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Clean Air Power – Surely there is an R missing in its EPIC Code?

Tom Winnifrith
Sunday 6 July 2014

Clean Air Power (CAP) has just raised £1 million at 4p – a 27% discount to the share price the day before the RNS. The stock now trades at a new year low of 4.125p and this appears a lesson in red flags. I’d not wan t to hold this stock as it strikes me that it is full of CAP.

The hype is clear. Roman Abramovich is a shareholder and he is a smart fellow. Yes he is but we all make mistakes. The company has exciting technology, hmmm. It states that it is “developer and provider of Dual-Fuel™ engines for heavy duty vehicles.” Well that may or may not be a growth market but that does not mean this company will make money from it. Think AIM Cesspit listed Tanfield (TAN) and green cars. But who cares. It sounds exciting so let’s buy a few…er, maybe not.

And as it happens the company boasts that since 1991 it has spent £50 million on its technology and as a result has patents pending in 65 countries. Hmmmm. 23 years and £50 million spunked up against the wall on R&D and it is still not anywhere close to generating cash? Yes that’s right.

As at the end of calendar 2013

on ShareProphets | Comments
About Tom Winnifrith
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Tom Winnifrith is the editor of TomWinnifrith.com. When he is not harvesting olives in Greece, he is (planning to) raise goats in Wales.
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