Versarien Versarien (LON:VRS) are down today on no bad news by about 14.9%

As a former holder of this stock I still take an interest in it as it would be great if a British graphene company could finally get this substance commercialised successfully.

Mike Brenner gave a very informative three part review of why there is so much excitement about the potential for Versarien a year ago here https://www.stockopedia.com/content/versarien-part-1-background-to-the-graphene-marketplace-305388/

The RNS alerts of more collaborations have been issued frequently by the company and the CEO, Neill Ricketts, is often to be found on Twitter hinting at progress and rebutting criticism with bonhomie.

But something appears to have started going horribly wrong. These pronouncements are no longer supporting the share price. The fund raising last year to buy a small Spanish battery tech company and provide working capital was successful, but are investors still prepared to wait patiently for the sales revenue and profits to appear?

The company has two secondees from the government helping it. So, that must mean something pretty special is about to happen but it hasn’t so far.

And then there’s a curious emphasis on collaboration with entities in China. Not exclusively China I grant you, but then again aren’t there a vast number of highly innovative materials technology companies in USA and Europe who one would think would also be wanting to incorporate Nanene (Versarien’s premium product that has so few layers it is a massive leap forward and far superior to other companies) into their products.

Does anyone have any idea if commercially significant sales are 5 months or 5 years away?

We all know this is a story stock and it is a great story as there is huge potential for this material if it can be incorporated into other materials in a commercial way. But is this more risky than the other story stocks (e.g. £SOS) because it is going to be near enough a binary outcome? In other words, if successful it will be huge, but otherwise it may be a complete dud any there’s unlikely to be any middle ground?

What say you?

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