RE: 9.10 i'm back in6 Jun 2019 18:26
Remember just to reach Tastecard's valuation of £100 million which they were bought out for, would imply a share price of 32p for bigdish ..and remember that Tastecard's subscription based, fixed discounts model is inferior to BD who are offering dynamic pricing one where the diner pays nothing to use the app and the restaurants only pay £0.5 to £1 per seat booked depending on size of discount they offer. So it's v easy model..the CEO has already indicated that they are targeting Tastecard 's 6000 restaurants but their initial conservative targets are min 200 restaurants per territory of which there will be 10, so 2000 restaurants..v conservative forecast particularly as now they have extra money in the bank from the ii placing today which will accelerate the expansion.
Therefore, I see a potential share price well north of 32p...to be honest, anything is possible in terms of upside...if the ambition is there, and I sense it is definitely after meeting management twice, why can't this share price really love...look, Just Eat came from nowhere and listed with a valuation of over £1 billion..yes, admittedly they weren't a start up on listing obviously but at some stage in their brief history they were a start up...I say all this cuz we can all get nervous about how much the shares have risen so far..I too have been and top sliced and bought back that top sliced portion..BUT we should really be looking at the future upside...I remember I used to have shares in Telecom Plus at 30p and sold at 80p and now they are £14..I know there are many examples..in any case, believe in the management to deliver. They haven't let us down yet. Also Sanj Naha has proved himself at Bookatable and TripAdvisor transforming their platforms.
GLA