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Unhooked- yes that's absolutely true, the background is horrendous, even the collapse of Banks that fund Tech companies is a downer, irrespective of Loop not being directly impacted.

Lets hope the company is doing well behind the scenes. even if they were our management wouldn't bother telling us.

Looks like the SP was marked down because of a 600, 000 sale and buy back yesterday - maybe it's going on again this morning as the sale was a late notification.

As we are at the end of the tax year this is a likely time for bed and ISA or personal pension transfers.

Precipitating losses on shares that have performed badly like Loop can offset Tax on wins in other shares, rebuy them in an ISA/ Pension and the shares are retained for any potential gains.

Just a thought, also after the 5th April, potential investors have up to £20 to invest in ISA if they wish.

I'm probably wrong, but it is the time of year people thing of tax, some will also have an eye on Hunt's budget in case he raids the stock market - he's got no restraint now, IMO will do the nasty on anyone and everyone to grab cash for the pre-election give away. But what do I Know - nothing I'm just a sceptic

Events are moving keep up with it - or should I say "Keep aware"

Sorry if I interrupted anyone's Nap.

Vic - that's fair comment, and I think you are right that they need to actually demonstrate any change (no more jam tomorrow I suppose).

I would point one thing out though, the historic business is allegedly profitable irrespective of the contraction and the company was/is losing money because of the expansion activity and level of overhead necessary to facilitate expansion.

The new business will largely be serviced within that overhead so will in theory shift the company into profitability.

As the perk seems to faded out of our perky little share, I thought I would do a little assessment of what the revenue of out new business venture might be, bearing in mind the company expects to generate £5m profit from it.

From RNS:
"Following the successful transition of PGi Connect Meetings business and the commercial progress achieved in Cloud Telephony, the Group now expects FY 2022 revenue to be marginally above market expectations at no less than £15.5 million (H1 2022: £6.6 million). FY 2022 EBITDA is expected to be marginally below market expectations, due to higher PGi Connect transition execution costs, but is not expected to impact FY 2023 profitability."

So H2 turnover is £8.9m (15.5-6.6) with a 2 month (2 month period of invoicing for the new customers) contribution from new customers, Oct and Nov will be invoiced and December will not be paid this year!

Assuming the revenue from other business is steady and revenue from the new business is 1.5 times the existing (that's the proportion of a revenue boost they indicated in last RNS) . The new business monthly revenue is:

1.5x 8.9/6+2x1.5) = £1.48m/ month if my maths is right

At £1.5m/month it equates to £18m revenue/ annum and if the company holds it own on existing business (and by now they should be expanding cloud business significantly) it provides for a 2023 revenue of over £30m (18 + 2x6.6 with the 6.6m being the H1 2022 figure)

Yes it's a very rough calculation but it makes a market cap of just £7m look ridiculous

You're absolutely right Pokerc - I am influenced by my history with Loop, no one wants to company to turn this around more then I, but I try to remain positive but balanced and never advise others to part with their cash.

I generally pleased with any new interest and jamrock's purchase is most welcome. I'm more concerned with the ********** interest, it is invariably fleeting and usually end with a sell recommendation, those buying based on that type of charting are invariably fleeting visitors and in my experience end up trashing a share price after a surge (lemming mentality prevails, the majority always do well so the strategy works).

Hence why I hope it is something else driving the minor improvement - hopefully one of those big leads signed up.

Yes, we are all glad to see some interest and upward movement, but it is really meaningless to see such a small movement based to a few grands worth of shares. In response to the last poster, it's a little insensitive to buy in then immediately tell shareholder who may have lost the vast majority of their investment to pump move money in - why don't you buy more yourself, looks awfully similar to a pump and dump effort I truly hope it isn't. Those retaining shares give very careful consideration to investing more and I for one of the 10 or so BB followers will only buy on solid evidence, not a chart or a wing and a prayer. Apologies if it seems a tad harsh.

