Leap Gaming v Gaming Realms6 Jan 2021 14:50
Much of my reasoning to be in FFWD is detailed in the June RNS https://www.lse.co.uk/rns/FFWD/investee-company-update-leap-gaming-izbqxobos70j2qf.html and in particular, 95% y-o-y increase in revenues (Jan-May 2020 v Jan-May 2019), with more than 30 new customers signed and/or partnerships agreed. Notably, it has also signed deals with ATP 1000 and NASCAR and expanded its footprint to new territories such as Latin America.
Ed McDermott, Chief Executive Officer of FastForward, said, ” As Leap nears profitability it’s an exciting time for FFWD, I believe this could lead to potential liquidity opportunities in a very reasonable timeframe.
When I look at the aim stock, Gaming Realms (GMR), I am even more convinced. Like Leap, they produce games and distribute them to online casino groups. And like Leap, they are moving into profit this year. However, they do not have the same number or caliber of clients. Turnover increased by 40% for the first 6 months of 2020 from just 3m to 5m.
Yet their market cap has now quickly risen to 78m. I can only imagine what the true value of leap is, especially once those 30 contracts are fully functioning. FFWD has 43% of Leap plus other great assets and has a market cap. today of only 17m. Its true value has to be substantially higher.