Member Info for -Rob-

They must have one hell of a Christmas party to pay for ;-)

I hold my shares in a Hargreaves Lansdown account and I have the option on there to purchase 10 new shares at 4p for every 148 shares I already own or I can request more if I want to. I have until 13th December to make a decision.

Would someone please explain to me in fairly simple terms what 'placement' means in terms of the 7Digital shares. It's not a term I'm familiar with. Thanks.

I agree. In the first half of this year I read several reports of new contracts, new acquisitions and a promising future with plenty of growth potential. In the last few months I've seen nothing other than a slow but steady decline in the share price. At the beginning of 2017 I was confident we'd see a profit in 2018 but now I'm not so sure. Now I'm more worried the company could fold in 2018.

The 7Digital share price has seen a steady decline over the last 6 months from an April 17 price of 7.6p to a new 12 month low of 5.05 today. Does this company show any signs of recovery over the next 12 months or is it time to jump ship on a bad investment?

Moving towards profitability in 2018 is most likely reliant on the existing business leading to an increase in turnover. With current financing the company can't afford many new acquisitions so I think the next 12 months is critical. I bought at 7p earlier in the year with a hope of selling at 12p within 12 months. That's not looking too realistic at the moment but a return to 10+p a share could be achievable even with a break even point on the balance sheet. A move in to profit could send the share price significantly upwards.

I really wish they were starting to climb but for all of 2017 any slight increase has been followed by a decrease in price. For anyone willing to take a risk on 2018 profitability they could be a good buy but if the cash runs out before the books turn black this could prove to be an expensive investment for many including myself.