# PPK - PPK Group



## piggybank (3 January 2014)

Announcement yesterday - http://stocknessmonster.com/news-item?S=PPK&E=ASX&N=776617


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## piggybank (20 January 2014)




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## greggles (29 November 2018)

PPK Group has taken off in the last couple of weeks and I missed it all.

On 13 November the company announced that it will acquire AIC Investment Corporation Pty Ltd (AICIC). The announcement reads as follows:


> *Strategic Acquisition of AIC Investment Corporation Pty Ltd (AICIC)*
> 
> PPK Group Ltd (PPK) is pleased to announce it has signed a binding Heads of Agreement with one of Australia’s leading technology incubator and commercialisation companies, Australian Innovation Centre Pty Ltd (AIC), for the acquisition of 100% of AICIC.
> 
> AICIC owns 50% of BNNT Technology Limited, a joint venture between the AICIC and Deakin University of Victoria to commercialise Deakin University’s patented Boron Nitride Nanotubes (BNNT) Manufacturing Technology. Over the past 10 years Deakin University has developed the world’s only known technology for manufacturing BNNT in bulk therein enabling it to open world markets for this unique and highly sought product. BNNT Technology Limited holds a 20 year exclusive licence over the BNNT manufacturing technology




The acquisition is taking place in two stages. Firstly through an initial funding of AICIC through a $3,600,000, 3 year secured loan and then by a placement of 10,100,000 shares at 35c a share to raise $3,530,000.

For those interested in the Boron Nitride Nanotube technology take a look at the following YouTube video:



Looks like there could be a lot of potential here. The last couple of days have seen PKK really take off since the AGM on 27 November and it has increased in price from 50c to 85c. Small market cap and tight register means there could be more short term share price gains to come.


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## barney (29 November 2018)

Going like a house on fire!


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## Statim (7 June 2019)

I have been looking through this and other forums to see where the buzz on PPK is at and I see a few early Investors here jumped in, in November 2018, Share price high on the 1st of November 2018 was 32 cents As I write this blog it sits at $2.81 with an intraday high of $2.90 That's a whopping circa 800% return in 7 months!!!!!  My blog title says it all it's not that "the sky is the limit" it is the fact that "space is the limit", BNNT (Boron Nitrate Nano Tubes) which PPK bought 50% patented rights for a new revolutionary technology created by Deakin University will for the first time continuously produce high-quality BNNT's. All previous BNNT production technology has only produced BNNT's in small batches.  This new super material will not only help take men to Mars but will also shield them from radiation. Sounds out there, doesn't it? "Mars missions" but that is what NASA is saying  (watch TED talk here). Forget Mars, when understanding the true potential for BNNT  as an additive to other composites to improve their qualities suddenly you see all the other markets it opens up from Medical, Automotive, Aeronautics, Battery Technology etc etc you can see why suddenly the market is getting a hold of this stock and it has soared without any major announcements. Its tightly held, so hard to get any decent volume but I suspect when some positive announcements on first production and sales enter the market PPK will only triple in value when you consider the cost of high-quality BNNT is $900K per Kilo. My back of an envelope calculation suggest that at a one Kilo per day production over a 261 working day year yields PPK $235M of yearly income, albeit I expect the price to reduce on larger production quantities but even still 50% of this number is very impressive.  DYOR and see for yourself where this can go, good reference points are;


*1)* Boron Nitride Nanotubes: Properties, Synthesis and Applications

*2) Synthesis of boron nitride nanotubes and their applications*

*3)* BNNT Applications

*4)* *Rare Earths & Boron*

*5)  PPK reckons it can commercialise a world-changing ‘super fibre’ *

*6)* *The first successful 3D printing of BNNT titanium composites at Deakin University in Australia*


Yes, I hold this stock and I am bullish, I see the potential and the upside but always willing to listen to opinion. With hardly any sellers currently and plenty of buyers and no significant announcements, I think this has still plenty of upside.


 Thoughts are always welcomed


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## martaart077 (29 August 2019)

Ppk announcement today regarding production of Bnnt. Appears to be going along nicely. If all goes to plan could be producing commercial quantity by years end.


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## martaart077 (3 September 2019)

Ppk going for a bit of a run today as the realization of Bnnt production nears. 

Recently had good annual report. 
Turning a profit and paying a div. 
Little to no debt with highly liquid assets to fund future growth.

Partnering with Deakin Uni and on the cusp of realizing the manufacturing of Bnnt in commercial quantities.

Bnnt has many exciting and important applications.   Australia the clever country.


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## martaart077 (6 September 2019)

For those interested. Following is a link on ppk and commercialisation of Bnnt. 

https://www.google.com/amp/s/stockh...if-its-super-fibre-can-be-commercialised/?amp


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## Klogg (6 September 2019)

Note26 in the annual report is very interesting.

