Mucho P2P
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Post by Mucho P2P on Sept 23, 2019 11:51:35 GMT
If the share price has lost 75% now, wait until a market correction comes along and watch it tank. FC will need an airbag or two! 50p is now a very realistic prospect.
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Post by Deleted on Sept 23, 2019 12:38:10 GMT
I have already made some earlier postings to this thread. The longer the current share price stays below £1, the more likely that the FC share price is establishing a permanent ceiling below £1. The current share price weakness is not due to overall market weakness. Unless the market makers are playing around with the share price to try to generate some interest in the shares, the current weakness is most likely due to the market taking a view about forward prospects for FC. And basically there are no forward prospects because FC cannot get the business to profitability. It will take a long time for FC to burn through its cash reserves as it continues to lose money. When that eventually happens, if they cannot refinance, it will be curtains for FC. FC will be in administration and liquidated with share price at 0p. I know that there is something really wrong at FC because I have repeatedly sent them messages about a particular issue that would be really easy for them to fix. Instead of engaging with me and listening to me, I get the same cut and paste response that does not address the issue each time I send them a message. I am sure that if I sent the same message for every 365 days of the year, I would get the same meaningless cut and paste response for 365 days a year. No lights on in the FC Customer Services Department when it comes to dealing with me. No joined up thinking about all the repeat messages I send them. Yet their website and financial reporting go on ad nauseum with all their hype about their thought leadership and their special corporate culture, etc.. There is a total disconnect between their view of FC and my experience of them. I cannot recognise FC from how they describe themselves. And I expect that they will eventually go bust. When that happens, I wonder what all the thought leaders at FC will say about that?
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r00lish67
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Post by r00lish67 on Sept 23, 2019 13:15:41 GMT
I have already made some earlier postings to this thread. The longer the current share price stays below £1, the more likely that the FC share price is establishing a permanent ceiling below £1. The current share price weakness is not due to overall market weakness. Unless the market makers are playing around with the share price to try to generate some interest in the shares, the current weakness is most likely due to the market taking a view about forward prospects for FC. And basically there are no forward prospects because FC cannot get the business to profitability. It will take a long time for FC to burn through its cash reserves as it continues to lose money. When that eventually happens, if they cannot refinance, it will be curtains for FC. FC will be in administration and liquidated with share price at 0p. I know that there is something really wrong at FC because I have repeatedly sent them messages about a particular issue that would be really easy for them to fix. Instead of engaging with me and listening to me, I get the same cut and paste response that does not address the issue each time I send them a message. I am sure that if I sent the same message for every 365 days of the year, I would get the same meaningless cut and paste response for 365 days a year. No lights on in the FC Customer Services Department when it comes to dealing with me. No joined up thinking about all the repeat messages I send them. Yet their website and financial reporting go on ad nauseum with all their hype about their thought leadership and their special corporate culture, etc.. There is a total disconnect between their view of FC and my experience of them. I cannot recognise FC from how they describe themselves. And I expect that they will eventually go bust. When that happens, I wonder what all the thought leaders at FC will say about that? Go on then, what is the issue?
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Post by Deleted on Sept 23, 2019 17:06:46 GMT
The issue relates to what FC communicates about and member options to choose to receive or not to receive different communication subjects. There are communications that I do not wish to receive from FC and other communications that I do wish to receive. At present, it is a situation of accept all or get none.
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Post by samford71 on Sept 23, 2019 19:26:25 GMT
If the share price has lost 75% now, wait until a market correction comes along and watch it tank. FC will need an airbag or two! 50p is now a very realistic prospect. The Funding Circle management has always wanted to replicate the "success" of the biggest US P2P platform Lending Club. Lending Club did the first ever IPO for a P2P platform in Dec 2014. In the initial excitement the share price rose to 140. It now trades at 14.68, a modest loss of 89.5%. What's even more impressive is that 89.5% loss was achieved while the S&P500 rose over 65%.
Good to see that FC management and their private equity backers have yet again followed the Lending Club business plan by suitably stuffing all those passive funds with stock at the top. When there is no more juice left to extract, when the balloon is about to burst, when the illusion cannot be sustained, you always have that reliable escape pod called an IPO.
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Mucho P2P
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Post by Mucho P2P on Sept 23, 2019 19:30:24 GMT
If the share price has lost 75% now, wait until a market correction comes along and watch it tank. FC will need an airbag or two! 50p is now a very realistic prospect. The Funding Circle management has always wanted to replicate the "success" of the biggest US P2P platform Lending Club. Lending Club did the first ever IPO for a P2P platform in Dec 2014. In the initial excitement the share price rose to 140. It now trades at 14.68, a modest loss of 89.5%. What's even more impressive is that 89.5% loss was achieved while the S&P500 rose over 65%.
Good to see that FC management and their private equity backers have yet again followed the Lending Club business plan by suitably stuffing all those passive funds with stock at the top. When there is no more juice left to extract, when the balloon is about to burst, when the illusion cannot be sustained, you always have that reliable escape pod called an IPO.
