Member Info for bunco

bePayds Anthony Persse, recently joined Philip King, the UK’s Small Business Commissioner as a panellist on a webinar hosted by Founder of the P2P Network, Ellen Leith.

https://www.bepayd.com/NewsArticle/4

https://www.proactis.com/uk/company/news/2020/july/proactis-featured-gartner-market-guide-esourcing/

Agree, but it would be opening the door to an outsider, which is why there will be reluctance to this... However dbay seem to be quite persuasive. We need some one on there who represents shareholders.

We also know that around 5% is held by senior execs and others in the company. Plus if I remember correctly from when the FSP forced them to declare, all the sub 3% holders added to around 15%... This will have no doubt changed over time but will surely remain between 10-15%.
As such, I estimate around 85% are held tight with around 15-20% being with PI a percentage of which will also be holding tight... I won't let my 0.3% go easily.

Also, there are actually 3 technical support roles on the proactis website now! :-)

Two new technical support roles advertised on the proactis website... Looks like the company is either seeing or expecting an increase in demand.

We now have almost 50% of the company in the hands of 3 shareholders. We know that the 2 iis have an average below the current share price and I'm assuming old rodders either got the shares for free as part of a package or for peanut's...this in my opinion paves the way for a takeover. If you think back to around this time last year when the FSP was announced, we had a larger number of significant holders most of whom had a far higher average, some likely we'll over £1. It would have been a hard sell for the board to convince those IIs that a takeover around £1 was a good idea... Would have looked like a big fail on the boards part. Closing out the FSP caused most the holders with a high average to drop and run anyway and here we are in a position where I think most the iis and pi's would be happy with a £1 takeover... Just a theory.

The below activity was marked as complete yesterday on the Trello BePayd site.

Proactis suppliers
A thorough test will be to trial the product on Proactis suppliers. We will deploy in live to our suppliers and ensure the process works.

I assume therefore that we are now full steam ahead for scaling up. Targeting the buyer side makes most sense and seems to be the approach, sign one buyer and we are automatically available to all their suppliers. This could therefore scale up very quickly now the pilot is over.

Ooops got a random duplicate sentence in there... you get the idea.

Yeah, kinda surprised no rns for the 2 X 2.5m going through, would have thought the rules mean someone had to declare it... Unless that's why it was 2 X 2.5m instead of 1 X 5m?

I would also be disappointed with anything sub £1.20 if a takeover was to happen. We sat at 60p for a while during the FSP and the board obviously felt interested parties were not near their expectations when they concluded the FSP. I would have though interested parties would have had to have be looking at £1 min back then and although the share price has gone down since then, the company itself appears to have strengthened and progressed. I don't think the boards opinion of an acceptable price will have changed at all since the FSP.

I've hear a few people knocking the board, but the board are the same people (on the whole) who took the company from 17p a share to 206p a share. The part where the wheels fell off for a bit was when they handed the keys to the CEO of Perfect for a year or so... this I'm assuming was a requirement of the deal to buy perfect. For the past 18 months the board have been trying to do what should have been done in that first year after the takeover, align processes, streamline the business and implement an overall strategy for the development and expansion of the new business. It seems that nothing much happened in that first year to bring all parts of the new business together and I can imagine a "them and us" attitude developing which is hard to undo. The boards failing may have been that they were a little naive in terms of the scale of the task with perfect and the impact of handing the keys over. But they acted swiftly to take back control and I've liked their approach to getting the company back on track in the last 18months, it's started to show signs of real progress too. Don't get me wrong, it's been a long and frustrating wait at times, but I believe they know what they are doing and patience will be rewarded.

there are a good few out there knocking the board and I

Agree with that... Purely my opinion but I feel if we see dbay reaching 13% then it's more likely they have crossed the line from a buy and hold investment into a potential takeover. Sub 10% would be a fairly typical II holding as it gives them good value if the share price rises but is easy enough with the help of MMS to offload, but holdings above 10% become a bit more difficult to manage... We saw what happened when Armetis wanted out with a 10%+ holding, they had to take a huge hit! So if dbay go over 10% we may have a battle for power emerging and from what I've seen dbay can be pretty ruthless. The board may see Lombard as allies, but if dbay can offer decent returns the table could flip. In fact, anyone looking to takeover (and we know they're out there) will be looking at Lombard with their almost 30% as the gatekeepers, get them onboard and the takeover will happen and swiftly. If dbay do go head to head and we have a bit of good news too we could be in a very different place soon.