Basically they've recognised a contingent liability in full, because they believe there's a 100% chance AICIC will earn 20mil EBIT in the next two years. Which means the BNNT operation will make at least 40mil.


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## martaart077 (19 September 2019)

Not many sellers
Share price been on the up
Hanging on for expected confirmation of the manufacturing process


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## martaart077 (3 October 2019)

Today's announcement on asx
Manufacturing plant up and running
Just got to tweak the process to produce the desired outcomes.


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## sptrawler (3 October 2019)

martaart077 said:


> Today's announcement on asx
> Manufacturing plant up and running
> Just got to tweak the process to produce the desired outcomes.



Hopefully they can get the product purity and volume, then keep the manufacturing in Australia.


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## Klogg (3 October 2019)

sptrawler said:


> Hopefully they can get the product purity and volume, then keep the manufacturing in Australia.




With a low AUDUSD and BNNT priced in USD, I'm sure they'd be happy to do that.

But they may also license out the technology to others. 

Either way, they're providing value.


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## galumay (3 October 2019)

There is a lot of blue sky baked in, its one of those businesses where you really have to have conviction in the narrative because there is nothing in the existing business to support the sort of price it gets from the market.

I haven't researched it enough to develop any conviction, but I suspect its worth some more looking on my part.


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## Country Lad (3 October 2019)

Nice to know the process is working.  I would be interested to see the purity results because if they were satisfactory I would have expected the announcement to say that.


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## Klogg (3 October 2019)

galumay said:


> There is a lot of blue sky baked in, its one of those businesses where you really have to have conviction in the narrative because there is nothing in the existing business to support the sort of price it gets from the market.
> 
> I haven't researched it enough to develop any conviction, but I suspect its worth some more looking on my part.




Took me far too long to get comfortable with this, given I was told about it sub $2.

For me, the key points here are:
- Global market for BNNT is approx. 40kg annually (growing at ridiculous rates)
- Market price for BNNT is about $1.1m USD ($1.64m AUD) per KG
- AIC technology (50% PPK owned) can produce this at approx. $200k AUD per KG
- Theoretical maximum capacity of current technology of 1KG per hour
- Technology to do this costs approx. $4m from my understanding (not firm on this point)
- So on gross margin, this thing pays itself off in less than 4 hours at current market prices, give or take.

PPK must make $334m worth + cost of capital to justify the market cap (minus the coal business, which is probably about $40m tops, lets say $34m). PPK's share gross profit per KG is about $670k, that suggests they need at least 447kg sold to provide for this.

Given the patent is good for 20 years and producers currently can only make grams at a time, this seems very possible. In fact, I think the market would grow significantly once supply is more readily available. That said, price should drop a little (although not too much, because they've just established a serious advantage)


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## martaart077 (16 October 2019)

Announcements out today
Capital raising plus market presentation plus deepening cooperation with DEAKIN to develop bnnt applications. 
Market seems to like it


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## Klogg (16 October 2019)

martaart077 said:


> Announcements out today
> Capital raising plus market presentation plus deepening cooperation with DEAKIN to develop bnnt applications.
> Market seems to like it




Interestingly they raised at a discount ($4.25), but it's priced now at $4.90.

Thinly traded, so anyone trying to build a decent position pushes the price up.

I built a 2% position back in September at about 3.08, and the thesis is playing out. Really need to confirm production volumes and see how that effects the market price of BNNT.


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## galumay (16 October 2019)

I need someone to publish a strong short thesis on this one!!


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## Klogg (16 October 2019)

galumay said:


> I need someone to publish a strong short thesis on this one!!



Ask Tony to do it. I think he wants to add to his position


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## Zaxon (16 October 2019)

Klogg said:


> I built a 2% position back in September at about 3.08, and the thesis is playing out.



I bought around a 3% position last month for 3.3.  The stock closed at 5.05 today, so that's a 53% jump in a month.  PPK is certainly going places at the moment.


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## Klogg (16 October 2019)

Zaxon said:


> I bought around a 3% position last month for 3.3.  The stock closed at 5.05 today, so that's a 53% jump in a month.  PPK is certainly going places at the moment.




Nice work Zaxon

Nothing like building a position that just goes your way from day 1... Except it just makes me super aware of becoming overconfident.


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## Zaxon (16 October 2019)

Klogg said:


> Nice work Zaxon
> Nothing like building a position that just goes your way from day 1... Except it just makes me super aware of becoming overconfident.



lol.  True.  And it needs to balance out the ones where you buy a stock, the market gets the memo that you're now a shareholder, and everyone decides to sell the stock down at a discount.  I've had my share of those.


