Member Info for MB10

SPAngel note concluding para.

‘Outlook: The past 18+ months have been very challenging for LVCG. However, given the recent acquisitions to diversify revenue streams and leverage existing networks and expertise, we can see a bright future for the company once live events and social activities return to our daily lives. We look forward to the balance of this year with the launch of Start Art and the organisation of live events by the LCSE division. The multi- pronged revenue strategy should help to rebase operations, diversify costs and expand the brand’s reach. We believe there is significant pent-up demand by consumers of all ages seeking greater experiences that will drive success of the business model.’

https://*********************/companies/uk/other/live-company-group-plc/research/sp-angel/sp-angel-spec-sits-acquires-stake-in-start-art-global-lvcg-ln-/7_2021050503591112781

Anyone wanting to see the potential of NFTs should read section 2 of The Times today. Some quotes

“Non-Fungible Tokens have become big business for investors and artists of all stripes. At the edge of tech, they are being embraced by early adopters keen to make millions”

“ NFTs could be the next cryptocurrency, a valuable vastly ballooning investment opportunity - if they get in in the ground floor”

If the market cap was up at £50 million you could understand some of the comments, but last time I looked it was just £5 million. Even during the heights of a pandemic year where there were lots of lockdowns, they still managed £1.9 million in revenue and there is every indication that they are headed back to the pre-pandemic levels of activity in Q3/4. Even yesterday they were talking about running out of assets. Pre-pandemic levels of activity for bricklive alone would give close to £5m in revenue and with all the assets already paid for, a good GP on that. Then there is the already revenue generating new business which with the cycling and other activities could easily bring in the same again. Then factor in the costs savings and there is a very good chance of making an actual profit this year, and 2022 looks like it’s going to be completely packed. So the growth story and covid recovery is pretty good and that’s even with funding the latest business.

Just a serial troll, thanks for stopping by. Looks like nobody listened to your sub 1p nonsense either, least of all the institutional investors soon to be on the register that were happy to take shares at 5p with no warrants. Good luck in whatever you are invested in though

PS I note that you really hate people trolling shares you are invested in (and I mean really hate it), so what does that make you then?

“introduction of institutional clients into the register”. That indicates that there will be TR1’s released soon. No warrants for the placing either so no flipping the placing shares for risk free warrants. Whoever it is obviously thought there was value and a growth story, and they were exposed to the full details of the latest aquisition. Guess we will have to see?

Worth a reminder of the linkages to the potential setting up of Cape Town as a formula e venue. Those links included:

- Support from Jaguar South Africa
- Ian Banner, involved in Rothmans motorsports programme in the 1980s’
- Johann Ruhr, 2nd wealthiest person in South Africa
- Dave McGregor, MD of Kyalami circuit and promoted F1 last 2 South Africa GPs in 92/93 and involved in attempt to bring F1 to Cape Town 10 years ago

This is not some poorly thought out proposal, seems to have good momentum and with some well connected players. It was always a tough ask to get this up and running in less than a year especially with the pandemic last year, but the latest RNS indicates that moving to Feb 2022 is the target.

Cape Town City Councillor and Mayoral Committee member JP Smith welcomed the positive outcome of the feasibility study, saying: “The event is so much more than an E-Prix – it provides an opportunity to position the city of Cape Town and the Western Cape region as the pioneering renewable energy hub of South Africa. The event would not only showcase the natural beauty of our city but such an event places Cape Town at the forefront of alternative and green energy initiatives, and serves as a catalyst for attracting investment and the creation of employment in a sector for which major growth is projected in the foreseeable future.”

https://the-race.com/formula-e/cape-town-formula-e-race-plans-accelerate/

Interesting to see how the KPOP concerts develops too. Planning for concerts in 2022 seems well advanced with a partner selected to organise and a venue identified (capacity 50,000). The make money from ticket sales, tv rights and plus fees and commissions. Normally these concerts are booked at least 6 months in advance. Average ticket prices are north of £50 a head, and when ticket sales are released they sell out in hours. Ticket sales for a single concert could easily bring in more than £2.5 million on conservative figures and I’m sure they are planning more than a single concert. I’m sure that would help cash flow considerably.

With the cost cutting and extension of loan payments that’s reduced op costs even further and also pushed a lot of cashflow into H2 which is when the substantial revenues are expected to grow again. So far this year they have announced Q1 revenue of £0.5m. Since then they have announced supersize at JBZ moving straight on to Naples zoo (gives between £300/500k revenue this year) Alwetter zoo (£100k) and the cycling event (£500k revenue). They have a couple of other smaller tours announced over the summer(Paddington) but waiting for new rentals and the delayed rentals from next year to be announced. We also know that brickosaurs is booked solid until the end of 2022 so that adds circ £500k revenue this year too. Then there is the model they are building for the environment agency (probably £100k). Looks too that the cycling is back to its normal timing next March and they open entries in October so that could add another £1m in entry fee revenue in October, so potential well over £3m revenue in the bag for this year. The question is can they do enough other rentals and new division business to get back to above £5m revenue this year, which gives a very good chance of profitability this year?

