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

Eric,
Many thanks for your reply. You have answered many questions that I did not have the answer for. I did not have a clue about rights issues but you have now made me understand it more.I guess all we can do I sit and wait. I was in yoo but got out but may enter again soon as I think they will be a flyer.
I hope you dont mind but I will have many more questions for you and others on things I do not understand.

Regards,

wilbs

That's fine wilbs. Major reason for these boards- it also helps to sort your own viewpoint out.

Regards, Eric

With the buy to sell ratio still so high, why is the price dropping? I don't understand the stock market very well as this is my first investment. Any help much appreciated...

Folks, just got back from cold/snow bound Germany and reading the posts above it seems more info is needed. Many questions, my only question is WHEN to top-up. Timing is the essence, I got it right on 31/12/04, the last dip, surely can't get it right again. anything bought for around 7.50-7.75p before the news would be good but will we see it? As for a rights issue, I don't know. One observation though, since September Mr Balchin and others have taken a lot of options and sold straightaway. This raises cash for the company and although it might look as though they are getting rich, not half as rich as if they had held because they will know the potential. With my glass half-full head on I believe that they have raised cash through their options to fund this rather than go to the shareholders which might have given the wrong signals.I would reckon main need for funds depends on cc damages but I doubt >500k. All of the above is just opinion, the only fact is that this technology works. Busy old thread these days this one. BPRG will not kill this radio star!!

andysmith

That's a helpful post. Another positive trading day and charts still very good but price slips with broad spread. Suspect the MMs may not know how to play it! Good point on the options; effectively holders are taking some cash but also effectively putting money into the company. Suspect also that company may need funds for expansion as well as cc: its one downside of take-up being quicker than expected that cash needs rise. Loan funds are relatively costly whereas share capital costs next to nothing. Fine, so long as the issue isn't large enough to affect investor sentiment. I get the feel that SEO directors are nice pople, unlike YOO, and won't forget their loyal investors!

Eric

Reference to Wilbs' post of 25th Jan - could be fun to see a merger [of interests] between SEO and SYM (Symphony Plastics) who make bio-degradable plastics for supermarket bags for Tesco's, Co-op, Somerfield, Quicksave, Saudi Arabia and Columbia.

RHPSG rates SYM a buy up to 17p (above that currently) and SEO a watch until more certain - you guys don't seem to need to be any more certain.

I'm in at 8.125 as of today - couldn't wait to dip below 8, as my head tells me to, but then I'm all heart!

Good luck everyone.

Sorry if this has been mentiones, is the packaging that seo have, bio-degradable? It would be great maybe to see the two merge as they both have great products, but cant see that happening. lukan, what is RHPSG? Excuse me if it is obvious.
wilbs

RHPSG is Red Hot Penny Share Guide monthlt, with weekly email updates - it covers quite a few of the hot stocks posted on MoneyAM - just started subscribing to it - quite like it, except of course you can never get in at the price they publish, especially with the mail arriving after we've all left for work these days!

My understanding is SEO do NOT use bio-d materials, just less and lower energy.

A recent "Note to Editors" states: "-Stanelco has been applying its technology (R/F) to other markets; current developments include biodegradable air cushion packaging, sealing of low-cost conventional plastics for food packaging, water-soluble detergent capsules, foamed starch trays, edible sachets and waste packing."

Thanks lukan, I may have a look at RHPSG. Pity seo does not adopt bio-degradable products such as all of its packaging and possible the trays that the meat etc is put in. sym could make a bio-degradable bin bag and call it 'Bio-Bag' (TM to wilbs 2005) that the householder could put all of their bio waste in which is then taken by the bio-bin men to a bio landfill!! Cuts down on waste & energy.
Now where is blairs number....
wilbs

Yes,, Wilbs
But first you'd have to buy-o the boy-os who empty the bin-os to come round often enough before the bag-os have dissolved into C-O2s and H2-Os.

lukan,
you are getting all technical now, I just saw my dream fly out the window. By the look of the boy-o's who come to empty my bin'os are not very bio.Oh well,back to the drawing board.R.I.P 'Bio-Bag' (TM to wilbs 2005).
wilbs

seo had a rights issue not too long ago. it certainly didnt affect the price negatively. i am not saying they are planning one for the near future , its just seo are quoted as saying they are not looking for a rights issue but i cannot find anything official from seo saying this. felt disapponted with the slight drop today but i shouldnt be really. it just felt so good to break away from 7p. you just wanted it to go on for ever. as far as i am aware the beauty of seo is that its products are biodegradable.once asda (hopefully) sign up for the sealing process they may then take on seo's starch trays.and then the bubble wrap for the electrical items.and then the edible sachets for the soup and coffee.... oh it goes on and on the possibilities......

bosley

I don't see any reference to a rights issue in the alst year. There was some 400K investment from Cardinal Health which Balchin said would be applied to commercialising their R/F technology. Re the bio-degradable issue, they do not describe their R?F packaging as that but it may effectively be the same thing. I expect Andysmith or Dynamite can elucidate.

