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

unusual day. we get good news in the morning about a great aquisition and also news that yet another trial has passed with flying colours, buys and sells are pretty much equal and we have a drop in price. once again, it just doesn't make sense to me.......

Bosley Hi,

lemminginvestor suggest it is traders selling into strength, not sure myself as there was no gain to sell into.

I think it is more likely that selling, was by those thinking about a possible placing to raise the cash to buy Biotec, although IMVHO institutions will be hammering on the door to get such a big chunk of SEO, and there is always the option of borrowing, especially if management are expecting a USA deal soon, and that could pay the loan off in no time.

Cheers,
PM

14million pounds against a market capital of 222.54million,
just over 6% in my reakoning or 1.5p off sp.
For this we get biotec,with all it has to offer. That along side the news of trials 2 and 3, could be deal with ASDA will be confirmed in the very near future.
Seems a very positive RNS to me.
cyril

Cyril Hi,

They only need to find "A further US$11.27 million is due to be paid on completion of the acquisition which will be satisfied in cash"

They can rely on Greenseal and Frogpack revenues to pay the next two payments in 12 months and 24 months time.



$11.27m = 6.21m


Cheers,
PM

Only 6.21m .... I would borrow it and pay it off within the year, from the USA Greenseal and Frogpack revenue !

Then again at 25p a share it's only 24,840,000 shares.... 2.85% of the issued shares !

Cheers,

PM

http://www.citywire.co.uk/News/NewsArticle.aspx?VersionID=74801

Stanelco buys green packaging supplier

Published: 15:20 Monday 06 June 2005
By: Graeme Davies, Investment Correspondent

Radio frequency specialist Stanelco is splashing out $25 million to buy supplier Biotec Holdings to add starch technology to its propriety packaging offering.

Biotec's technology includes thermoplastic starch, which will enable Stanelco (SEO) to use environmentally friendly starch-based materials in its packaging. Stanelco has combined radio frequency technology for use in packaging, particularly food.

The management of 225 million Stanelco must be pretty confident of the $25 million (13.7 million) deal it has agreed. It has already paid out $1.23 million in a non-refundable deposit and will pay out another $11.27 million in cash when the acquisition is completed. A further $6.25 million will be payable in 12 months and a further $6.25 million 12 months after that. None of these are subject to performance criteria.

However Stanelco's management is still not sure exactly how it is going to pay for the deal. It is considering either arranging debt facilities or raising cash through a share placing.

Stanelco is also locking in Biotec's managing director Harald Schmidt on a three-year contract, describing him as 'one of the world's leading experts on starch polymers'.

Biotec's starch technology should complement Stanelco's business, not least because the starch-based film comes cheaper than petro-plastics based films and should allow Stanelco to offer product ranges using starch products for up to 20% less than it is currently able to offer.

Stanelco reckons using the starch technology will also add another barrier to entry for its Greenseal food packaging system, which is commencing its third and final trial with Asda this week having passed the first two with flying colours. Greenseal uses radio frequency to seal packaging. The company has already received its first commercial order from an Asda supplier, and further deals will lend credibility.

Citywire Verdict:

The agreement to buy Biotec appears to make sense for Stanelco and brings one of its key suppliers in-house, allowing it to cut down on costs once the business is fully integrated. The main imponderable is how Stanelco will pay for the deal and whether a fund raising will hamper its share price. So far, 24.55% shareholder The Age of Reason Foundation has already given the deal its backing.

Stanelco's share price has risen sharply this year, from 5.75p to as high as 28.5p as news of its trials with Asda helped investors forget last year's unseemly spat with Biofocus over a patent dispute. Its shares are off 1p to 25p on news of the deal and investors should probably wait until management decides how it will pay for the deal before considering committing fresh money.

http://www.whatinvestment.co.uk/newsfeed/article.asp?article_id=490184

Company News ...more
Stanelco boosts starch knowledge base 6/6/05 11:20:00 AM

LONDON (ShareCast) - Stanelco is expanding its expertise in starch technology with the acqusition of Biotec from EKI for $25m, payable over the next two years.

