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It can't have been that busy, they have a tiny office in a south London suburb and the average number of staff in their accounts per year up to and including the November listing is two. 2 members of staff. On a wider note, they have been doing this in some form since 2000 but every time they resurface and people like SD and myself warn new investors, we get attacked and invariably accused of living in the past. Have a read of this from 2008 when they released their Arc Prospectus claiming they would take over the world by 2010. http://boards.fool.co.uk/worldlink-group-10952928.aspx?sort=whole Neil Riches has been the MD of Worldlink since 2000 in some form. The highest revenue figure since 2003 is £50K. They have raised money in 2008 via Arc (the one I lost on) at £120 million market cap using what can only be described as a barely legal scam (the people that offered a 15% "discount" against the £120M valuation had also been gifted a huge amount of shares at nominal value and it was those shares being sold to us). They announced their AIM listing in 2009, the one Paros sued them for but only managed to get £150K. They listed on Frankfurt in 2010 at 55 million Euro and crashed. They announced 5 million then 15 million of funding from a Chinese bank that doesn't exist. Despite being 22 cents on Frankfurt (market cap around 3 million euros), they listed on LSE back at £52M market cap barely 8 weeks later. They announced a one man band with no funding was going to make an offer (One Media). The company that wrote their Broker note promptly went under and re-emerged as Worldlink Brokers. The QC only read Worldlink provided documents and did no independent searches. No patent licenses ever since. The 2006 European Patent rejection phrased as "patent pending". And still is. They announced a company had licensed patents in Africa and India despite not even having patents there. They announced big patent licenses were imminent via QPRC in the US in 2009 and 2010. Mr Riches had a £500K loans listed against him in 2009 which wasn't in the 2008 Audited Accounts and no proceeds in 2009 either. £156K of cash interest paid against these "loans" to the Directors. I could go on and on. You can read their press releases all the way back to 2008. Apparently, some of us are "living in the past".
WGP never announced Fulham via RNS or even as a news item on their website. Fulham announced it but not WGP so they have nothing to retract that they have 'officially' said. I suspect Sunderland and Newcastle were paid their first instalment so the deals have not fallen through and are valid at present. We can only guess at what is going on contractually. I doubt the admin person answering emails for Sunderland or Newcastle will respond with anything other than the prevailing position. As of right now, WGP is the official partner for both.
It would be us buying the coffee no doubt. However, it is not 5pm Friday yet. I am sure they are further delayed due to unexpected sickness or the company was focussed on the AGM etc. In any case, if it is the end, looking back over the 5 year history of this incarnation of WGP, HMRC and the SFO may be more appropriate than the FSA.
In the last 24 hours, he has deleted all references to Worldlink from his Linked In profile completely. Totally disassociated himself from them. I think I can understand why he is very unhappy especially if he used his contacts and influence to get the deal on the table only to see it fulfilled and not be paid for his efforts (if that is what has happenede as alleged). However, I suspect his reputation as a strong deal maker/broker will be unharmed.
You would think it is counter-productive for people that are owed money but know the company to try to wind them up. All of their assets are effectively good will so it would not benefit them. It would be cutting off their nose to spite their face. Better to settle disputes with shares so at least you have a chance of a comeback. Even the old Auditors can take that option now they have resigned which removes the conflict of interest for this type of consideration. Let's hope City Index don't get wind of it because they will petition for security if they haven't done so already.
Sadly, there are a multitude of reasons why it would greatly help the Directors if they can issue a substantial amount of shares without recourse to shareholders under negative circumstances and there are rarely good reasons for needing such a huge amount of shares on hand to issue (they can now issue 2.5 times the total shares in existence without even asking us). It could include a "cram down" which is a heavy downround to grab equity back for themselves or a new investor. We not longer have pre-emption rights. The economics of many investment contracts break down under these circumstances (very common at the end of the dotcom boom when private investors got badly hurt in favour of institutional investors looking for bailout bargains). If an investor will put up £1million for 70% of the company (for example), and the only alternative is administration, WGP really have no choice and would need to issue a huge volume of shares which is bad for us but better than nothing. Another thing they could do is issue themselves with extra shares (bonuses, loans etc) without our permission to edge them over the line where big decisions can be made unilaterally. If this happened and they delist, there is also nothing to stop them putting in £50K of their own money for 100 million shares. They were very close to the thresholds in the Articles from the loan conversion earlier in the year. They could need the shares for Equity Line Funding options which have an effect of heavily depressing share prices. The GOOD NEWS is, whilst it may not be a great deal for us, administration would seem unlikely. Famous last words! A bad deal for us is possible though and let's not yet rule out the fact that they may have alternative funding available to resolve the Fulham issue. I wonder if Sunderland and Newcastle are being paid in installments. This is the norm in sponsoring deals and further payment milestones for WGP will be coming.
I think you are about to go through an experience very similar to Southerndude in 2003 (or was it 2001). Can you remind us SD? If I recall, you also bombarded him with calls and was in reception waiting for a meeting with him when they went into Administration the first time. M4, those no win no fee lawyers might be simply no fee lawyers in the next few days! Fingers crossed for recent investors who have money in. I am surprised to find myself disappointed again. I had totally written off my 2008 money as did all of us long termers but I must admit, a small window of hope that I might get some of it back did creep in. Let's see what happens.
Has now been modified. Posts removed and replaced with "Worldlink Status - Please contact me directly for further information on my email details on linkedin." Smart move to ensure he is not in a precarious position litigation wise.
It looks genuine to me. You can link to it from Stephen Pearson's official LinkedIn profile. The same LinkedIn profile people were lauding when he was appointed. http://www.linkedin.com/in/stephenlpearson
With WGP suspended (and the SP unable to be harmed), Worldlink willing and able to answer phone queries in response to these allegations, an AGM the day after Cityboyz comments attended by Officers of Worldlink (where they could be immediately refuted) and the very specific (and potentially damaging) nature of the comments, what would he have to gain from his comments in an environment where they can be crushingly exposed in quick order if they are lies? Either his comments are accurate or he is very stupid. My suspicion is the former.
Well, I am not in a position to confirm the veracity of the statements but it is interesting to note that Stephen Pearson has very recently updated his profile and it states "consultant to a number of global gaming ventures including Worldlink Sports/Betbutler....” Therefore, it looks like he was never an employee afterall and potentially just another hired name. We know Worldlink cannot pay their Auditors fees and are under dispute with the. It is therefore not inconceivable that a consultant/contract based CMO might not be paid also and therefore be disgruntled after his efforts on their behalf. It would explain the information Cityboyz has been given if legitimate.
I believe it will be an asset on the balance sheet initially valued at the post money investment price but from then on, the accounts of the subsidiary will be required by the Auditor each year to place an up to date approximation of the value which is usually based on Balance Sheet unless superceded by an arm's length share transaction in the company. The balance sheet may include a large amount for Good Will (a large Good Will number is usual WGP MO per 2008 Arc, 2010 Germany and 2011 LSE listings). The valuation is less relevant now as the WGP price is determined by market forces.
Is your comment at 20.49 genuine or a tease? I ask in good faith as there have been a fair few disingenuous posters in here and your comment is about as serious as it gets. I can be a little slow on the uptake with jokes and wind ups. In truth, it would not surprise me.
That would be an extraordinary move if they go on OTCBB and would send poor messages about their motives. Far better to take it private again, work hard on the opportunities and relist EBITDA positive in 2 years time. Whilst I have my doubts about the management after 4 years with WGP, I would be very surprised if they took that route.