Cloudcoco Share Chat (CLCO)

Just noticed that TIA recently repaid £4m worth of loan notes on a revolving credit facility with Santander. Still a hefty 8.7%, but perhaps they are trying for something similar here. The trading update next month will be revealing one way or the other.

Lol it is up less than 10% if that with that spread

Never seen that before, not a good sign

100% of a turd is still a turd! 500% still required and it might smell of roses.

With the present spread cloud cuckoo would be a better name

Barely worth £500k now. I wonder if Mark Halpin is a proud father of this stinking turd that he laid.

Somebody pull the flush and wash away this stinking turd.

There still seems lit willing to buy at the moment for some reason.

The curremt market cap is now below £1m.

Essentially this company is now worthless - a busted flush with less value than a turd.

The Company also announces it has reached agreement with its loan note holder, MXC Guernsey Limited ("MXCG"), to extend the redemption date of the loan notes from 21 October 2024 to

31 August 2026 (the "Loan Note Extension"). Interest will continue to accrue on the loan notes at the current rate of 12 per cent until redemption. All other terms of the loan notes remain the same.

I wasn't aware it was 20%. What chance have they got. Nil I would say. As I mentioned on the other board I've written off my 16k investment and it ****** hurt.

I'm over it now but will never ever invest in an Aim share again.

Simon Duckworth - If you see this name come up then avoid at all costs. Will get you nothing but misery and despair

Needs a debt for equity recapitalisation. The owners have to accept that and move on.

This is now valued at £1m, so essentially nothing more than a cash shell.

Problem is the business is only generating £500k per year with £7m debt to pay in 2 years. The only hope is that performance improves and the debt can be restructured on better terms than the current 20% once interest rates and financials improve.

It would be typical if there's a bad news RNS that's stuck in the system. Could explain the markdown on open. Will just have to wait amd see...

Assuming this isn't goimg bust, surely this price is a steal. Given that I've topped up - it's a gamble but willing to take the risk.

On the other board they are calculating that unless sales triple to around £90m in the next 18 months that they'll go bust - I can't see sales getting anywhere near that so is this it for CLCO?

Fair points HunkyBoyo. The next 6-12 months is crucial to see where this ends up.

You are missing the elephant in the room. The CEO has essentially said the company cannot pay its debts with existing "Profits".

The CEO is also linked to MXC who the money is owed to. MXC hold the cards and need to exit to wind up their investment vehicle and return cash to shareholders. They are already stuck with IDE after diluting shareholders and taking equity. Thats also a route for CLCO as well but it may be they don't want to get stuck again. There's no assets as such in the company so I can't really see any other route for them except to grow CLCO out of the debt.....not going to happen as we've seen.

It's a pickle for them, but don't get excited by a few percent rise in sales here or there, none of it really matters any more.

As Speakssense says - plenty of positives. Sales slightly behind where I’d hoped they would be (was hoping for closer to 20% growth), but still some good growth. It feels like new business sales and customer satisfaction (which I’m impressed with at almost 98%) isn’t the challenge here, despite economic headwinds mentioned several times. However, saying that, MoreCoCo is driving some of that revenue increase at what I should think is a very low margin. That masks some of the client losses they referred to.

If Ian can get costs under control - which appears they are on with, I agree it’s a good foundation for growth. They’ve set expectations from here as “steady progress” so I’m anticipating further “good” progress with full year results but not spectacular. But it’s that’s the case - the following 12 months should be very encouraging and back to a reasonable valuation.

We need to see more shareholder comms and press releases on new logo wins and notable contract renewals rather than just results statements. Without a steady stream of positive news - the SP will linger where is it until someone comes and buys it at an under valued price.

Solid results with plenty of positives. Revenues and EBITDA up and plenty of new customer logo wins which is crucial to keep the business moving forward. Very pleasing to see a strategic review underway to unlock the value in the business and some smart moves on the DC contracts. Also good to see the cost savings starting to come through. I can only see upside here from a solid base and I'm sure Ian and Simon will want to show the impact of their tenure rather than get too excited about what went before. Good times ahead here I feel and plenty of upside potential.

As long as not too much damage is done and he’s still on talking terms then there’s always the possibility of a come back. We will only know when we se how MXC can perform without him! IMO

We are still awaiting to see how the company performs now MXC is in charge. Maybe Mark just dumped a load of his shares! It is nice to see that the price didn’t drop that much we could indicate it was a buy. Whatever it is until we get clear direction of growth for the company then we’re just flying into the wind IMO. We will await to see whether MXC are just holding the fort to recover their debt or whether the true potential of Cloudcoco will be fully realised. Either way we will all know the answers over the next 12 months IMHO I’m not as confident now as I was when Mark was in charge!! Let’s hope I’m proved wrong!!

Let’s wait and see. I think sales will see a good uplift year on year. Costs still higher than I’d like but starting or come into line. If sales can be north of £30m FY this year, it’ll start to turn around quickly. Again, my opinion.

(I don’t check this forum loads so my replies can be a bit slow.)