Biotec is one of the world's leading exponents of starch technology and has a considerable intellectual property portfolio, including many patents, Stanelco said, which added it may issue shares through a placing to pay for deal.

Biotec's proprietary pharmaceutical grade film is suited for applications where it replaces conventional polymers such as gelatine in pharmaceutical and edible applications. It also has ranges of products that are ready for commercialisation within the food and beverage industries.

Stanelco shares have risen more than four-fold in the past six months as it has held trials with Asda over its new starch-based food packaging sealing technology.

paulmasterson1 - 06 Jun'05 - 19:11 - 5391 of 5391 (Filtered)

bloody Hell-how much a post?

If I was going to raise the purchase price through a placing, I would also take the oppoprtunity to raise other working capital to roll-out the new products born of the acquisition at the same time.

However, even that would probably be no more than 10-15% dilution - nothing compared to the synergistic value of today's acquisition which is already supplying some of SEO's key future markets.

Together with news on 2nd trial, great day all round. Price marking time till funding details become clear IMHO.

sd

I feel we will see a knee-jerk reaction like the one when Reiser was announced. That really started moving a few days after the announcement, when people actually realised how big that news was.

Cheers,

PM

http://www.mirror99.com/20050524/stanelco_signs_first_commercial_agreement_for_greenseal_technology_with_asda_supplier_in_united_edi.jspx

http://www.mirror99.com/20050524/stanelco_signs_first_commercial_agreement_for_greenseal_technology_with_asda_supplier_in_united_edi.jspx

PM,keep it up!
SOME DO NOT REALISE THEY ARE ON TO A MASSIVE WINNER.
BEEN IN AND OUT FOR A WHILE and MADE A few Pounds. BUT TODAYS NEWS HAS GOT ME STUCK HERE FOR THE LONG TERM.
ALL PART OF SEO MANAGEMENTS KNOWHOW IN THE PACKINGING INDUSTRY and a bit of luck ETC. IT IS ALL POSITIVE. LONG TERM THIS WILL BE HUGE IMO.

Stockdog Thanks :)

I wen't back to edit and add the link when I realised, but we can't do that :(

Cheers,
PM

Hi All,

When Stanelco have completed the purchase of Biotec, will they then build a UK Starch Polymer factory ?

Check this out, not a lot of people know about this little secret :)

http://www.surrey.ac.uk/eng/mddp/group-3a/

http://www.surrey.ac.uk/eng/mddp/group-3b/


Therefore there is a distinct possibility that a new manufacturing plant will be required to produce the starch based polymer films. Depending on the cost of the polymer the market might cover pharmaceutical delivery and health and nutritional products. The demand could eventually reach a hundred billion metric tonnes a year. This could be a major new UK and world wide manufacturing business.

Stanelco
Stanelco are our current partners who are the pioneer developers of the unique Radio Frequency (R.F.) technology that allows the pharmaceutical grade capsules to be sealed.

Adeptpolymers
Adeptpolymers are current polymer film production specialists.


Cheers,
PM

http://www.packaginginnovationshow.com/page.cfm/action=Exhib/ExhibID=00055

I wonder if this company has Patents, if not Stanelco could do the same as them, for another revenue stream. It doesn't look 'patentable' !

http://wonder-dry.com/

Checkout the long list of applications

http://wonder-dry.com/preheater.htm

Cheers,
PM

sambal
Is your CAP LOCK STUCK.

DRIVER .
YES IT IS! WHAT TO DO?
Have a good day tomorrow.

Biotec Patents

http://v3.espacenet.com/results?IA=BIOTEC+NATURVERPACK+&sf=q&FIRST=1&CY=gb&LG=en&DB=EPODOC&st=IA&kw=BIOTEC+NATURVERPACK+&Submit=SEARCH