Member Info for mattrs27

I dont mind it being WS that take the limelight...we are effectively invested in WS indirectly. DH is the cash raiser for MOD and associated defence projects, but WS is the engine and business behind it.

Imho, if I'm honest, this whole thing has been a way of firstly digging WS out of the tax hole they all but buried themselves in, and then secondly about developing a sustainable NUMBER of business spin offs in different directions to have a proper stab at stabilising, establishing, and growing the business. As far as I can make out, if it works, this is a phoenix from the ashes story. So if WS succeeds, then we all should win.

My investment here was, lets say, a little rushed. I did as much research as I could in the time I thought I had avaialable. I caught the wave and more than doubled my money in a very short space of time. Normally I would have cashed out, but I bought the story on this one. So I've held, but have spent the time doing as much digging as possible. Its broken every rule I have on investing or trading and I beat myself up daily for it.I initially was led to believe that Whitespace was a big deal in AI...initial investigation showed that to possibly be the case. Then the crossover between DH and WS with personnel...it all seemed to add up to something a bit more substantive than the usual pump and dump. But after throwing some money at it, I realised WS wasnt such an established digital engineering company. And had big debt, and was tiny, and had little income. But it was too late then. But I've stuck with it, because I believe in the team. I still have hope. And anyway, I'm nuts deep now into this anyway! Excuse the terminology ladies.

My personal concerns are the level of competition that exists within the field. They are not to be underestimated. There are some majorand established players who will be tendering for all available work. So we need to be blessed with a a bit of Irish charm and good fortune to launch this where we want it to go. But WS having cash in the bank is definitely the right direction.

Https://syncni.com/article/14435/whitespace-secures-series-a-to-scale-uk-built-sovereign-ai

I've answered my own qu.

Was he present here? What was his ID?

I believe the DDAD supplier framework is a pool of 4 contractors with a sum of £50m available for the scope of work, which is currently undefined.

There are some established bigger fish in play for the same work, who have established AI credentials.

I feel we're heading to a fork in the road very soon.

Has anyone the current warrant situation available and if all have been exercised? thx.

Always an interestin read on this board!

Why is it, that even on different platforms, I cannot, absoluteley cannot get live pricing for this company?

I am invested in 16 other businesses. I follow probably another 100. Every single one has to the minute pricing. This...no chance. 15 to 30 minutes or more always behind.

I do not understand it, and it has put me off investing any more than I have in this business.

Is this an issue for anyone else?

The whole conversation about Nvidia and everything hanging on yesterdays announcement I find amusing.

The CEO announced 4 days ago they had an order book already sold through to 2027 to the value of $500 billion! Their margins are known...I mean, how much meat do people want on their bone?

@Caine66

That made me LOL. :-)

You have brightened my day.

I did notice that WS have a vacancy for a project manager who would also need to be eligible for mod security clearance

Thx collective. That's filled in a big blank for me.

People Power. Thx for financial arrangement info between the 2 concerns. I've not managed to find that detail. Where is that declared?

TWK. That's all very positive and sounds rosie.

Tea at 3 for me.

Pie Man,

Yes, that is a concern.

The Holdings side of the business is definitely the cash raiser. Whitespace were not in great financial shape as far as I can see. And the creation of DH has have helped them secure a footing in the market, created seed funding and series A funding. I thought I saw somewhere stated to the tune of £5m, but don't quote me on that. This should be used to fund the development going forward of the product, etc etc.

What is still undefined is, as you say, the financial relationship between DH and Whitespace, and how monies will be attributed.

Whitespace also have established a partnership with another security business which is looking to tend for MoD contracts amongst other things. It is not a listed concern, but the language is similar to that used with DH. The partnership is with Global Consortium Group (June 2025). This is hopefully a revenue stream for the business going forward, but will not serve to benefit DH financially. Although will hopefully help to fund development of the Collective OS platform for mutual benefit.

As far as I can decipher, Whitespace Ventures undertook a possible naval contract up the value of £1m in 2021.

I cannot find any further contracts listed anywhere since then.

There are announcements mentioning they are working with the MOD and are part of the supplier framework, in a pool of 4 contractors with a sum of £50m available for the scope of work, which is undefined. I can also see that they owed HMRC over £1.5m which was being pursued in the first qtr of this year.

Do you have any other specifics on contracts at all?

Nice.

thx for sharing.

Warrie,

Are you referring to me?

