Tanfield Group is the new company name of Comeleon. As I understand it, Comoleon was getting into trouble so TAN (paerent company?) took over. Since this has happened the share price has dropped by 0.25p each day for the last week or so (on average) and are now around the 3p mark with very little activity.

Does anyone know much about this company or previously held stock in Comeleon? There is virtually no info out there other than on the company website.

cheers

Mike

Things must be real bad if that plonkers bought in.

Tanfield - AVOID
Companies: TAN
01/07/2008

Severely punished after warning on profits and slamming the breaks on its growth plans, Tanfield, the electric vehicles and aerial platforms manufacturer, has spun to a three-year low.

With an already gloomy macroeconomic environment taking a sharp downswing in June, Tanfield witnessed markedly reduced demand from customers for its powered access division. This arm, which makes boom lifts and cherry pickers and is projected to account for 75% of revenues, has quickly been rationalised, with cuts to staff, inventory and expansion plans.

Less hard hit, the electric vehicles division has nevertheless been frustrated by supplier issues, meaning 112 fewer vehicles were delivered during the second quarter than was hoped, and rising input costs. Forecast sales of electric vehicles are now lower than current market expectations, and although enquiry levels are buoyant, these are not expected to convert quickly to sales.

Management has been quick to react to this downswing, which was partially foreshadowed by a similar warning from US competitor OshKosh, and a more prudent and conservative approach has been adopted.

2007 results released in April showed a record US customer backlog of $111m, after the company had delivered 11.9m profit before tax on 123m sales. House broker Cenkos has slashed its 2008 and 2009 earnings forecasts by more than half to 3.3p and 3.5p respectively.

In light of the strong and continuing rise in the price of oil, Tanfield's electric vehicles division remains an attractive proposition in the medium and long term, something that may attract more plucky punters. Most should avoid for now.

Oliver Haill
Market cap: 22.3m
PE Forecast: 1.82
Share price: 6.01p

I'm surprised at the treatment of TAN - it's like rubbishing a respected prize-fighter because he slips on a banana skin thrown into the ring at half-time....IMHO

The "buying/selling" rec. has to be based on the sp "now" and whether it represents good value. what happened to get-here is interesting...but only an indication perhaps of Management incompetance.
They were very smart to use their exceptional sp to raise money in the City (Aug07)...such that Snorkel was bought for cash. That means someone else paid for a potential big turnover. Right now it's true there is little hope of growth...and some orders are still in the yard, awaiting a buyer and maybe a fresh coat of paint.
But this company has CASH! it has enough to keep solvent at least for a while yet - and then, look at the Turnover, (since last year's accounts) - not insignificant. Oh yes the City must be smarting - but hadn't they heard about "credit-crunch" - surely those in expensive cars were savy to the prevailing Market? Most got their bonuses..so they are to blame, and praise heap upon TAN!

This is not like the White Star Line that lost the Titanic. This company is in a comfortable position, following a down-turn they should have reported earlier.

My guess, FWIW is that Management is not trained in "negative Reporting" - so they always make a fist of it.
Is this still a Sell? - - - - at these prices you'd be Mad....unless you know a whole skip-full of reasons not yet Public...do tell. . . . . The projected PE tells you this is a BUY....or am I marching not only "out of step" (which is Good!)...but in the wrong direction (which is bad!)?

DYOR - the Past may yet indicate the future... I hold a few.
/

PS
Finally electric vehicles:
This was always a small part of the business, but the Press likes a Good Story and I for one, thought TAN was an electric-vehicle Co with some ladders! For that reason I never bought...since e-v is a niche market and supported only by large enterprises, mainly delivering into London.
However, it is possible this may become their saviour, as Management focuses on shareholder-returns . . . it's something everyone can relate-to. The tie-up with Ford and Manganese (=London Cabs) makes sense as TAN appears to have the electric expertise necessary.

hangon, its the cash position and the cash burn of the company that worries me.

