Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Andys had what, 5 years? to drive revenues... In that time he's done
£7.5 Million of Revenue
A Net loss of £8.41 Million.
How do you spend £16 Million to make £7.5? I dont get it.
On top of that he's
****ged of BT.
Then acquired a BT Reseller
Done multiple dilutions
Seen a share price from 9.25p to 0.08p
Allowed the directors of an acquisition to get out before it explodes or as rampers claim, cash in debt for equity.
Done 7 equity placings to raise cash.
Andys been out of Talktalk for some time, yet ramper's continue to bang out about his heritage of 25 years in the industry. The last five have done nothing but lose money. Not a great heritage.
Is it time to ask whether he can run a small telco that needs to be nimble in the same way he ran a division of a billion dollar turn over business? Running a division, and running a business are two different things.
Nothing exciting will happen, 10.05... We are pleased to announce all resolutions have passed.
Not difficult to do when theres now major independent shareholders? Trying to get everyone to vote against it would be a waste of time.
Makes you think though, Only last week the directors dumped 25% of the company.... what do they know about whats coming?
If they believed it was the right thing to do and would increase value they wouldnt have sold £1 millions worth of shares at issue for £450k.....
Theres no RTO here, DMSL was not an RTO they skirted round it on a balance sheet basis.
They are asking for two separate options of £2.1 million in shares in the AGM. The first a general power, the second an extended ability for if they feel like it or it someone claimed a rights issue.
Basically the 4 Billion in issue today, the BOD who have been proven to bend the truth at best before, will have the ability to dilute you, tomorrow there could be 10 billion in issue.
That doesn't include the billion or so share currently available on options at various levels.
Of course theirs the argument of Toople being better funded at the end of it.... but experience and the RNS releases show the only think Andy and co know what to do with money is Burn through it at an horrific speed.
Which bit is nonsense? You do know the AGM is tomorrow??
And the vote is to allow up to a £4.2 Million of nominal value shares?
Nominal value of 0.0667 pence each.
Isnt that another 6 billion shares?
Which bit is nonsense.....
Copied from the AGM notice
That the Directors be generally and unconditionally authorised pursuant to Section 551 of the
Companies Act 2006 (the Act) to allot shares in the Company or grant rights to subscribe for
or to convert any security into shares in the Company (Rights) up to an aggregate nominal
amount of £2,111,971 (£1,547,481 of which represents the balance of the authority that was
granted at the Company’s General Meeting on 17th February 2020 following the acquisition of
DMSL) provided that this authority shall, unless previously revoked or varied by the Company
in general meeting, expire at the conclusion of the next annual general meeting of the
Company following the date of the passing of this resolution or (if earlier) 15 months from the
date of passing this resolution, but so that the directors may before such expiry make an offer
or agreement which would or might require relevant securities to be allotted after such expiry
and the directors may allot relevant securities in pursuance of that offer or agreement as if the
authority hereby conferred had not expired. This authority is in substitution for all previous
authorities conferred on the Directors in accordance with section 551 of the 2006 Act.
SPECIAL RESOLUTIONS
9. That, subject to the passing of Resolution 8, the Directors be given the general power to allot
equity securities (as defined by Section 560 of the Act) for cash, either pursuant to the
authority conferred by Resolution 8 by way of a sale of treasury shares, as if Section 561(1)
of the Act did not apply to any such allotment, provided that this power shall be limited to:
7
9.1. the allotment of equity securities in connection with an offer by way of a rights issue:
9.1.1. to the holders of ordinary shares in proportion (as nearly as may be practicable)
to their respective holdings; and
9.1.2. to holders of other equity securities as required by the rights of those securities
or as the directors otherwise consider necessary, but subject to such
exclusions or other arrangements as the directors may deem necessary or
expedient in relation to treasury shares, fractional entitlements, record dates,
legal or practical problems in or under the laws of any territory or the
requirements of any regulatory body or stock exchange; and
9.2. the allotment (otherwise than pursuant to paragraph 7.1 above) of equity securities up
to an aggregate nominal amount of £2,111,971.
But at the same time the directors who were invested... no longer out..
They were valued at £1m.... they sold for half that...
They are running the business but chose to sell out completely...
Clearly they have no confidence in the business... yes the banks full again but itl be empty again in 3 to 6 months.
The Carters are in there on a daily basis.. they can see whats happening.
They've sold ALL their shares from the acquisition, at basically Zero Value... All they have left is options at 0.1, its currently 0.06, why would they ever take the option.
The largest shareholder just dumped everything.... 25% ownership.... to zero... and they go virtually ZERO for the shares
The consideration for the Acquisition is £1.56 million, subject to post completion adjustment, to be satisfied by a cash payment of £460,000, the issue of 1,050,000,000 new Ordinary Shares in Toople (the "Consideration Shares") at the Placing Price, and the issue of Options to acquire up to 800,000 new Ordinary Shares.
Ask yourself, if the MD of the acquisition no longer has skin in the game and has accepted selling them off to clear debts... what possible is positive about it...
Next RNS is going to be the huge dilution of shares authorised at the AGM.
1Gb/1Gige secure data connection into their purpose-built premises, Wholesale Cost around £400, resold at probably 450 to 500
alongside 34 business mobile connections. Wholesale on unlimited everything is now around £12.99, say £25 retail £850 a month
as well as an upgrade and redesign of another secure data connection to an additional site, substantially increasing bandwidth from 30MB to 100MB on a five year term - Again around £190 a month wholesale, £250 RRP.
Total sale price £1500 a month, Margin £500 ish.
No clarification if they are billing it... or BT are paying Commission. If the latter theyve probably been paid £20k on it from connection.
Not worth the RNS, Id expect a company like toople to be signing these daily, it concerns me they consider a deal of that size new worthy to be honest.
Opto1, Completely and Id agree, but if all people read is the rosey PR and ramping and nothing on the other side... then people can make an incorrect decision at the right time.
People that brought on the 11th are currently nearly 50% down, and of course, most of those positive posters are now no longer to be seen...
Ha Opto1, Scroll, there is some, Im just a realist, not a dreamer, and I dont want people spiked on this.
When Toop started, I liked what they were trying to do, their own portals, their own billing, there was a method albeit in MicroSME which is a painful market. The core was good. Andy even had the rhetoric of the incumbent BT being the devil and doing something different.
Now, Toop are effectively a BT reseller, Not doing any more billing themselves, theyve dropped the portal they developed and were using, have no automation on their website any more, have dropped any parters or resellers because they were "low margin" (Any margin at the moment would be useful tbh)
Yet, some people think change is near.... DMSL revenue will never increase because they are limited by BT in the area of trade. Toople revenue is down, and they are churning customers. Losses are up and a third of income is being written of as bad debt. Given 50% of revenue is paid by BT which is pretty secure, the bad debt is even worse than the headline because it suggests a huge proportion of what they have billed directly (which is where the value is in telco) is poor quality customers.