I'm not convinced Vox Markets/Zac Mir have much to offer - looking at charts is effectively problematic (to say the least) with such a small unloved company where the main problems are driving the SP not any technical investment strategies - to be honest IMO the last thing we need is the likes of Zac and his followers on the case, even singing the praises, as the viewpoint is often changed swiftly based on no more than trends and ultimately results in a sell off based on some chart interpretation - many shares have suffered. Much better to simply wait for news to make meaningful and sustainable progress IMO.

I took a look at what might be going on in the background on Thursday, before the movement. as ever practically nothing to get a grip on, but I did take a look at LInkedin and for me it is striking that some longstanding and prominent second line manager have left the company in the last year, especially those involved in marketing/PR/sales support. No one is publishing anything anymore or announcing events.

It's a little concerning that longstanding staff leave, but we really don't know if the Directors precipitated this (they RNSed a few years ago about clearing out underperformers in their sales PODs - they they can't weed themselves out.

Anyway it doesn't seem to be impacting sales (but we shall newer know as they don't fess up to problems), interestingly I also found an IT services company apparently recruiting for a LOOPUP job . They seemed to have inadvertently put the word Loopup in the middle of the AD, as they provide staff and management services I wondered if Loopup had outsourced some of the services as taking on the rapid and sporadic expansion requires quick responses which Loopup might struggle to handle alone. If they are subbing services the upside is they can expand more rapidly than I feared and right size the business without destroying the salary structure, but again they will not want to ever admit it.

Lets hope next week bring further SP increases and for clear reasons we understand.

Looks like the bondholders could be the ones selling of even shorting the share in the run up to exercise of conversion - it's a lucrative no risk strategy.

However this is in the long run positive as every time a £ million of debt is exercised the debt burden, the interest and also the power of the bondholders to hold the company to ransom reduces.

Once the conversion is exercised the bondholders no longer stand ahead of us in the pecking order of creditors (now if the company goes bump they will almost certainly get nothing), so logically they must believe the company has a future - I also believe the company needs to consult them as stakeholders and get approval on any capital restructuring deal (new loan/joint venture) so perhaps they know its a good time to own shares.

Bondholders are often the most aggressive vultures in the the market. quietly sabotaging a company to maximise their returns and even grab ownership, shorting companies from a secure position and taking up a position that blocks a company from taking action to resolve problems - so for me, though annoying, the bond conversion is very positive.

Lets just be clear, except for COPL itself, all those involved in the capital/partnering initiatives benefit from a crushed SP and may well be helping it on it's way until a deal in preferential terms for them is concluded - it doesn't mean they don't have confidence in the company, it is simply an opportunity to profit.

Of course, PI's always oblige by getting spooked easily and running for the hills.

So we have a dozen (minimum) interested parties who read the BB, which when we take into account those that are short or simply watching it equates to bugger all support.

It is sort of concerning that the company is all but abandoned by PIs but also a real positive that if the company does garner some new supporters by reporting some new achievements I'm sure the SP could soar - our IIs are not pumping money in just for the fun of it, they are savvy (rich) invertors who in at least a couple of cases know the company inside out.

As ever we must be patient and sit it out or throw the towel in - thanks for voting by the way it gives a perspective on who might be trading and it's not us.

Could everyone that follows the BB even if you disagree with my views please vote up this post so that we can see how many actually follow the BB, I suspect it will not reach double figures.

I promise I won't get swell headed if it does, it would just be interesting to know if we few posters are basically talking to ourselves - someone posted recently that the last out should turn off the lights, maybe they've got a point, but hopefully as David has just pointed out we will get some good news imminently

Midas - "BoD where there is deadly silence need to do something about the decline in the share price, and at least give us an update on the current situation"

Yes they do need to communicate what's going (good or bad)and their plans/strategy in more detail, but they cannot release RNS's to control the SP, that's manipulation - so if they a not doing well or have poor plans that could more news may actually hurt the SP.

They must get on with the job an make a success of the business, that is the only cure, what is hurting is the natural tendency to assume things are going badly in the absence of news . The obvious fears are of going bust or taking the company private - they could dispel those fears by articulating a clear plans and a strategy.

One thing that really bothers me, especially for a technology company to through a transition is that the website, Linked in and social media outlets etc appear neglected like they have put up the shutters - it's not a good look to potential clients. They where trying with Ben Lee and others producing content and making the website live but appear to have abandoned that now, projects a lack of ambition/engagement/belief.

