ENTU (ENTU)

[WickedLester]

Are ENTU now worth a look as the market cap has fallen to less than £14m and they are almost priced to go bust which with a fairly average balance sheet they might do.

BUT, for the first couple of years of trading on the stock market they made profits of £8-£10m a year.

I don't expect them to return to this level of profitability in the short term but once cost cutting flows through there must be a good chance that the business can turn in profits of £4-£6m?

I think it's an attractive recovery play and bought a few at 34p which I thought was the bottom and valued the company at around £20m but they have since fallen further.

A bit risky but I think if things work out in their favour it could multibag over a few years.

Kestrel have been buying and they are activist.

Lester

[simoan]

Are ENTU now worth a look as the market cap has fallen to less than £14m and they are almost priced to go bust which with a fairly average balance sheet they might do.

BUT, for the first couple of years of trading on the stock market they made profits of £8-£10m a year.

I don't expect them to return to this level of profitability in the short term but once cost cutting flows through there must be a good chance that the business can turn in profits of £4-£6m?

I think it's an attractive recovery play and bought a few at 34p which I thought was the bottom and valued the company at around £20m but they have since fallen further.

A bit risky but I think if things work out in their favour it could multibag over a few years.

Kestrel have been buying and they are activist.

Lester

I've lost money on this one already last year. The management have lost all credibility since the IPO IMHO. Management credibility is one of my main investment criteria. It's a bargepole for me.

Good luck though!
All the best, Six

[jackdaww]

investors chronicle simon thompson promoted this share over a year ago , when it was priced over100 .

he is now saying sell at 20.

[LovelyLovelyGorgeous]

I would not recommend buying either. Mgt seem unable to get their act together

[AdamB]

I have them on my bargepole list. I held them for around 6 months, selling early/mid last year however, similar to a couple other things which Zeus Capital IPO'd, they came to market promising an unsustainable yield which ultimately they had to cut. I'm not very wary of anything which Zeus is associated with, particularly if they recently lsited

[WickedLester]

Not one of my better investments this. Fortunately I sold out at 26p after the results came out and showed that the balance sheet was completely shot.

They now look set for a total shareholder wipeout after this announcement:

https://www.investegate.co.uk/entu--uk- ... 55019315M/

Amazingly there has been huge volume in the shares with loads of small punters trying to make a quick buck. Kestrel have managed to dump nearly all of their holding and must be thanking their lucky stars that they have shifted such a large stake in such a distressed company to get even some of their money back.

I just can't believe the stupidity of some people though in investing in this in the state it's in and after the management have explicitly warned that even if they do survive the equity is worthless.

Lester

[WickedLester]

Well they've gone pop today. Some mug punters must be kicking themselves for punting on this recently.

https://www.investegate.co.uk/entu--uk- ... 00048378O/

Entu (UK) plc, (the "Company") confirms that whilst it is continuing advanced discussions with a third party in relation to a proposed refinancing, based on the current discussions and regardless of whether or not an agreement is reached, it is likely that the parent company will be placed into administration with a view to selling its trading businesses. The Board further reports that the current proposals that are being considered attribute no value to the equity in the Company.

I'm glad I was willing to take the loss on this one rather than ride it all the way down.

Lester