The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
Just knowing they will definitely be coming back would be good news. With funding needed, it sounds like it is an IF not a WHEN. Last time Worldlink suspended on a public market, they never came back although they did list on LSE a few weeks later so they had an excuse! Surely this is not a surprise to them so they should have things on the go and hopefully nearing completion. It's not like they are starting the funding round now unless they really had no clue about their own bank account which I find hard to believe. If they are not back in a week, I will be worried. With the RNS issued, I wouldn't be surprised to see bad Accounts news sandwiched between Sunderland and another positive Premiership/Funding RNS and then a resumption.
I can see this gapping higher on re-open assuming no other newsflow hurts us. I can also see that is would be plausible they take it private for two years, execute the business plan then bring it back to the market cash flow positive. I think the Listing was a little early in hindsight. The terms of any new financing will be fascinating.
The relevance of an acquisition by Bet 365, City etc just shot up dramatically in my view. I doubt they would purchase for the patent alone especially if they thought it vulnerable to attack BUT, add in genuine strategic interest in their own core market (in Bet 365's case), and suddenly it is a different prospect. Bet 365 have some big football clubs and would definitely like more. Worldlink have won it fair and square, not a mention of the patent in sight. THAT is exciting.
I think they will be talking to people that already had credit lines on the table but obviously they have to restructure based on where we are. I don't see why Zingong/Funchal won't see this as an opportunity. The long term fundamentals are no different from mid-2011 (except they are arguable closer to fruition) so they should look at this as an opportunity to go for the same long term upside but grab a far larger proportion of the company in the meantime. £1M for 20% rather than 15 million Euros. If they keep up these blue ribband betting deals and settle with City or Bet 365, long term value is still there. In fact, the Premier league thing stands up to scutiny irrespective of the patent. I hope Worldlink do not get hung up on dilution because from where we are right now, 75%-80% of a company able to execute the opportunities is far better than 100% of one that can't. Today's announcement is exciting because it is real, not just Heads/MOU or a promise.
I am amazed you keep saying that. Losses until 30 June 2011 in the Prospectus were £800K just for 6 months. When you take into account the numbers in their OWN prospectus, their run rate just on cost of sales let alone the administration expenses (and totally ignoring the cost of listing and litigation), the £150K they paid to Paros and the £350K (before expenses coming in), they can barely have any money left in their accounts. It is in their own documents dated November 2011. When Jon first posted on here (that I can see), the stock price is 45p. After a 100% rally, it is up to 8p. It is in your own duration with this stock not ancient history. And now we have a suspension. Read paid 50-55 of their November 2011 Listing prospectus. I think they should waive the 19.9% rule with Funchal/Zingong and just raise £1M-£1.5M in cash now. They will easily make that back on the share price by having the funds to close these deals and finally put City Index or Bet 365 to bed. Hopefully good news soon, Worldlink submitted their response to the City Index Counter-Claim for revocation at the start of June. With any luck, they have been in settlement talks.
I have recently come to the conclusion that the Markets and all the variables that impact them are really just a highbrow version of any other type of gambling and is especially dangerous in leveraged forms like spreadbets and CFDs. It is so hard to sustain long term. I have several ex-colleagues that were successful and highly paid traders delivering 5-8% across their portfolios safely who then traded with their own settlements and lost most of it. Completely different emotions and discipline with your own money. Hope you get your money back. Best wishes.
I don't see how this relates to the rather basic function of a listed company in getting Audited Accounts out on time unless they cannot get the independent auditor to sign them off yet. How can they raise money without a set of Audited Accounts? If they need to raise money (which is not exactly a quick process), will these Premier Leagues Clubs go into a lucrative new season without an Official Betting partner or risk leaving themselves a short period to negotiate an alternative if Worldlink cannot meet the obligations. I very much doubt these are exclusive or binding terms because the history of Worldlink RNS releases shows they would state that. What they have done with the RNS is try to deflect the bad news on the Accounts as predicted by myself and many others (although we thought it would be due to bad numbers not a default). More importantly, they have advertised to all the big players in the market that 4 Premier League Clubs do not have crystallised contracts for Official Betting Partner. Do we dare hope Bet365, PaddyPower, 188Bet, Betfair and all the other powerhouses collectively decide to do nothing and leave Worldlink free to meet their obligations? What would you do in their shoes? Wheel out of heavyweight sales/bus dev guys to pitch them very hard. The most important term in the RNS is "IF successfully completed".
Well, after a few very nice days in Nice, I was not expecting to return to this even although it is not entirely a surprise. Missing key reporting deadlines is poor form and there is no excuse. During any listing, the integrity of dates and corporate governance should be paramount especially when faced with retail investors. I think amatureconomist has hit the nail on the head. I am rather stunned they have not given a firm undertaking that a) they will resume trading and b) a date for it. If it was for anything other than negative reasons, they could have pre-warned the market days ago and done so in a manner that did not spook the investors; or if they were only going to be late by a few days, they could have said that. To announce they are late on deadline day with no further information is unforgiveable. I would not be surprised if this was taken private again rather than OTCBB but I agree with southerndudes general comments. For the sake of those locked in, I hope I am emphatically wrong.