It's not surprising the SP is where it it.

Poker - if they can convert even a reasonable proportion of them into sales it will change the whole dynamic of the company - it's worth noting also that they eluded to some potentially very big clients in trials and broader enquiries in the RNS and that they reverted to ARR potential instead of 3 years value which they where originally projecting, almost certainly after they realised to more cautious rollout clients wanted made them meaningless aspirations.

Nevertheless, they have stated that clients tend to want contracts of 3 years which effectively provides for an order potential of around $300m and rising. Of course only a fraction of that is likely to materialise, but they only need a fraction to make the business a success.

Loopup may be mare secretive than MI5, but Telefónica’s boss has recently discussed his company's viewpoint technology and training upskilling at the World Economic Forum - I guess a prestigious event.

He appears to have strong views on disruptive technologies for an establishment figure.

Apparently they have committed €100m of investment developing an Innovation and Talent hub, and their Universitas initiative is part of this - even if Loopup are not mentioned directly - having a senior executive pointing out the benefits can't be bad for Hybridium. They are clearly committed and not penny pinching so it will be a great commercial test for the system.

Extract:
"Last year saw a slew of announcements in the Group’s home market, Spain, where Telefónica is investing in upskilling and reskilling its workforce. Early in the year, Campus 42, the Group’s programming academy, was expanded to four Spanish cities, and progress was made in turning the Distrito Telefónica HQ in Madrid into an “Innovation and Talent Hub” by 2024, utilising €100m of investment. As part of this, Telefónica launched Universitas, a “corporate university” for in-person and remote training, and partnered with cloud communications software provider LoopUp Group to equip the centre for hybrid upskilling events."

https://www.telcotitans.com/telefonicawatch/alvarez-pallete-public-private-partnerships-key-for-future-of-work/6086.article

I always thought it was a very good deal and the more I have considered it the better it looks. On the face of it it is Excellent.

Normally a massive boost in turnover coming out of the blue coupled with bullish projections for the long term business would send a companies SP soaring - but not here it just went down further.

They (the 2 CEOs) have screwed up so comprehensively with prior plans and projections that the market simply doesn't trust their competence to deliver. It's going to take time and good news flow to turn it around.

However, that does not change the fact that things appear to be improving significantly and the new turnover should make the company's underlying business profitable and allow plans to be realised. All great

The sting in the tail is that it hinges on the CEO's having done their homework diligently and not ****ed up on calculations or projections - many believe they are incapable of anything else and simply run the business to line their own pockets (not me of course lol).

So here we are the last PI hold outs with the SP reflecting a company with no future and at the same time a company with falling debt, projecting significant growth and profitability.

Perhaps if they were more open with investors they would enjoy more support but their natural operating mode is to say nothing other than what is unavoidable - since Ben Lee left the web sessions have died out and there have been no new Customer stories or significant initiatives. So no wonder the SP is still under downward pressure, not to mention that they keep dipping their fingers in the pie with cheap share options.

For instance, what happened to the Cisco cloud Comms initiative or the London Hybridium centre we were developing, maybe they are progressing well, maybe they are abandoned - the point is they need to start providing Investor Relations to build trust and confidence, but it's not in their nature and there advisors are defending secrecy due to commercial sensitivity. Who are they kidding whatever Loopup do it is not eagerly followed by competitors. I'm sure the directors of the multi-billion $ competitors are worried sick about minnows like Loopup.

That me, not gushing with faith and optimism, but still seeing a very real possibility of a major turnaround - I think all those left understand the situation.

Op - good post, but I would suggest NEW reserves or discoveries are not to be included in the RBL. The smaller the package of security the better and Arthur has already said the deeps are not factored in.