If FC is to copy Lending Club cliff dive, then FC share price will hit 46p.
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tjtl
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Post by tjtl on Sept 24, 2019 7:34:47 GMT
At the time of the IPO the company was valued at £1.5 bn, of which £300m was new money- so a value for the business of £1.2bn excluding cash. The market capitalisation now is £332m. IF they still had all the new money (£300m) that would imply a value of the business, less cash on hand , of £32m, a 97.3% value destruction exercise. Even assuming a cash burn the real equity in the business is not worth a great deal- particularly as I struggle to see how they can raise fresh equity. While investing money on the platform has been painful , it looks to have been a lot less painful than buying the equity at the time of the IPO. It will never happen but BofA, Goldman, Morgan Stanley and Numis ( the four investment banks that led the IPO and got paid handsomely) should at the very least donate their fees to a charity for the homeless or Battersea Dogs Home (having brought an absolute dog to market, and may make a few investors homeless). The next results statement will make painful reading.
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richv
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Post by richv on Sept 27, 2019 14:12:34 GMT
Share Price down to 91.10 a few hours ago, is that a new low?
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Stonk
Stonking
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Post by Stonk on Sept 27, 2019 14:57:03 GMT
Share Price down to 91.10 a few hours ago, is that a new low? Not quite: Google reckons 90.79 is the all-time low.
To be fair, most of today's trades have been higher: only 44 shares (£40.08) transacted at 91.10 pence.
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criston
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Post by criston on Sept 28, 2019 16:50:26 GMT
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dorset
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Post by dorset on Sept 28, 2019 17:22:04 GMT
Nothing new here. This content could all have been read ad nausea on this forum over the last 18 months.
There are three scenarios:
FC bring the 2019 loan book under control which means that there is slower growth which means continuing reported losses which when the penny drops wipes out the new IPO shareholders.
FC goes for growth and hence continues to be beset by defaults in the 2019 loan book which leads to a fall in lenders plus increased lender withdrawals which when the penny drops wipes out the new IPO shareholders.
IPO shareholders realise eventually that they might have been part of an IPO scam and go for a class action against the founders and reporting accountants. This takes forever and still means a wipe out for the IPO new shareholders.
My only hope is that FC keep going as long as possible so as to keep in place the recovery team that are working so energetically on my 300+ defaults. As a plus I am now getting daily recoveries as some of my defaults over the last 20 months start to go into recovery – now 32.28% on 342 defaults.
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reinvestor
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Post by reinvestor on Oct 1, 2019 14:39:56 GMT
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Mucho P2P
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Post by Mucho P2P on Oct 1, 2019 15:23:26 GMT
And that is in a mundane market, just wait till there is a sell off in the broader market - watch out below.....................
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Post by shanghaiscouse on Oct 1, 2019 16:21:58 GMT
Nothing new here. This content could all have been read ad nausea on this forum over the last 18 months. There are three scenarios: FC bring the 2019 loan book under control which means that there is slower growth which means continuing reported losses which when the penny drops wipes out the new IPO shareholders. FC goes for growth and hence continues to be beset by defaults in the 2019 loan book which leads to a fall in lenders plus increased lender withdrawals which when the penny drops wipes out the new IPO shareholders. IPO shareholders realise eventually that they might have been part of an IPO scam and go for a class action against the founders and reporting accountants. This takes forever and still means a wipe out for the IPO new shareholders. My only hope is that FC keep going as long as possible so as to keep in place the recovery team that are working so energetically on my 300+ defaults. As a plus I am now getting daily recoveries as some of my defaults over the last 20 months start to go into recovery – now 32.28% on 342 defaults. On the defaults, what is their fee structure, I read somewhere they take a 40% cut on any recoveries?
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ashtondav
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Post by ashtondav on Oct 3, 2019 15:50:33 GMT
Nothing new here. This content could all have been read ad nausea on this forum over the last 18 months. There are three scenarios: FC bring the 2019 loan book under control which means that there is slower growth which means continuing reported losses which when the penny drops wipes out the new IPO shareholders. FC goes for growth and hence continues to be beset by defaults in the 2019 loan book which leads to a fall in lenders plus increased lender withdrawals which when the penny drops wipes out the new IPO shareholders. IPO shareholders realise eventually that they might have been part of an IPO scam and go for a class action against the founders and reporting accountants. This takes forever and still means a wipe out for the IPO new shareholders. My only hope is that FC keep going as long as possible so as to keep in place the recovery team that are working so energetically on my 300+ defaults. As a plus I am now getting daily recoveries as some of my defaults over the last 20 months start to go into recovery – now 32.28% on 342 defaults. On the defaults, what is their fee structure, I read somewhere they take a 40% cut on any recoveries? Forget about IPO scam. Aston Martin’s share price is down about the same 80%. Sh1t happens in the equity markets. I’ve done better as a FC lender than a FC share holder. Anyone who invests in a loss making IPO IS BARMY. Luckily for those seeking a sale of a private company there is no shortage of barmy investors who believed in revenue growth of 40%pa.
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