Yes, this year has flown by, feels like it should be April with this weather! It certainly looks like a major selling programme has been in place by someone that has depressed the stock in recent weeks. If it has gone, this stock will rise. It definitely feels below its naturally equilibrium. It was a bit odd that it reacted so consistently well to RNS releases but more recently, not much has happened despite more impressive news of late. Smacks of a Selling programme consuming the demand. What do I know, I felt sure 15p was the floor and was very surprised we broke below it. Irrespective of the patent, if Worldlink are going down the route of creating a one stop shop for high volumes of smaller organisations for betting/casino etc, their value should be well north of here regardless of IP. Many outstanding businesses have been successful bringing together other brands and IP and reselling them. Computacenter, Carphone Warehouse, Ebay just to name a few.
In my last post to you this afternoon, i said this "it feels like it is history now so any amount back feels like a win". How is that living in the past? If you can't be civil, do us both a favour and don't address me personally.
very big loss but still have them. to put it in perspective, i was in a severe loss even at 57p. had the whole xetradax situation inbetween my investment and the lse listing plus major dilution. 2008 private round was at circa £120M. no matter, it feels like it is history now so any amount back feels like a win. my experience pales against southerndudes. i think his family lost quarter of a bar in the first incarnation in 2000-2003 when I understand Mr Riches did a runner with him waiting in reception on administration/receivership day.
For everyone buying shares other than us very long termers, everything I have just written is irrelevant. If you can get in a share at 4-6p that can on a whim hit 8-9p, it is a good stock to be in (carefully of course). A few weeks back, this stock went from 22p to 57p in 48 hours. An amazing couple of days that was. Also, this has a good history of RNS related increases so that is also something to consider. DYOR and be careful. I am glued again now we have some people back in this forum!
Not sure City are in the wrong. In fact, being from the financial sector until I retired in 2009, I would doubt an organisation owned by Michael Spencer would bother defending it unless they thought they had a very strong case. In my experience, they would settle (and do settle a lot as there a many cases and claims like this in the financial markets sector each year). Their lawyers are expensive, blue ribband lawyers and they just wouldn't bother especially with a revocation case. They (and the other thirty companies threatened in writing by Worldlink) are not collectively a bunch of thieves. They license software and patents in various areas like everyone else. If NONE have voluntary licensed despite the threats, what does that indicate? However, my view is different to what it was. I bought in back in 2008 on the strength of the patent but since have very much gone to the view that the patent has a flaw in it. This is because of things like the text of the 2006 EPO rejection of the European Patent which is the same as the UK patent (blue print for defense) (search back through my posts), the fact the fact the patent has been around such a long time, WGP have been through several rounds of licensing/patent enforcement (2008, 2009, 2010) with no results despite promises of imminent licenses, the very weak written piece by QC Wilson (which amounts to "there is a chance we won't lose"). Add the facts that there have been zero patents in US ever (12 years) and none in the UK for nine years (and even then only one of the two licensees is for the patent and it was voluntary as part of a tech deal) despite Mr Riches being MD for over 12 years. Also, the fact that WGP still list the European patent as pending since the rejection but have not resubmitted for evaluation in the six years since bothers me. The IPO follows the EPO in most cases. Patents are far easier to have awarded than they are to defend/retain. An examiners spends a few hours on it, solicitors and Judges spend man-weeks. I need WGP to pull a rabbit out of a hat on the patent. I want WGP to win and hope they can but my head says no. However, all will be forgiven if they win and get this price back in the £s.
Looks like yesterday was a very exciting ride and lots of new people in this forum. Hello all! 1091, I understand City Index filed a full defense and counter-claim for patent revocation on the grounds of invalidity in May. Worldlink have since filed a claim in defense/response to the revocation counter claim. The process is typically a conference of some sort in front of a Patent Master and potential the case is then committed to trial. Even if the patent is revoked, Worldlink will likely have a right of appeal. If the patent revocation case is dismissed, it will go to trial or settlement. Don't be nervous, this is what a lot of us long term stock holders (4 years in my case) have been waiting for. Vindication after years of ridicule will make it all worthwhile!
Yes, good point. Good people do their own Due Diligence. I am guessing that even in the worst case of Worldlink losing their patents to revocation attacks, they would still continue as a business down the branded gaming/betting products to Rymans etc so I suspect his role would be no less valuable either way.
That's more like it, looks like a genuine heavyweight from a directly relevant background. I would imagine someone like him would check the Finances before joining too so hopefuly that is also an indication that WGP are a healthy going concern.