Eric

Eric...Sorry I have never really got ino this area...Maybe Andy will know?
ON Stanelco website www.stanelcoplc.com they descibe the bubble packaging as dedradable but also under Adept Polymers they say that there thermoplastics are also biodegradable. You also have the 'Starpol' edible food packaging and you cannot get more biodegradable than that and again the gelatine capsules.Then there is Aquasol- water-soluble packaging. The one thing they do not say is whether the Radio Frequency solution is degradable but I take it that this could apply to their Adept Polymers which are degradable but other films also.

Hope this makes sense.
Di

I beleive due to the RF sealing the actual CPET trays that microwave meals etc go in no longer have to be laminated as was required with the heat sealing ( the heat could cause contamination of the product). The lack of lamination required for the trays means that they can then be recycled which the lamination prevented. I believe ( although not 100% sure) that Stanelco are also working on starch based trays which can be manufacted up to 10 times fasted using RF tachnology than using heating and are recyclable. I also think that most other R&D has been put on hold so that the existing cash that SEO has is put into commercialisation of the RF sealing technology. The tachnology that SEO appears to be pioneering does seem very exciting and in some ways quite revelutionary! Of course this is all just my humble opinion. DYOR

does anyone think seo are sitting ducks for a take over? ....is time of the essence and are seo moving fast enough/

good point tipton. company not quite on its feet , dynamic , cutting edge technology, one or two problems, i suppose its plausible.eric, ths rights issue was sometime in 2003, i think , late on, not too long after i first got in.

THIS IS FROM JANUARY 2004. DO NOT PANIC. ITS TO SHOW ERIC THAT THERE WAS A RECENT RIGHTS ISSUE BECAUSE HE SAID HE COULD NOT FIND ANY NEWS ABOUT IT. OKAY.
(sorry about shouting, i just didnt want anyone to think this was a recent rns.)

Stanelco PLC
15 January 2004

For Immediate Release

15 January 2004

Stanelco PLC ('Stanelco' or 'the Company' or 'the Group')

Audited Results for the year ended 31 October 2003 and details of Rights Issue

The Directors are pleased to announce the audited results for the year ended 31
October 2003. At the same time the Directors are taking the opportunity of
raising approximately 1.6 million, after expenses, by way of an underwritten
Rights Issue (save with respect to the Committed Shares which represent 0.05 per
cent of the issued share capital of the Company) on the following basis:

1 New Ordinary Share for every 12 existing Ordinary Shares held at 3p per share.

The Rights Issue of 58,527,479 New Ordinary Shares represents 8.3 per cent. of
the issued share capital of the Company.

A Circular dated 15 January has been sent out to all Qualifying Shareholders
(subject to certain exceptions) and is available from the offices of Eversheds,
Senator House, 85 Queen Victoria Street, London EC4V 4JL for a period of one
month from the date of the Circular. Copies of the Circular have been submitted
to the UK Listing Authority and are available for inspection, as from the date
of the Circular, at the UK Listing Authority's Document Viewing Facility
situated at The Financial Services Authority, 25 The North Colonnade, Canary
Wharf, London E14 5HS.

Background to and reasons for the Rights Issue

The Group has concentrated significant effort on being able to apply its RF
technology to sensitive polymeric materials in order to weld and form them
without modifying their molecular structure. The success of this work has opened
significant market opportunities and the Group is concentrating efforts on four
of these:

-Rapid production of foamed starch packaging, initially for organic food trays;
-Edible food sachets for packet soups, ready meals, bread mixes, and pre-weighed
portions;
-Capsules/pouches of liquid and/or powders in water soluble sachets for
applications such as detergents and other chemicals; and
-Edible softgel capsules from gelatine alternative materials for healthcare
applications such as pharmaceuticals and nutraceuticals.

The net proceeds of the Rights Issue will be used substantially to complete the
development and to commercialise these technologies through licensed technology.

hope that helps, eric.

bosley

That answers the question re rights issue. It seems to have raised about 1.5m. Net funds at end of April 2004 were about 850K so that there had been a fair cash burn. Add the 400K from Cardinal Health. But they could be getting quite low and have the cc to settle. So it is feasible that we see another exercise like the last one to raise something like 1.5m but this time at a much better price: if 7.5p that would be only 2M shares or a 25% dilution. Nothing to get worked up about. The faster they get to the market the more money they will need but the faster the sp will grow to compensate. Not a problem! (By the way, bos, could you answer my question on the AGL thread please?)

Eric

I believe they also raised 1m through some oprions been excersied and sold to Andy Brough (Fund Manager). I read he's bought 29m shares at 4p which raised roughly 1m.