Yes, the lenders would love more security but as Arthur as also pointed out the lender will require hedging as part of the deal, it is the norm and unavoidable, so it is best done on the smallest acceptable portion of the company's assets/ production. So the prevailing oil price may well influence when the company triggers RBL especially if the company not expects it to rise - locking in too low has been at the root of many current problems. If the company keeps their assets unencumbered then they are in play for the a lucrative JV without any penalties or approvals required

One thing is for sure in the case of reputable lenders, if the company looks healthy and moving in the right direction then they are more inclined to lend and on better terms So today's RNS is a win for everyone, even for current lenders as they have their risk of default diminished

Not the RNS we need, but no damage unlike recent updates.

Looks like trading has slowed to near nothing again and the last little flurry was actually out very own reliable director pushing the SP down to get their cheap shares - oh well you've got to feel for them, only earing a few million out of the venture.

I really wish I had a huge tax liability - you only get that if you earn mega-bucks, it's farcical when rich people crumble about huge tax bills, I guess it's awful being rich.

Moving on, as I'm straying too close to politics, I just re-read the last trading update as you do and noticed that the deal with PGi Connect involves sharing profit with them. I thought perhaps 50:50, but I missed the significance of note 2:

The statement " the Group will pay PGi Connect a share of invoiced and received revenue1 from successfully transferred customers for a period of three years."

The note "Approximately 13% on a weighted average basis"

So it's not based on profit and it's a relatively small proportion of revenue that allows to company to fully benefit from efficient management of the new customers It's so much better than the deal I thought they may have struck, if they manage it carefully and keep mark-up high (at current levels) they should make great profits. From a PGi connect perspective it means they get something even if Loopup screw up the job.

IMO it really was a good low risk deal.

"The Amazing Power of Compounding"

Warren Buffett has often spoken of the principle and built his fortune never inventing anything but by steadily piling on value year after year. Another famous example is IBM who at one point became the biggest company in the world by compounding steady growth over a few decades decades

So yes, if Loopup can start to show steady growth that will do me, small gains week on week will see make for a strong long term recovery but equally important it would see an improvement in confidence.

Amazing potential here, company has had a major injection of revenue to see them through to supposedly profitability with cloud comms.

All still to play for - we all know our management team have alienated most investors so no (few) buyers in the open market - the SP is truly atrocious but is understandable until they provide an update that they are cash flow positive (should have turned positive last year but failed) and/or some clear evidence that Cloud Comms is a success.

Not time to turn off the lights yet, however much you may crave it.

There is practically no trading, so easy to take a £million off the market cap for a few grands selling - but the positive is that very few are selling so the SP could soar on good news.

There is genuine potential here for a total loss or a multi-bagger - we really don't know as the BoD have been so incompetent

To a great extent PIs are their own worst enemy, trading in and out for no sensible reason and running for the hills in the face of any news that is not understood or perceived as anything other then excellent.

Many have commented on this time and time again that a huge number of those that call themselves investors are actually traders, one minute some are glorifying the company then have sold up almost as quick - clearly it's not everyone but its a trend that is worked to great advantage by MMs and other assorted enemies.

Fortunately it's not significant shareholders and is reversed very easily, I read the last two RNSs and saw no problem with either which boost cash balances, in fact both suggest high expectations from institutions - to put money in.

Lets be honest if the announced a capital raise the griping PI's that claim to be injured would shun it whatever the offer and trash the SP for good measure. Arthur has done nothing wrong except not get the oil production higher (that solves the cash problem) - with the mood as it is, raising interim capital has to be done without any fanfare, surely everyone can see that.

Another positive from raising extra capital is that it strengthens COPLs bargaining position wrt RBL and a JV - given a sign of weakness those parties would skin us.

I have noticed that the Canadian and UK listings are aligning much better as the SP has risen, with the Canadian market reflecting the gains on the UK market earlier in the day.

That is very positive and to me suggests parties are not attacking the SP playing one market against the other - it was always disappointing to see gains on the UK market wiped off by the other and vice versa which IMO them tamed the market next day (sapped any confidence). For months it has been very noticeable for many sessions with the UK price crumbling in the afternoon as anxiety over what Canada will do takes hold, not withstanding that on most sessions bu**er all was traded.

What I'm pointing out is that perhaps some of the manipulators that kept the sp pegged that Arthur eluded to have backed off, if so they will be back unless the company delivers some good news of course - I suspect the market will give the company a month or so before anxiety sets in. .