Another interesting comparison is PYC. I pick that only because riddler was happy to troll LVCG and post false information yet is pumping PYC hard. (Ps riddler, even now lvcg has increased by over 50% from when you were trying to convince people to sell, while PYC has fallen 25%. Nice advice but it kind of looks like you backed the wrong horse).

The market caps are similar, yet even during the worst year for the pandemic, LVCG managed £1.9 million in revenue, which is more than double the largest annual revenue that PYC has ever achieved in its 20 year history (and its never actually turned a profit in that time either). If lvcg were valued on the same basis PYC the mcap should already be closer to £20 million.

This year, with John Ball Zoo, Brickosaurs, Naples Zoo (Jan to Apr and Nov onwards), Alwetter zoo and the cycling event (18,000 entries at £30 a head), plus the revenue from the new divisions (£250k in Q1), lvcg have again exceeded the PYC annual revenue and they haven’t even got to the substantial revenues in Q3 and Q4 outlined in the latest trading statement. Then you have to add the potential of the KPOP concerts, best of events, formula e hosting, the efest festivals, the sailing ocean race stopovers etc which if they do land could see a very significant growth in revenues as well as propel lvcg into profitability.

Worth researching similar companies in the sector. Valid comparators are IMMO which has a mcap of £17m and ESC Mcap £41m compared to LVCG Mcap of £6.5m. Revenues last year for all was broadly similar, as were EBITDA losses. Cash position about the same with IMMO although ESC has a better cash position. The sector is opening up for all and they are getting back to business. Have a look at the potential expansion too in order to form your own judgement of future earning potential. Both IMMO and ESC are worth looking at for covid recovery, but IMO it’s LVCG that has been hammered the hardest due to covid and other factors and offers the greatest potential capital gains.

At this level, with such a relatively low mcap and a low free float, it dosen’t take much to move the price either way. After the move from the 3/4p area this is just consolidation at the 6/7p level IMO There are inevitably some who take profits on the way up, its quite normal sp behaviour. More buying than selling this week so any sells in the background will soon be churned by the looks of it.

I think you have to go to what they are achieving in practice during the pandemic. In Q1 of 2021 the bricklive side of the business took £250k in revenue which is £83k a month. The only tours they had during that time were Brickosaurs and Naples Zoo, so that would work out to £50k for Brickosaurs and £30k a month for the smaller tour which is on par with what they were getting previously.

In April they have Brickosaurs, Naples Zoo, John Ball Zoo, Alwetter Zoo and they have announced Napes again for the end of the year, so seem to be managing to pull in the bookings. Then you have to add getting up to £500k in entry fees for the cycling event which will also help their cashflow.

In the past week they have announced the cycle tour and big cats in Germany both of which will give revenue in H1, plus they have announced a repeat contract with Naples Zoo, 2 months of which is in this year. In total that’s probably close to an additional £1m in revenue that they have announced in a week.

Its all buys today so far except for one trade, the price drop is from the MMs shifting positions, but as normal for the MMs they rarely advertise the real bid/ask and are currently making everything look like a sell and that the price is dropping.

Nice repeat contract with Naples Zoo. Shows that the product works and also that the sunshine strategy is kicking in again that will give better all year round revenues.

Although this is smaller this year, the Cape Town cycling event is still 18,000 entries @£29.87

Thats over £0.5million cash inflow before the end of April.

https://www.capetowncycletour.com/blog/cape-town-cycle-tour-2021-event-update-2/

100% botbot1202. Just look at what happened to babc*ock last week, it jumped 40% on the day in reaction to their restructuring.

So many strings to the bricklive bow.

Their corporate division is still turning over, with the award of an environment agency contract on 1 Feb. This is obviously for the COP21 in Glasgow and if you look at their previous corporate builds it’s likely to be pretty impressive. A big set of models costs in the region of £300,000 to build (wholesale), so its likely to be a substantial contract.

https://bricklivegroup.com/downloads/corporate-builds-brochure.pdf

Good luck to you buythedip1984, but this is likely to go exactly the way of your last amazing prediction yesterday when it finished the day over 10% up.

The 1.45m trade at 8.1p was from 14 Apr and is more likely a worked buy IMO. Definite accumulation happening. Yesterday it consolidated at over 10% up which is to be expected for such a big move over this week. Free float here is small.