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It sounds like the acquisition will bring synergies, a decent client base could allow some cross selling and they have an ecommerce division which may improve the purchasing power of the group and they say there could be some margin accretion through automation.
You can see from the balance sheet on companies house that there is a consistent excess of debtors over creditors which appears to have grown in size over the last 3 years indicating some sort of consistent performance.
Could be a good time to use one of those cliches I read on these boards about 'getting in on the ground floor' or such but give the ambition of management and the beginning of its get bigger phase with a sizeable cash pile to spend I wonder how many more acquisitions we might see in the near future
https://find-and-update.company-information.service.gov.uk/company/02691103/filing-history
The acquisition is an interesting one. Priced at a fraction of sales they have doubled in size for only £800k (net of working capital and cash) and also taken on a 'hardware engine' (whatever that might be). Would love to see some kind of presentation and engagement with investors but they may just be getting on with it.
The MCap is is £9m, somewhere around £1.5m cash in the bank and there are some pesky loan notes of £3.7m due 2024, so for an enterprise value of say £11m you get £14m in sales and EBITDA/cash flow break even, but fairly low to zero organic growth recently (maybe harsh given Covid impact)
Mark Ward has forked out £1.1m in the placing for 15% of the company and the chairman £120k. The CEO didn't participate but he already has 20% so plenty of motivation there. This leaves around £800k across other investors. I wonder how many of them are in it for the 20%... just a couple of % churn with such low liquidity, horrible spread and very infrequent news will mean this could stagnate for months.
Happy holding here though to see how this plays out. Just a little bit of sales growth will go a long way
2 of the red trades were my buys today. You can clearly see they were buys.
Looking forward to the next bit of news now. Hopefully this company now makes the most of the help it is getting.
This always had such great potential IMHO and with the new investors and recent acquisition the possibilities are ever growing to make this company into one of the biggest IT brands in the UK!! DYOR I've added more today and I'm expecting a price correction in the near future that will rocket the SP north. I'd like to see somewhere between 10p-15p this time next year!! Now is a good time to jump on board before the train really departs IMHO GLA
I agree. The Times report today re Jisc and Alibaba link up re security issues on oversea students having concerns has seen this go further south. Just look at the spread! This is going to implode.
I see some has had enough of this S**t share and sold 57k worth.
Can someone help please? I read the Allenby Capital report that talked about potential joint revenues with the new acquisition being over £14 million annually. So, based on the current shares now in issue and if we hit over £14 million annual turnover and say debt is substantially reduced or even removed, then what would you estimate the share price to be next year at the end of year accounts? Thank you in advance. I’m really interested in the calculations because a company turning over more than £14m with little or no debt should surely be worth more than a penny.
Worth a read! http://www.allenbycapital.com/research/research-clco.html
I'm really encouraged by today's RNS. A bolt-on acquisition of this size makes perfect sense. I didn't think a capital raise at a discount of 13% was unreasonable. The balance sheet is considerably strengthened and supports the investment case. The top line of the acquisition is quite impressive, suggesting a decent customer base for cross-selling. It's a shame there was no offering on Primary Bid, but at least this may mean fewer shares are offloaded when admitted on 3rd September. Will definitely be looking to top up on any weakness.
Hi bit of a novice myself . My take is the company is expanding but this is being paid for by the issue of 210 million new shares at 1p each , so bigger company with a higher market cap but more shares. The fact this is up 13% today with so many new shares at 1p seems to mean this is seen as good news , hopefully this company is going places, time will tell, good luck to all.
Can someone please explain to me (a novice in the investment world) why this hasn't impacted the SP more? When the CLCO announcement was made I think (from memory) Adept4 went from 0.3p to 3p.
This has done very little in the scheme of things.
buyers. decent raise and takeover
Why an out of the blue 12.28% drop today. Share movement has been minimal.
"boohoo, who we won as a new customer in FY20"...Hang on, Boohoo were an Adept4 customer, I remember seeing them announced as such on their website years ago.
Try having shares in MSYS where there is plenty of good news and things look set, but the SP does not reflect it. Here there seems a reluctance to promote the company or it's achievements.
