The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
***Note
I have actually *assumed* the revenue on these lists is 'Per Annum' and not total
https://www.forbes.com/sites/christinasettimi/2020/12/05/the-most-valuable-esports-companies-2020/?sh=2068346173d0
Surely it is PA?
Some interesting valuations on here
https://www.forbes.com/sites/christinasettimi/2020/12/05/the-most-valuable-esports-companies-2020/?sh=2068346173d0
I would actually like to see us book some more revenue before listing, £7.5m sponsor over the next 3 years is good plus whatever we make from merch, subs and player sales / prize money, however dividing the sponsorships by 3 that is only ~$3.5m PA for a company that is currently valued at ~$50m USD (£36m as of today)
There is clearly room for more sponsorships and we will likely see more announced shortly however what total will this bring in our total revenue PA to?
The bottom 3 on this list have revenues between $15 and $20m PA and are valued currently between 3-4x our market cap, our revenues is about 4x less than these, so simply looking at revenues (and not margins, brand etc., which I am aware is only scratching the service) we dont appear to be at the moment undervalued or over-valued
Of course, the upside comes from the following unknowns
- Wat further sponsors will we book and what will be our final Y/E booked/contracted revenue from sponsorships
- How much will the merch contribute (surely not £1m as they first anticipated?)
- How many subs have they signed up
- Y/E prize money and player sales (likely to be low)
Anyway, simply put
If we can book ~$15m in total revenues over the next 3 years I think, with £14.4m in cash, we are on solid footing - although id love to see anything north of $20m USD over the next 3 years+ as I really think that could see us easily trading double digits and I hope the team has enough in the tank to get to this figure in the next 4-5 months
It is,but the application pending is for crossing trading,which I understand will make it much more liquid as I think it makes it fungible with the UK listing,maye someone expert in this can confirm?
From the February RNS
Should the application be successful, the cross-trading facility will be provided through OTC Markets Group Inc., located in New York, USA. OTC Markets operates the world's largest electronic interdealer quotation system for US broker dealers and offers multiple media channels to increase the visibility of OTC-traded companies.
I still like they will confirm this with a lovely US sponsor to maximize the wattage
TTP
Is it not already trading on the OTC under GULDF?
Nice summary GLR. Have been in since Feb for all of those reasons. Added more today.
It's such a cheesy cliche in the BB world but it's true...... we are certainly at the 'beginning of the story' here with Guild.
GLA :)
Interesting TTP
I think it would fit well, and help both businesses, not many people over here in europe watch MLS, with InterMiami as the main E-Sports sponsor it would drive a lot of younger audiences and global audiences to the MLS, whilst also increases the revenues for Guild
Not sure on the regulations / restrictions, but a really solid shout that I think could well become truth if/when they list in the US
why not,or at least it helps the competition for sponsors
Also having someone like InterMiami gives instant US appeal and exposure to Guild
Really looking forward to August and finally some more appropriate valuation to this company
TTP
TTP - You don't think Beckham is getting enough out of this without including Inter Miami too?
Excellent summary GLR,pleased to see continued interest from serious investors who have done their homework and continue to do so
I think regarding the US listing,it will come and I would wager Guild will know exactly the right time to pull the trigger,I am thinking US sponsor,US listing,US driven rating
How about either a US company,or maybe something with InterMiami or the Miami F1
I hope everyone is taking advantage of these prices,I have this week
TTP
As long as its a joint listing . .
Something else to consider is that being on the LSE market whilst great, we are pretty archaic when it comes to tech. So the roadmap onto the US small cap market will make this fly also.
Afternoon All
Added my second tranche today, so pretty happy now to relax, sit back and wait for this to hit £100m+ (with no dilution ;) )
From my twitter account (and summary below it)
#GILD E-Sports 7.10p (New Long Term Hold)
Business Model(s)
1. Player Transfers
Guild sold a player they signed in Feb 21, for just over $100K in July, this business model works
2. Merchandise
Guild sells its products for between £8-55 online, they have released a second range
BoD confident, but unproven - regardless, this helps the brand, so good to have it going early
3. Prize Money
In time, I think most of this will go the players, for reference the winners of the Football League Carabou Cup get £100,000 - Winning trophies isn't about prize money, its about sponsorships
This business model works!
4. Sponsorships (the big one as per above)
Booked £7.5m of multi-year sponsorships in their first year of operations? Incredible!
The sponsors are coming, with big pay checks, this business model works
5. Guild E Sports Academy
£4.99 a month, no figures on update as of yet but would think as the brand grows (above) and they obtain more 'winners' in the space, this will grow
Unproven, but exciting
6/...
So to summarise, how many companies come to the market with great ideas and promises, but fail? What do they all have in common?
They dont make a penny from the get go - they start with a horse and end up with a Camel, 2 years down the line - how do they start with a horse and get to a Camel? Look at some of the popular LSE/AIM stocks, I wont mention but one has just done a placing to create a new platform, another has absolutely tanked almost to 1p and has had to make aquisitions, these companies have made little to no money and changed their 'USP' or had to configure/adapt it to keep investor money pumping in
Guild on the other hand, as per above, IS MAKING MONEY, has multiple revenue streams (yes some unproven) and IMHO has got off to a great start, which will only grow in time as sponsorship money (tough 2020 but growing 10% YoY) will increase, and the top academy's will take full advantage