Hello Saragian!
I was thinking and thinking and *thinking* about you yesterday! (You must have heard me!)
...But too shy to call you here because of it being the early days, and not (*ever*) wanting to outwear my welcome.
Instead I looked really hard at your first chart on NXS which was just under three months after the IPO [here] and, with much trepidation, put one of those vertical lines at exactly the same place as in your charts above as a possible bottom .
Then tried to work out where other boundaries might be placed ...
Which turned out to be all wrong, but no matter because you came : )
Thank you for your telepathy in so many ways, and for looking at Dynamic.
And I so wish I could bring you something more Saragian but - in regards DDB - all I could find was another background story on the company pre IPO.
This one reinforces the importance of the family structure with Laurie Freedman having heavily backed son, Matt in the IPO.
(..And I heard across a lunch table recently that Laurie is not only an incredibly decent person with an incredible eye for business but that Matt is a ‘chip off the old block’ and there are good things expected all round )
I hope - speaking of good - you are having a good week end Saragian.
And thank you again(which rhymes with j’taime, but I am too shy to say that too, despite my penchant for poor poetry)
Cheers
[St0ck Head said 07/07/20] IPO Watch: Mining services play Dynamic positions itself for major growth with ASX listing IPO Watch
July 7, 2020 | Bevis Yeo
With growing revenues and net profit already in the bag, Dynamic Drill and Blast is not your usual company that is looking to raise funds through a listing on the ASX.
Founded nine years ago, the Western Australia-based and focused company is looking to raise $5m through the issue of 25 million shares priced at 20c each through an initial public offering managed by JP Equity Partners.
The company is positioning itself to become the next mid-tier mining services provider and believes the ongoing strength of Western Australia and Australia’s mining industry will help drive this growth.
And it has reason to be confident.
Dynamic has grown its revenue from $500,000 in its first year of operation in the 2011 financial year to revenue of $19.1m with a net profit after tax of $1m in FY2019.
JP Equity Partners director Nic Brownbill, the lead manager for the raising told * the company had a growing tier 1 client base across the mining, civil, utility and government industries
“They have successfully completed over 30 projects and transitioning to an ASX company allows them to really increase their presence particularly when tendering for projects with the tier 1 companies,” he added.
Dynamic employs more than 60 people and has a core fleet of 10 drill rigs, 21 light vehicles and ancillary equipment.
It is currently operating at three projects in Western Australia under contracts with Galaxy Resources (ASX:GXY), Rio Tinto (ASX:RIO) and Fortescue Metals Group (ASX:FMG). It also has a pipeline of tendering opportunities.
Big name backer
Brownbill said Dynamic’s IPO had attracted interest from some key and strategic investors.
This includes a commitment from former Emeco (ASX:EHL)managing director Laurence Freedman for $867,000 worth of shares, which will take his stake in the company up to 19.9 per cent.
“His last business was a resounding success. He was managing director and major shareholder for a mining services business and that went from a private company that listed on the ASX and grew to a $1.1bn valuation,” Brownbill noted.
“Someone of this calibre coming into the IPO certainly attracts a lot of interest.”
Brownbill said Dynamic did not carry out any seed raising prior to the IPO and that the majority of shareholders would enter at the 20c price point.
Someone of this calibre coming into the IPO certainly attracts a lot of interest.”
Brownbill said Dynamic did not carry out any seed raising prior to the IPO and that the majority of shareholders would enter at the 20c price point.
All set for growth
Brownbill says that in last two years, the company has transitioned to be in a position where it is prepared for growth.
“They are tendering for projects at the moment, the plan is to organically grow their footprint in both the Western Australian and Australian market,” he added.
“The timing is right for these guys … they have key tier 1 existing clients and key shareholders coming in, the platform is there to turn this into a really significant company.”
Almost half of the proceeds from the IPO will be used to purchase additional plant and equipment while $1.5m will be set aside for working capital.
Dynamic is aiming to list on August 20 under the ticker ‘DDB’.
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