Sorry you're still down letloose I know how it feels with MSYS, as still slightly in profit here.
The only thing that is going to happen for me is I will go from 55% loss to 80% loss by then :(
Feels a little bit of a leap of faith... hasn't been a trade over £1000 for 2 weeks, current spread is 1.25/1.42 and like last year could be no news until a trading update in December. I wonder if anything interesting will happen between now and then? Some acquisition or contract news would be most welcome
Just been doing a bit of research and found these links with articles referring to CloudCoCo in - pretty good if you ask me. DYOR IMHO
https://techonthego.co.uk/2021/06/how-to-help-your-remote-team-work-smarter-27454
https://marketbusinessnews.com/5-reasons-to-run-your-own-website/267244
https://www.telemediaonline.co.uk/simple-tips-to-keep-your-website-ranking-in-the-search-engines
https://innov8tiv.com/how-to-work-flexibly-from-anywhere-in-the-world-2
https://www.techdee.com/things-to-consider-before-launching-a-gaming-start-up
https://www.stechguide.com/five-cloud-solutions-for-the-modern-business
www.businessanalystlearnings.com/technology-matters/2021/5/28/4-tools-for-running-multiple-operating-systems-on-a-single-server
https://www.europeanbusinessreview.com/five-reasons-to-consider-a-hybrid-cloud-system
It’ll come. There are a lot of people under water with this share from Adept 4 days and like you very frustrated. But I think the number of people cutting their losses when we get some SP progress is forcing the downward pressure. Share volume is always very low so it has a disproportionate impact. The spread doesn’t help.
Until that changes and there is a regular trickle of news we’ll see the same thing. Other than substantial client win announcements or an acquisition- which looks to be on the agenda.
Hang in there!
Looked like some of us maybe getting are losses back. Then the inevitable happens and back down this S**t share goes.
CloudCoCo (AIM: CLCO), a UK provider of IT and communications solutions to businesses and public sector organisations.
In Managed IT Services, Vantage Motor Group and Baywater Healthcare, two of our largest customers by deal value, renewed their contracts with us on a multi-year basis. We also re-signed a UK university on a long-term deal and, testament to our leading capability in Microsoft and telephony, secured a large professional services order with a major UK educational institution to migrate 70,000 users from Skype to Teams while integrating the customer's existing PBX telephone system.
In Value Added Resale, demand for our collaboration and cyber security solutions remained strong, in line with the rise in remote working and the need to do so safely and securely. Contract wins of note include helping a leading law firm and a major English council successfully transition to home working through the delivery of our IT hardware and telephony solutions. boohoo, who we won as a new customer in FY20, continued to grow the breadth and depth of the services they take from us.
We launched our new website at the start of the current financial year and have continued to enrich it with informative content and regular tech-tip videos while ramping up our social media output. Pleasingly, traffic to the website in March 2021 was up 42% versus October 2020 and LinkedIn followers grew 11% in the same period.
During the period, we continued to strengthen our relationships and accreditations within our diverse ecosystem of blue-chip technology vendor partners, a key competitive advantage for the Group. In January 2021, Lenovo awarded us 'Gold' status in its national partner programme.
Post-period, we continue to see demand for our services and further progress in developing our partnership ecosystem, with CloudCoCo becoming one of the few UK partners to be listed on the AWS (Amazon Web Services) Marketplace for Dynamic Cloud Security solutions; Mitel awarding the Group 'Gold' partner status; and THG Hosting, The Hut Group's web hosting business, announcing CloudCoCo as a UK partner.
https://www.thearmchairtrader.com/cloudcoco-sareum-holdings-remote-monitored-systems/
I'm sure many of us here will be glad to see the back of 2p - This is highly undervalued and a re-rate should be on it's way soon IMHO. Time and again the BOD have demonstrated growth. It's just a matter of time before the SP follows suit. We should be trading back at 3-4p the price prior to the new BOD taking over! We're in alot better condition now than we were back then - Does anyone else have any thoughts?
Move past 2p in a couple of sessions
I value it at 4p plus