I would add also, that with the primary intended client being the MOD, a keen eye needs to be applied to the upcoming budget and how it impacts defence spending. I'm sure that will have some bearing on this.

Simplyred....I agree and asked the question a while back regarding valuation, given a scenario even if it wins a contract of a given value and how it should be derived. I guess pre revenue concerns are always valued around potential vs substance. For me, because I'm a cautious optimist, I'm more interested in establishing its value, given a contract of a certain size. But until we understand how much of the pie we are actually invested in, thats almost impossible to say. How much pie would you give away to what is effectively your marketing department

The pessimist in me at its lowest denominator looks at this and sees a get rich quick scheme for all directly concerned, tainted slightly by one of the directors previous involvement in a dot.com bubble ipo . Similarly for GCG....is there a plan behind the scenes to float this in exactly the same way??

The optimist says, no, these guys have got this, they wouldn't do that. They've made too much of a play. They've got the new Oracle toy etc etc.

Until we get a few more pieces of this puzzle, I find it difficult to see the wood for the trees.

But that's investing right?

Part 2

It struck me that the figures for the Whitespace business seem quite low, but I cannot say without seeing any more financial information.

Total current assets: approximately £4,969,246.

Total current liabilities: approximately £2,236,118.

From this, working capital (current assets minus current liabilities) is approximately £2,733,128.

I originally set out to try and understand the ability of Whitespace to deliver and how successful they have been in converting a pitch to a contract. Certainly the insurance business seems to be gaining some traction. But the partnership with GCG is confusing, and they have not seemingly made inroads anywhere, with it all sounding very familiar regarding the pitch and presentation of this concern.

So I am not going to draw any conclusions from any of this. I need to have more of a rummage. But if others have more info, or can point out the error of my ways so far, that's all welcome.

I've had a dig around to answer a few of my own questions re. the backstory to DH.

Its been covered before but, my take on it.

Whitespace is the product developer. DH is the shmoozer to gain access to the MOD, and also to raise capital to feed into whitespace product development. Defence Technologies is the branded vehicle which is presented and covers both parties.

DH signed a letter of intent to enter into a partnership with Whitespace.

The LOI (Letter of Intent) signed 14 August 2025 states that Defence Holdings will access Whitespace’s tech platform and enter a long‑term strategic partnership.

In the announcement of the binding partnership on 19 August 2025, it states: “Defence Holdings to invest in initial AI capability builds, securing long‑term commercial upside through a revenue share and structured cost recovery on deployment.”

The public communications do not include a breakdown of the amount of initial investment, nor an exact payment schedule, nor detailed cost or cash‑commitments.

Therefore, while there is a financial structure (investment by Defence Holdings, cost recovery, revenue share) it is expressed in broad terms.

So regarding financial commitments, we currently do not know what share of any revenue, or cost, will be born by either party.

So I dug into Whitespace...what is their story.

As far as I can see, they have developed a platform which is primarily aimed at supporting insurance companies. They have some fairly large clients, including Marsh who are now operating the Whitespace system to digitise their business transactions, since September 2024. The primary functions of this platform are to

Digitize insurance broking and placement workflows in the London Market and international specialty insurance markets.

Replace manual, document- and email-based processes with structured digital workflows.Provide a central platform for data-first trading, analytics, and operational efficiency.

So that is the core of Whitespace's business.

Then in June 2025 they signed a partnership deal with Global Consortium Group GCG. These are marketed as a global security group.

GCG announced a strategic partnership with Whitespace to integrate Whitespace’s “Collective OS” AI platform into public‑safety, emergency‑services, national‑security sectors.

Quoted from Whitespace

The announcement indicates: “GCG will bring forward AI capabilities that align with the realities of front‑line and executive delivery… From real‑time decision support to secure generative tools…”

white.space

This is thus a project framework rather than a specific deployment (no named client/agency)

So GCG are also an AI focussed security concern with a partnership agreement with Whitespace looking at the defence market, but with no quoted or obvious revenue stream.

I looked at Whitespace finances. I couldn't get turnover figures as they are withheld. However up to March 25, it posted a loss of 1.5m g

So thinking out loud

I'm guessing the profit margins will be pretty high. Total punt at about 60 percent

So on a 100m revenue the value of the business might be 3 to 500m?

Currently sitting at 50m

So a 6 to 10x uplift on todays pricing?

This is total pub chuck maths here. So feel free to tell me the error of my ways.