Member Info for Jimmy_Stocks

**** where it is asterisked out

************* joinchat/L_MlCxswwzgCLGLxTDiuUQ

Link for Telegram group - **********************L_MlCxswwzgCLGLxTDiuUQ

I'm not sure how you join 212, will find out.

There isn't much info posted there in fairness. Just thought that message was worth posting here.

Thanks for the view, hope you're right.

The below was posted on telegram group I'm in:

First half of last year they made about £0.5m gross profit but after admin costs had a cash outflow of about £0.5m.

The only real income was Bricklive, and £80k profit from kpop in Frankfurt.

Those results told us that Bricklive costs had been reduced significantly and it was also the weaker half for Bricklive.

So the second half might have been much closer to break even.

LVCG now has the following additional annual fixed income:

*Start coin: £0.5m
*Kpop fixed fees £0.9m ($300-$400k per show fixed fee - 3 shows)
*Korea licence fees £0.2m
*Japan licence fees £0.1m

About £1.7m additional fixed fee income.

So that should get the company to about £1m cash flow positive.

On top of that there is the following profits:

*Start Art - forecast as £1.5m EBIT for 2023
*Profit share on kpop events. Unknown amount but could be significant.
*Formula E profit. Previously said could be £1m annual profit if they can get sponsorship.

2023 should be £3m+ cash inflow.

There is also the boat race and cycle races. I expect Japan festivals later this year too. All of the smaller events plus another kpop festival could add another 0.5-1m

DCs total fees in 2021 were £261k. We don't know the 2022 number yet as the accounts aren't out. Expect it will be about the same as he reduced his annual fee to £250k a few years back I think.

Which placing mj? Are we going way back? Are you still positive here?

That buy is crazy, whoever got that large at 1.65p

Agree Knigel. Big event like that for the company, shareholders deserve a Trading Update very soon after the event, regardless of whether all monies have settled. The CFO will hopefully be all over it.

Good to see SP moving through the gears. Silly valuation. Back up above 5p and beyond asap please

This licensing and 'de-risked' model as he put it, you would like to think gives more of a chance of coming away from these events in profit. Can he run up £300k in air miles for each kpop event? I'm sure he'll have a good go lol...

I agree it looks undervalued, massively, based on what he is saying. But trust had been eroded and it doesn't matter what he says, because nobody (or hardly anybody) believes him. Saying that he guarantee's they will be in profit this year is not worth anything. He said similar last year and they made a loss.

The only way to change sentiment is a positive Trading Update at the earliest opportunity, then follow that up with confirmed additional KPOP dates and then the analyst piece that maps out projected PROFITABILITY for each kpop event.

He was in Seoul in that interview, I am guessing sat in a hotel just coming off a flight....

Problem with the analyst piece is that nobody will believe it, without any evidence. Facts are we are raising again. After calling for this brokers note it is laughable that I am now saying delay it, but I would rather they delay it until they can do a Trading Update RNS giving at least some evidence of the PROFITS of these agreements.

I'm not sure the brokers note will change much, after everything that has gone on. Positive trading updates reflecting profits hitting the bottom line on the otherhand, we'll be in for a big rerate.

Good to see a rise but the loan needs sorting. If/when Riverfort 56m shares hit the market, there will be plenty of time to average down.

He needs to sort this loan out. If shareholders want to invest then have a look at others ways, that don't cripple the share price.

It seemed they needed funding to get through Q1 and Jason Lee's investment was going to provide that. Now, instead of this investment for shares, we now have him paying a license fee for StART that is not payable until August. Hence the need now to plug the gap with this short term loan.

I think it is a cash flow issue but was Riverfort really the best option to get the money?

You'd think he would have the decency to explain the reasons suedee but it appears like cash flow management is not one of his strengths.

So many questions. What happened to this...'Mr Lee has agreed to subscribe a further £750,000 at 3p per share (25,000,000 new Ordinary Shares) in tranches over the period January to March 2023'

I would add, I am speculating the Jason Lee investment isn't happening anymore. I don't know for sure. Just seems the obvious reason why they have had to draft in this short term loan.

So where I am sitting, the Jason Lee £750k investment at 3p was going to take them through Q1 and Q2.

Now that ship has sailed and Jason Lee is stumping up £300k cash on 1st August for this StART license instead.

So they need money to take them through Q1 and Q2, which is where this short term loan has come in.

I suppose they are damned if they do and damned if they don't, because a raise at these levels and we'd all be moaning about dilution. Clearly the StART physical shows and BrickLive are not paying for themselves in any great amount, with the constant need for cash. All this talk of Formula E and those fees haven't brought enough in to starve off more need for handouts.

It explains the valuation, because regardless of the assets, the business is still cash hungry.

I assume this means Jason Lee is not stumping up the further investment?

It just shows how badly beaten down sentiment is here, to get this reaction. Market doesn't trust the news.