Member Info for Inthetin

You could have had a stab at explaining say just one of the three original queries re the Deloitte RNS.

Why bring it up now? What a ridiculous question.

The company's year end has just finished and this BoD need to report to its shareholders what is going on (or not) but they do absolutely everything within their power and say whatever they like to avoid doing so.

This isn't their company (yet).

"The QCA Corporate Governance Code recommends that the Audit Committee reviews the length of tenure of their external audit firm and when the audit contract should be put out to tender. As no tenders have been carried out since 2003, the Audit Committee felt it appropriate for one to be carried out."

WHY DID THEY FEEL THAT IT APPROPRIATE NOW, IF THEY HAVEN'T IN 17 YEARS?

"Following this tender process and Board review, RSM UK Audit LLP has been appointed as the Company's External Auditor for the financial period ending 31 March 2020. This appointment is subject to approval by the Company's shareholders at the next Annual General Meeting to be held in 2020. Deloitte LLP, the Company's previous External Auditor, did not participate in this tender and has confirmed to the Company that there are no matters connected with it ceasing to hold office which need to be brought to the attention of the members or creditors of the Company, for the purposes of section 519 of the Companies Act 2006. The Board would like to extend its appreciation to Deloitte LLP for its many years of service."

IF THE COMPANY HAD SUCH GREAT PROSPECTS, WHY WOULD DELITTE LLP NOT PARTICIPATE IN THE TENDER? IT DOESN'T MAKE ANY SENSE.

"As part of continued operational efficiency and cost management, the Audit Committee has reviewed the alignment of the Company's financial year end with that of its Indian subsidiary, CyanConnode Private Limited. The Committee concluded it rational and more practical to use the financial year end of its Indian subsidiary, being 31 March. The year end of its Swedish subsidiaries will also be changed to 31 March to align with the rest of the Group. Consequently, the Company also announces that it will be changing its accounting reference date and financial year end from 31 December to 31 March."

IN WHAT WAY IS IT RATIONAL AND MORE PRACTICAL TO USE THE FINANCIAL YEAR END OF ITS INDIAN SUBSIDIARY?

WHY NOT CHANGE THE INDIAN SUBSIDIARY TO MATCH THE THE COMPANY AND ITS SWEDISH SUBSIDIARIES?

The balance sheet is the last place Cyan's BoD want potential investors to be looking right now, with its £500K in the bank.

That's why they are hiding the trading update for Q/E 31/12/19 until the end of March'20 and have moved the accounting year end to 31/03/20 with figures (including balance sheet) available by the end of September'20 (what?).

These figures (well, the cash balance) need flushing out. Whatever they say, the fan will be well and truly hit before 30/09/20.

But obviously you must do your own whatever it is.

Just another few weeks?

Date of incorporation 06/04/2003.

17 years and counting and the BoD are still attempting to come up with a business model that actually works.

This has gone way beyond flogging a dead horse.

Hi tonyj

Obviously, people are doing their own research but the answer is the same i.e. thanks but no thanks.

The company is skint. You don't need to be Einstein to work that out and that's what people have done. Until the company explains how it's going to be around in March/April, investors won't touch it with a barge-pole.

If this old banger's prospects are as good as some on here would lead you to believe, where is the real money? They would have sniffed this out by now, if they thought that it had a chance. The fact is that they're not interested in the slightest.

Have a fun weekend.

Hi Imperiallondon

'News' always has to be flushed out though. Photo dated 20/01/20.

Perhaps the Thai news is being deliberately held back. It could be that they're wanting to present the market with a series (at least a week's worth) of good news stories, being their final attempt to get some traction and bump start this old banger into life.

Sorry:

Their bluff will be called SOON enough...

Hi tonyj

Sorry, I don't follow your logic. Nothing that I've posted suggests that I'm anticipating a 'massive declaration'.

More, I think that the BoD are bluffing somewhat when it comes to cash and the options the company has going forward. Their bluff will be called enough and then we'll have a better idea of how the land lies.

After all, the share price has gone up by over 100% in a month, so there's plenty of room for it to slip back down without any positive news.

I doubt that news on the company's cash position can wait until 31/03/2020 though. Less than £1m now?

IMO, any newbies would be wise to wait until the publication of Cyan's unaudited interim accounts for the six-month period ended 31 December 2019 (by 31 March 2020) before investing any of their hard-earned cash.

There's no reason to rush.

Sorry, here's the missing '?'.

A snippet taken from Ian Stewart's (Deloitte's Chief Economist in the UK) article:-

* The structure of business ownership is changing. Since the peak in 1996 the number of listed or quoted businesses in the US has almost halved. The number of UK-listed businesses has fallen by well over a quarter since the peak in 2006.

* In the last three decades interest rates have trended down making debt finance ever cheaper. It has made sense to finance businesses with debt, rather than with equity. Robert Buckland, chief equity strategist at Citigroup, estimates that the cost of debt for US companies is around 3.0%, less than half the 7.0% cost of equity.

* Issuing debt tends to be less onerous than taking a company public and avoids some of the requirements of listed firms including quarterly earnings calls, mandatory disclosures and listing fees.

* There’s also a supply aspect to this process of de-equitisation. Equity markets used to be the default source of finance for a growing business. Now there are alternative pools of finance available.

Might Cyan's shareholders be in for a bit of a shock. Anything is possible.

Cyan has managed to bore the pants off everyone.

Hi LTI

I was only showing you the link to prove when the topic was originally discussed, that's all. You said that you thought that it was from earlier.

Happy to leave it there really.

Hi LTI

If you click on reply, you will see the original series of posts re 10m units from 17/10/18.

Hi CB

This is the link that showed the 10m units:-

https://cyanconnode.com/wp-content/uploads/2018/09/CyanConnode-investor-presentation-Sept-2018-v18-INVESTOR-v2.pdf

If the company could do the decent thing and reinstate it, that would sort it out.

Hi CB

This was the original link. Some of the posts aren't linked because for some reason people chose to break them by re-writing the same subject heading and/or putting another 'RE:' in front.

10m units it was.

As you know, Cyan's own investor presentation has been pulled, so the link doesn't work.