Technology Minerals shares are struggling to get back above the company’s IPO price despite commissioning progress at their lithium battery recycling plant.
Technology Minerals has 48.25% in Recyclus Group, which is developing UK’s first industrial-scale lithium-ion battery recycling facility in Wolverhampton.
This week, Technology Minerals said the plant’s commissioning phase was on schedule, and operations were building steadily with the aim of processing 8,300 tonnes in the first year.
Despite the apparent landmark news, Technology Minerals shares have failed to rise above the 2.25p IPO price. Technology Minerals shares were comfortably above this level shortly after the IPO before crashing to lows around 1p earlier this year. The stock hasn’t convincingly traded above 2.25p for over a year.
Sellers have consistently stepped in as Technology Mineral’s share price approaches the 2.25p IPO price, and significant resistance has built in the 2p-2.4p region.
One Twitter user suggests Technology Minerals’ disappointing share price performance could be a result of “Bland/Dull” investor communications.
Indeed, one would think the UK’s first industrial-scale lithium-ion battery recycling would pique investor interest and earn the company a greater market cap than the current £32m.
There has also been little guidance on potential earnings from the plant despite Technology Minerals conducting numerous fundraises to progress their recycling plant.
Technology Minerals recorded zero revenue in the half year to 31st December, and there was no revenue forecast provided in their outlook.