RAN - Range International

[System]

Range is a manufacturer of plastic pallets. It has developed the ThermoFusion™ technology that allows it to make plastic pallets from 100% recycled mixed waste plastic at a price that is competitive with wood pallets.

It currently has two production lines operating at its factory in Indonesia and sells its pallets under the brand Re>Pal™.

It is anticipated that RAN will list on the ASX during July 2016.

http://www.rangeinternational.com

 

[greggles]

Range International in the dog house this morning. Down 58% to 8.4c after announcing a shocker of a Market Update.

The commissioning of the company's preprocessing system will now not be completed until Q1 2018. Also, a previously announced large order to China is currently on stop due to non-payment issues.

RAN looking a bit grim at the moment.

 

[greggles]

Bottom in for Range International? Up another 10.61% so far today.

 

[greggles]

I've seen some strange announcements in my time, but this one is up there among the strangest.

ASX Announcement
(ASX:RAN)

02 August 2018

ENGAGEMENT OF FTI CONSULTING – STRATEGIC BUSINESS REVIEW​

The Directors of Range International Limited (Range), have become aware of potential inconsistencies with production and operation processes and have engaged global advisory group FTI Consulting to assist in an investigation into these matters at Range’s Pasuran factory.

FTI Consulting will look at all major areas of Range’s business and manufacturing operations to ensure the company has a clear and profitable plan moving forward. In particular the review will identify any areas where any efficiencies, costs, controls and procedural improvements are required or may require further investigation including pricing reviews with external suppliers of raw materials.

FTI will provide Range with the findings of this investigation, and Range will report on any material findings as required or a Summary Report at the conclusion of the engagement.

What exactly does the company mean by "potential inconsistencies with production and operation processes"? It sounds like they're trying to say something without actually coming out and saying it.

Anyone care to offer a view about what this all means?

RAN share price down 27.59% to 4.2c today. With that kind of vague, ambigous announcement I'm surprised it's not down more to be honest.

 

[Country Lad]

I've seen some strange announcements in my time, but this one is up there among the strangest.

What exactly does the company mean by "potential inconsistencies with production and operation processes"?

The Directors of Range International Limited (Range), have become aware of potential inconsistencies with production and operation processes

In my day as a director if the Board found an inconsistency, we wouldn't employ a consultant, but things have obviously changed. Any board worth their salt would quickly hone in on the inconsistency, fix it, sack a few people and hire new ones.
But then, any decent board would have robust systems in place where an "inconsistency" would not occur in the first place

 

[greggles]

In my day as a director if the Board found an inconsistency, we wouldn't employ a consultant, but things have obviously changed. Any board worth their salt would quickly hone in on the inconsistency, fix it, sack a few people and hire new ones.
But then, any decent board would have robust systems in place where an "inconsistency" would not occur in the first place

Thanks Country Lad. I guess that's what I was getting at. Surely any "inconsistency" is something that can be handled internally by management? After all, isn't that what they're paid to do? For that reason I am reading something ominous into this particular announcement and I think it reflects poorly on management for two reasons:

Firstly, I think the way this announcement reads is that the "inconsistency" is somehow out of the hands of management and that leads me to think it may have something to do with the very viability of the business itself. I can't think of any other reason why an "inconsistency" would need to be handled by outside consultants who would presumably have less of an understanding of the intricacies of the business than management themselves.

Secondly, I think management made a serious error of judgement by releasing an announcement as ambiguous as this. Reading between the lines, they clearly know more than they are saying in the announcement and I think that by not coming out with specifics they are causing unnecessary speculation by the market. It looks like critical details are being concealed and I think that is not transparent or responsible.

It's no surprise at all that RAN finished the day at its low of 3.9c, down 32.76%.

 

[Country Lad]

.....potential inconsistencies with production and operation processes and have engaged global advisory group FTI Consulting to assist in an investigation into these matters at Range’s Pasuran factory.

FTI Consulting is an independent global business advisory firm dedicated to helping organizations manage change, mitigate risk and resolve disputes: financial, legal, operational, political & regulatory, reputational and transactional........ assist clients across the business cycle – from proactive risk management to the ability to respond rapidly to unexpected events and dynamic environments.

Read into that what you will

 

[Dona Ferentes]

Some life in RAN?

After bottoming out below 1c a share mid 2020, it has recovered a bit. Still a $10Million company. There has been the usual activity

... cap Raising of $1.8 mill Placement
... Board changes
... and even some good news with UniLever taking up their pallet options (though that is in relation to Palm Oil?)

 

[greggles]

Some life in RAN?

Now perhaps? It's do or die for RAN now. Green pallet producer in the midst of a worldwide pallet shortage. Up from 1.4c to 2.4c this month and up 41.2% just today. Takeover target perhaps? Anything could be going on, but there is obviously the perception of value at these levels. Very bullish price action today and I think there will be more to come.

 

[Dona Ferentes]

also RAN has been suspended for not meeting obligations... last traded Dec 2022
.