Two trades of roughly 2.5m each gone through... We could be free from here.

There are a number of new roles advertised on the proactis website, from sales roles to product development. Not many companies taking on new staff at the moment, but there is a real opportunity ahead for proactis as the recovery gets underway. Proactis are very well placed to take advantage of the recovery having recently reviewed, streamlined and focused the business to align with customers needs. They have also refreshed their go to market approach and connected with a significant number of new partner over the past 12 months. Bepayd has a real opportunity to fly during the recovery and I believe it will, it is only as businesses start back that they will begin to need this service as cashflow will be a real problem. The government support has helped businesses survive the last 3 months, but in the coming months bepayd can help businesses get moving again. I think in 6 - 12 months we could be in a much much better position from a share price perspective.

Great article here on bepayd and the tight relationship with HSBC who helped develop the system. With the large number of suppliers proactis have and potentially with small business HSBC customers being pointed towards the bepayd solution, this could really be gaining traction. Time will tell I guess.

https://www.business.hsbc.uk/en/gb/article/hsbc-payment-solution-helps-bepayd-deliver-cash-flow-support-to-small-businesses?_lrsc=cd7a4ede-5aae-4b79-91dc-494f553c2939

Agree, but the opposite can be said for the buyer and it's clear there is a buyer.

We place our bets and take our chances. If someone bought at £1 and is selling at 35p or 45p they are looking at at 10% variance which might not be worth waiting for in their eyes, for me the difference between 35p and 45p is the difference between a 15% profit and at 50% profit, point being that it really depends at what price the shares were purchased and how patient they are... Let's be honest it's been a long year and a half and although we're much better placed the share price hasn't reacted as yet.

I would guess either one of the sub 3%ers wanting out or the only ii that could sell at this rate and make profit would be Lombard? They are heavily in here with almost 30% although not huge in value for them. But they may want to cut that back slightly... Just guessing though.

Surely this is all driven from the buy side. If it was driven from the sell side the price would surely be dropping much more significantly as MMS looked for buyers to match against the sell volume. You generally can't call the shots on your sell price unless it's significantly below where the price has been sitting for a while, there has been huge volume at 35p over past month or so and it has risen to 35p
from the FSP/covid low (couple of months sub 30p). There has been relatively little volume in the high 30s in past few weeks.

On the flip side, it's easier to call your price on buys if you're buying in volume and you're happy to pay above where the price has been sitting (we were sub 30p for a while there). That's my logic for why I think the large volume is buy driven.

That you off-loading 100k Pete :-)

Agree YHAL, bepayd surely has to bring a positive impact to the share price given its a new revenue stream which has been created with no share price dilution. Tim mentioned it was rolled out to a group of pilot users in Feb, we know they tweaked it to make it even easier to deploy in March/April in light of Covid-19, therefore I expect they have been pushing it to their existing supplier base during April and May so an update this month should provide a good insight into early stage adoption numbers and some initial view of the volume and value of payments processed.

I see we still have mates rates going down today... 88k buy at a rate I couldn't get at any point today... The games continue.

Agree. I had a wee top up of 13500, which seemed to jump the price up. Bit odd as I was quoted 38.8 for any number of shares under 50000, but when it went through everything jumped... Looks pretty tightly held now and free to move. Significant shareholders list looks a lot healthier 65%+ and this doesn't include those under 3%, which there were a fair few disclosed during FSP.

I see the investor page on the proactis website has been updated and has Gresham with 6.39% as a new additional entry to the list, not taking the place of any of the other holders.