnumbered sells.( look at the 25k type so called sells) the spread was kept low(2p) until later in the morning . if they had been sells then much more movement would have occurred downwards. Price spread and downward movement did not happen until 220k buy went through. I think they liked what they saw at the PDX presentation and bought a slice.

EWrobson,

Not that I am aware of, one of the frustrations of this stock is the lack of knowledge over deal structure, which is confidential at the moment.

I would imagine the forst Coca Cola agreement is fairly lowly priced, but if that leads to a much greater order for their production facilities worldwide, it will have been worthwhile IMHO.

Thanks, Andy: a lot of constructive help from this BB which is just what the 'explorer' needs. Decided to keep it on my watchlist at present, primarily because it seems relatively expensive compared to SEO - I've built up quite an overweight position from scratch this week. Also gone for MDW (Mediwatch) today. The judgement is that there will be time to get a run on PDX when the orders start flowing: with the launch just this week, PDX are a few months behind SEO and twice the cap; I also don't have anything like the same understanding of the pricing structure, particularly recurring revenue. Have written to company but no reply yet. Am I wrong?

Eric

Just a bit concerned why you keep plugging SEO on this board much earlier posts on this board may answer you PDX questions.

Oakapples

Have been evaluating PDX for an investment; I think it helps other visitors to see this process, whether the answer is negative or positive. If you are concerned with my preference (currently) for SEO, why not come back with counter-arguments rather than calling foul? However, I accept that I haven't really trawled the history and will come back with comments if worthwhile.

Eric

A look at the new PDX 25 Sonic!

pretty impressive too IMHO.

Oakapples

Had an interesting trawl back through the history - except for pages around 150 where I got a recording of Thunderbirds and then a freeze, repeatedly! No wiser on pricing and royalties - nearest is the 4 analyst projection which is presumably based on actual numbers. Just visiting my brother-in-law who was QA for Cadbury Schweppes and fascinated with the technology: more applicable to fluid mixes than, say, jams, which require a lower temperature process because of the fruit (time savings also overstated where advanced equipment already being used). Noticed warning about potential ways around patents but that was from a shorter trying to de-ramp the share - but may have a point. In conclusion, still frustrated about lack of figures but prefer leasing/licensing deals which will be repetitive; also happy to go with 4 projection. Decided to stick toe in water, but await harder facts/projections before building significant position. (promise not to mention SEO again - blast, I've mentioned them!).

Eric