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## martaart077 (28 October 2019)

Market announcement today
PPK  to take 45% holding in a company manufacture and supply body armor and the like to defence and law enforcement.
Ties in nicely with a potential bnnt application being developed. 
Market seems to approve.


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## martaart077 (18 May 2020)

Interesting ASX announcement out today.  Been a while in the making.

$1 million  order from aust defence for soft armor inserts made of composite of kevlar and....... BNNT!
Doesnt explicitly say BNNT tho. 

Could be the start of something bigger.......if BNNT is part of the composite product.


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## Trav. (21 October 2020)

PPK looking very interesting on the weekly chart and up 8% today, and looks like plenty of room to continue the recovery


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## martaart077 (17 May 2021)

PPK shareprice kicking goals of late to reflect that they seem to have solved automation production of bnnt, as well as imminent IPO of battery tech LIS which will incorporate bnnt into battery to make far superior battery to anything currently under research or available


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## galumay (18 May 2021)

Will be interesting to see, I have never been convinced by the hype and promotion around the nanobags technology. I have not seen anyone independent of the business write up a compelling business case for the company or its products. No doubt the narrative is in place, lets see if its just another stonk full of hot air & speculation, or if it can fulfil the narrative.


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## martaart077 (18 May 2021)

Now in trading halt.
Pending much anticipated announcement from the JV partner Deakin, regarding validation of LiS battery tech.


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## martaart077 (18 May 2021)

Announcement out
Supported by Deakin
confirms battery advance using bnnt. 
PPK shareprice responding accordingly


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## finicky (18 May 2021)

Yeah but are they producing bnnt in commercial amounts yet? I came to think they were waffling, just making it in laboratory batches and deflecting from the production difficulties


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## finicky (18 May 2021)

Didn't see this from less than a month ago


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## galumay (18 May 2021)

Getting rammed to the moon today! I dont think many people speculating on this stonk have much understanding of battery tech and real world applications. Oh well good luck to those buying the narrative.


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## martaart077 (18 May 2021)

galumay said:


> Getting rammed to the moon today! I dont think many people speculating on this stonk have much understanding of battery tech and real world applications. Oh well good luck to those buying the narrative.



That's a bit sour. 
It hurts to miss out


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## galumay (18 May 2021)

Oh no, I never regret missing out, there are plenty of stonks I have missed out on! If a business is not investible by my metrics then I dont even consider buying a part of the business, so there is no regrets to be had.

Sorry if it came across as sour, its more a warning about the dangers of speculating in narratives as opposed to investing in businesses. 

Seriously anyone capable of reverse engineering the assumptions for growth required from a starting point of 10c EPS to make the company fair value at $1B knows just how unlikely that outcome is.

Of course if you are just a speculator hoping there will be a greater fool at some point in the future, then the actual business doesnt really matter.


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## finicky (18 May 2021)

It strikes me as a bit like the t/a vs fundamental dichotomy @galumay, 
Specs against real businesses. Doesn't have to be 100% one way.


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## galumay (18 May 2021)

Fair point @finicky, it doesnt have to be any way. I do believe its important to understand the difference and not pretend one thing is another.


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## Dona Ferentes (4 July 2021)

_PPK mentioned in dispatches -  the usual leaky pitch_

Lithium-sulphur battery play* Li-S Energy Ltd *is finalising a $500 million pitch to join the ASX boards. ... knocking on doors in July for August listing

Street Talk understands Li-S Energy, which reckons it has unlocked a holy grail of the battery market, is putting the finishing touches on a prospectus for a $40 million to $50 million initial public offering in a deal that would value it at about $500 million.

The company, part-owned by ASX-listed PPK Group and Deakin University, has set up a BNNT factory in Geelong for large scale production, to make cheaper and more available BNNTs. The factory recently hit 1kg BNNT production in a five-day period, which was pitched as a “major breakthrough”.









						Battery play Li-S Energy powers up IPO pitch, seeks $500m valuation
					

The lithium-sulphur battery play is finalising a $500 million-plus pitch to join the ASX boards.




					www.afr.com


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## galumay (4 July 2021)

I suspect this IPO will deliver significant transfer of wealth from retail investors to professional scalpers. The narrative is pitched perfectly.


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## martaart077 (5 July 2021)

galumay said:


> I suspect this IPO will deliver significant transfer of wealth from retail investors to professional scalpers. The narrative is pitched perfectly.



U r continuing on with the negative theme. 

If u go beyond the afr article and broker reports and do some research, u may find there is real potential in what is being developed here. 

The technology is developed and proven by Deakin University. It's been 10 years plus in the making. The Vic govt is backing these technologies with financial committements. 

U would be hard pressed to find a dissatisfied PPK shareholder, even before their share price rise of late. 

Retail investors opportunity to get in on IPO will be limited. It will go to instos and sophisticated investors.


