Member Info for Aphrodite

Ok. But the returned �13m to investors less than a year ago. Now some want want they have at the possible expense of growth. And there been opportunities to sell at 13p or so.

Possibility of a buyout or something beneficial, and maybe a rerate on maiden profit if nothing else.

Don't know who's selling or buying large amounts, but it's ongoing.

Rupert Hargreaves | Tuesday, 26th September, 2017 | More on: MMX TMO Image: Public domain In my view, Minds + Machines (LSE: MMX) could be one of the AIM’s hidden gems. The company, which provides internet domains and related services, has seen the value of its shares rise by around 50% since the beginning of 2016 as sales have steadily improved. However, despite rising sales, profits have remained elusive, but it looks as if this is about to change. Maiden profitability According to the company’s first-half results published today, renewal billings nearly tripled to $3.1m while renewal revenue more than doubled and now accounts for 45% of revenue, compared with just 15% in the same period last year. This growth means that renewal billings are now higher than fixed operating expenditure, which came in at $2.6m for the first half. Heading into the second half, MMX is primed for further growth as management has decided to hold back key 2017 inventory releases. Billings eased to $5m from $8m the year before. However, sales of roughly $6m have already been achieved during the third quarter, bringing year-to-date sales level with 2016. Commenting on the results the firm said: “The first half of 2017 has been a period of consolidating the transformational progress of 2016 and establishing a solid platform for the business to deliver its maiden year of profitability as an operating business in the current year.“ With $15.3m of cash at the end of August, MMX has a strong balance sheet to support growth. I believe that the market will re-rate the shares when the company reports its maiden profit.

In fact, for those wishing to 'big up" a buyout, it's the first time they've gone this far:- " which may or may not result in an offer being made for the Company as a whole." Cheers!

Or so they say. Any particular reason to doubt it?

There is/was no offer. They put the review in context today:- On 25 May 2017, MMX announced the appointment of Headwaters, a West Coast based US investment banking firm, to conduct a strategic review to look at all options open to the Group. The Company and Headwaters have held conversations with a number of strategic parties in the US, Europe and Asia and continue to explore a range of options to determine the best path forward, which may or may not result in an offer being made for the Company as a whole. A further update on progress will be provided when there are material developments.

Ifs and buts at moment. We don't know of a definitive offer to buy, acceptable or not. They've yet to review the options and discuss them fully with other parties - it appears. No decision made and to spend the money might restrict their, and other's options. It's not inconceivable that they might wish to acquire.

And for what it's worth there's no way they can make a unilateral dividend declaration whilst in discussion and under review.

Results are maybe no better or worse than expected? They heightened expectation with the review announcement. Then it was over hyped in discussion. But they were preparing shareholders for something. They will have to explain it, at conclusion. It's ongoing. I would certainly expect something to occur - if it doesn't, then that may be a concern.

Showing their ability to get on and deliver on their promises with very early implementation, when this is currently a source of discontent with other providers. Can now start recognising the revenue.

They say this, which would allow them to retain cash for " opportunities " whilst giving at least something to shareholders. "An example of such an event, beyond the ongoing cashflow generation of operations, may be one-off cash proceeds from the private auction process from the Group's remaining seven contested new gTLD applications." Anyway, they will say something tomorrow. Cheers.

How much do you think that would amount to?

The company has only said it is looking at an opportunity to take part in an industry consolidation without specifying how. Some have talked up a buyout. A payday. They may be disappointed - or not. It seems strategic options are being considered - a question of looking to the future. I somehow think it may be more disquieting if nothing happens at all.

But before going abroad, on 28th/29th. September they'll be on another jolly, exhibiting at Slieve Donard Hotel, County Down, in the north. N.I. FEDERATION OF HOUSING ASSOCIATIONS NIFHA is the representative body for Northern Ireland's 20 Housing Associations. Collectively NIFHA's members manage over 47000 housing units with stock valued in excess of £3.5bn, an annual turnover of £215m and over 3000 staff. NIFHA .This event offers an excellent opportunity for networking with key influencers from the Housing Asociation sector.

In addition to the comments re. some form of broad consolidation, by some means, and the strategic review, first mentioned specifically on 25th.May, it is apparent they were considering their situation prior to 25th. April, when under ' use of cash ' they said, "It is also evident that there are increasing opportunities for consolidation in the industry and maintaining a strong balance sheet is beneficial in this regard. Indeed, it is the Board's belief that the ultimate winners in the currently fragmented new gTLD arena will be those that can achieve significant scale both in terms of top-line billings and renewal growth."

Updating Castleton's list it now looks like this:- Shareholder name Amount % Holding MXC Capital Limited * 20,021,211 25.44 Kestrel Partners LLP 20,498,615 26.04 Nigel Wray 4,726,595 6.00 Individuals 3,044,020 3.87 Stephens Group and Related Parties 2,528,595 3.21 Jarvis Investment Management (EO) 2,494,304 3.17 Jonathon Holyhead 2,463,076 3.13 BlackRock 2,403,383 3.05 Oxford Technology 4 Venture Capital Trust 22,322,344 2.95 LGT Bank, Vaduz (PB) 2,220,000 2.82

Thought somebody else buying, though does not account for all the shares picked up. Nigel WRAY increased to 6%, adding 405,715 shares. Nice to have him adding alongside Kestrel.

Not much happening volume wise but seems to have settled around the 5p mark. You can see it could move fast on a bit of positive news.

Foreign computer behind it ?