Ngenic sells technical solutions for energy management directly to consumers, via partners, and to B2B customers. Since the IPO in 2021 the company showed good growth, but from very low numbers (too small for a public company). Sales is mostly product sales (hardware) and does not result in material recurring revenue.

With its cash burn-rate the company requires new funding. Given the shareholders structure and the company performance I expect this to be expensive in terms of shares dilution, if at all possible. Furthermore there is a convertible loan of 10.2Mkr dated October 2024 (more dilution), and the company has 9.5Mkr debt to the Swedish tax authorities.

Ngenic was on my watch-list for its interesting market. Changed the rating to sell! Risk for bankruptcy.