for everyone asking - here's the prospectus https://investors.carbonrev.com/DownloadFile.axd?file=/Report/ComNews/20191128/02179435.pdf
This is a great Aussie story with solid contracts and over 40 patents in multiple jurisdictions, but the financials are a bit risky for me.
1. out of a $90m raise, $57.7m is for exiting shareholders...be good to know why they are exiting given the indicated upside in the prospectus.
2. Forecast FY20 average cost per wheel ($2,692) vs price per wheel ($2,646) - this is still at a loss despite sales forecast to grow by 300%.
3. net cash outflow of $47.6 in FY20, with approx $19m left in the bank at end of 2020. they indicate ebitda positive by Q4 2020. may need another placement in early 2021.
4. fully industrialised production should be completed by CY22 - i couldn't find reference to how this relates to anticipated cost savings and forecast margin etc...
I hope it does well, and they manage to keep manufacturing here in AU...This could be a good acquisition play...
Imo I think at $3.80 there's already a fair bit of optimism priced in. if it drops closer to list price of $2.60 then I'm might jump in.
CBR Price at posting:
$3.79 Sentiment: Hold Disclosure: Not Held