Tanfield says that it still has cash of 11 million. So far this year it has burnt its way through 18 million. The management says the focus is now on generating cash. But if it burned 29 million last year when booking a profit of 12 million and if it burned 18 million in the first six months of 2008 (5 of which were good months according to the report) how can it do much better going forward?.

Of course there could be a bid for the whole or part of the company but id be still concerned about the cash position going forward despite what management have predicted.

Best of luck with your investment.

Going down again.

Because Maestro bought in. It's a sure sign.

goldfinger, I share yr concern...at lest that's my reading of the Market. However, some of this cash-burn was for material which they now have - it's just that orders are being cancelled and delivery put back (for the cherry pickers), since many go to Hire-Firms, conserving their cash in a downturn. If TAN has fewer orders then they need less material and worryingly they have 200 vehicles unsold - but at least they have them...so potential value. I understand the electric vehicles are still on-target and recent orders would confirm this. These are partly driven by the London Congestion charge being set to increase, hence with diesel (etc)...electrirc looks a clever move.
The company needs to do a lot better via RNS and not take so long about it. I hold from 10p and am waiting to find out more, watch the sp etc. Compared with others at 1++ I'm lucky, but not happy.
Are you a holder, do you attend agm's - what's yr take on the Execs?
AGM is in Sept-ish, probably Co.Durham......a long way for me.

Unfortunatelly TAN took advantage of the City excitement when placing and the City paid dearly for a good business about to hit zero. TAN kept quiet, but they still have a spectacular business with potential ( the Snorkel, high-lift). IF they can weather this savagery, this is a good business in good times.

So, of course is Taylor-Wimpy and others suffering from 1)lack of sales and 2) costs piling up. These business could fail as their cost-base is so wide. They are retracting, but have to pay for land already bought.

TAN by contrast needs some effort at the top....to sell the picture as it is....can it really be worth only 18m, with a turnover in pickers of 91m, in the first half. maybe 20m of electrics. and 11m in the Bank (subject as you suggest to any bills arriving).....it just looks too cheap...but what do I know?????

PS just read item in Shares, reminds me TAN claims sales for cherry - are increasing in Middle East and Russia. +Presumably untapped in those countries...

Hi hangon, no not a holder of the stock but have been interested in the electric vehicles and the story going forward.

I would suggest that to have 200 vehicles unsold makes the cash burn position even more dangerous.

Time will tell but I cant share your enthusiasm at present.

Good luck though, regards GF.

Northern Rock's former boss Adam Applegarth set for a City comeback at Tanfield

From one basket case to another.

"Northern Rock's former boss Adam Applegarth set for a City comeback at Tanfield"...good grief that"s all they need.

We're in a spot of bother.....but don't worry Baldrick, I have a cunning plan.

Plan my lord?

Yep. Time for a state bailout with lashings of cash......I was reading about it only last year.....now what was that guys name?

:-)

Strawbs

I still like TAN but applegarth surely not!

Yep but hes a dab hand at raising funds.......... LOL.

Only joking holders.

The electric vehicle unit may attract a bidder, im sure one of the big boys would like to take that part of the company out on the cheap.

goldfinger - what about the possibility that the 'somebody' who takes the Smith EV division on the cheap, might be Roy Stanley himself?

His head is on the block for what's happened to Tanfield (though he's had very little input this year) and he may be sacrificed. But if he offers the institutions a deal which takes the EV side away when he goes, and maybe involves paying them a percentage of future performance gains (ie he takes on the risk but gets a bargain and they share in any winnings) will they posssibly take that as part of the solution?

He then rolls it in with his Darwen Holdings (DHP) (soon to become Optare) and takes a few other Tanfield people there with him.

Just a thought.

Yep its a possibility Juz.

Im sure theres quite a few eyeing the EV division at the moment.

I see over on SC that Evil has closed his short earlier this week, but his sidekick winnie his saying these are worth 0p!!!!!!!!!!!!!!.

Going down again.

What the feck would Winnie know ... he's got it wrong so many times before

SC should have helsd his short a few pence to go yet. Never witnessed such prolonged selling since last week. Would seems institutions are just dumping stock on the market. Imho 2p by the end of next week.