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## galumay (5 July 2021)

There may well be "real potential" for all sorts of things, but that is just narrative. IMO its not an investible business, its not "a negative theme" its investment research and analysis.

Good luck to those speculating on the narrative, all I am doing is providing my insight into the actual underlying businesses and whether or not I would consider them investible. 

Being defensive about an a company where you are speculating on the future is usually a strong tell for me, we should never let our emotions about a business override our rational analysis of the financials.


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## Country Lad (5 July 2021)

finicky said:


> It strikes me as a bit like the t/a vs fundamental dichotomy
> Specs against real businesses. Doesn't have to be 100% one way.



t/a wise I would put it in the potential breakout category.


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## martaart077 (5 July 2021)

galumay said:


> There may well be "real potential" for all sorts of things, but that is just narrative. IMO its not an investible business, its not "a negative theme" its investment research and analysis.
> 
> Good luck to those speculating on the narrative, all I am doing is providing my insight into the actual underlying businesses and whether or not I would consider them investible.
> 
> Being defensive about an a company where you are speculating on the future is usually a strong tell for me, we should never let our emotions about a business override our rational analysis of the financials.



Each to their own style of investing, no problems
But u previous comments are a tad negative and seems to imply that PPK are somehow out to fleece the retail investors, which based on past performance is just not warranted.


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## peter2 (5 July 2021)

It's so easy to get carried away by all the promising narratives that are in the market at the moment. The AFR is filled with news stories about companies considering going public.  There's so much "dumb" money looking for better returns. P/E multiples are through the roof in many industries. Macquarie Bank sold a sow's ear as a silk purse recently.  

I don't mind seeing an occasional post warning of the risks in buying unprofitable companies. We should be seeing more of them.


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## galumay (5 July 2021)

martaart077 said:


> Each to their own style of investing, no problems
> But u previous comments are a tad negative and seems to imply that PPK are somehow out to fleece the retail investors, which based on past performance is just not warranted.



I think you are confusing my comments about the IPO of Li-S Energy with PPK, to be clear I believe most IPO's are generally a process for transferring capital from retail investors into the hands of pros. When its such a speculative play on a hyped up narrative I think extra caution is advisable. 

Perhaps it would be better if the discussion on the IPO were split off from the PPK thread?


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## finicky (7 December 2021)

Huge drop in PPK in less than 3 months. 

Weekly





Spin-off Li-S Energy (LIS) has fallen since listing

Daily


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## martaart077 (9 December 2021)

Big run up in shareprice prior to the listing of LiS. 
Once LiS listed, PPK shareprice started to fall and has been declining ever since. That was despite PPK owning near on 50% of LiS and LIS trading well above the 80c IPO. 

me thinks a bit of manipulation of both stocks which doesn't necessarily reflect the value of either PPK or LIS. 

The underlying technologies are great tho.


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## Dona Ferentes (9 December 2021)

martaart077 said:


> Retail investors opportunity to get in on IPO will be limited. It will go to instos and sophisticated investors.



And didn't they (retail) dodge a dodgy dog, then?


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## martaart077 (9 December 2021)

Dona Ferentes said:


> And didn't they (retail) dodge a dodgy dog, then?



Retail got a small allocation in IPO at 80 cents. 
Its traded as high as $3 since listing and hasn't been below $1.40 so all who got in at IPO has done alright.


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## finicky (22 April 2022)

PPK down another 10.5% today @ 3.65 - not shown on this monthly chart.
Spin-off LIS not faring well either, although I guess there's an argument that LIS could be basing for a rally - not that I'm interested.
Dodged this one as I was almost lured in by the narrative and a skilled ramper on another forum (who also makes relentlessly 100% pure positive posts on BC8 which I do hold). He's disappeared from discussion of PPK for some time now.

PPK 5 Year MONTHLY





LIS all data daily


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## peter2 (4 May 2022)

The selloff continues in *PPK*.  At least this selloff is steady and smooth. Plenty of time to sell as it hit our pain thresholds.


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## aus_trader (20 October 2022)

You guys have covered the technical side, and @galumay some of the fundamental side. I can see is its SP has fallen further since...

I had a look at PPK financials, and what happened to their Revenues ? 

After steady growth till 2020, now the company Revenues have gone to near non-existent level !


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## martaart077 (20 October 2022)

aus_trader said:


> You guys have covered the technical side, and @galumay some of the fundamental side. I can see is its SP has fallen further since...
> 
> I had a look at PPK financials, and what happened to their Revenues ?
> 
> ...



One of their few revenue streams (the coal/mining equipment business) was sold to a Director at a discount, with shareholders getting some scraps too. 

On a positive, they have solved the problem of mass production at relatively lower energy consumption level of a market disrupting product (BNNT).  However, doesn't appear to be much demand for the product at the moment


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