Member Info for stt1

BDC, "Once the YuMe deal completes, R1 will be on course to achieve $415 in revenue and $34 million in profit which would easily take us above Numis's 12 month price target of 720p." Well, according to the COMPANY'S F-4 filing... the combined Yume, Rad1, Perk acquisitions... The BoD themselves tell us that if they had acquired the above companies at the beginning of the latest fy, fy2017, ie 1st Apr 2016, they would have reported a huge $57m loss against the $18m loss that they did report... That's some loss.... Pg208 https://www.sec.gov/Archives/edgar/data/1713721/000119312517377843/d399085df4.htm

BDC, Deal completes end of March or April, ie not in this fy.... The outcome of the deal won't be known for possibly 18mnths... That's a very long time in the fast moving ad tech industry..

each to their own.. Did you have similar amount when the sp was over 2300p...

"my average of £2.78474" "Across my 4 trading accounts I now seem to have accumulated 169,156 shares" so you invested £471,055 into 1R!!!!

The sp is rising on the back of rising Yume sp... up another 12% to $4.55.... so possibly get another boost to 1R tomorrow... but the $4.55 Yume sp is not far off the original offer price, is it???? So I expect the 1R sp rises to slow... 1R is only at the old 27p.... and still nearly 1/2 what it was around 6 months ago...

downbutnotout, agree.... I think the nearer it gets to the $5 mark the lower the % rises... Yesterday was similar, sharp rise at beginning of trading then leveled off during the day....before sharp rise at close... Only hour until UK closes...

Brassneck, Good to see you agreed and went from: "The bridging finance will be repaid by June and then there will be no restrictions on future actions." to accepting that the loan matures in 3 yrs, even though you won't say so.. and to.. "Any bank lending any money to any business will have conditions attached." ;-)

Brassneck, Actually, the loan agreement matures Nov 2020 but now I've informed you of the facts, you can keep it in mind for the future.... ;-) so upto now they have been growing revenue via acquisitions... for the next 3 yrs they won't be able to... pg177 "The revolving loans may from time to time be in Eurodollar loans or adjusted base rate (“ABR”) loans, as determined by the applicable borrower. The Revolving Credit Facility matures on November 8, 2020. Subject to satisfaction of certain conditions, the total revolving commitments under the Revolving Credit Facility may be increased by an amount not to exceed $75.0 million. The credit agreement governing the Revolving Credit Facility contains customary conditions to borrowing, customary representations and warranties, events of default, and customary affirmative and negative covenants, including covenants restricting RhythmOne’s ability to incur debt, create or permit to exist liens, pay dividends, engage in mergers and acquisitions, sell assets, engage in transactions with affiliates, make investments or change RhythmOne’s business. The credit agreement governing the Revolving Credit Facility also requires that RhythmOne maintain compliance with a minimum adjusted quick ratio (which is a ratio of (i) certain cash and cash equivalents plus certain accounts receivables to (ii) current liabilities less the current portion of deferred revenue) and a minimum trailing twelve-month consolidated Adjusted EBITDA. As of the date of this prospectus/offer to exchange, RhythmOne is in compliance with such covenants." https://www.sec.gov/Archives/edgar/data/1713721/000119312517377843/d399085df4.htm

pg 177 Loan agreements... so whilst they are drawing down loan, they can't pay dividends nor engage in mergers & acquisitions - so no more acquisitions until loan paid off... NO dividends... "The credit agreement governing the Revolving Credit Facility contains customary conditions to borrowing, customary representations and warranties, events of default, and customary affirmative and negative covenants, including covenants restricting RhythmOne’s ability to incur debt, create or permit to exist liens, pay dividends, engage in mergers and acquisitions, sell assets, engage in transactions with affiliates, make investments or change RhythmOne’s business." https://www.sec.gov/Archives/edgar/data/1713721/000119312517377843/d399085df4.htm#toc399085_28

Google to block autoplay video ads from Feb 15th "The guidelines, which were based on a 2016 survey of 25,000 European and North American internet users’ dislikes, will see pop-up ads, auto-play video ads with sound, pre-stitial ads that appear before a page loads, and large sticky ads banned." https://mumbrella.com.au/google-to-start-blocking-non-compliant-ads-in-february-491063

We’re already seeing the fallout from Apple’s war on cookies "As I noted in a previous column, large swaths of the digital ad industry are still tied to the cookie as a primary means for identifying audiences and measuring campaigns. But the cookie is rapidly losing value. At our company, we’re already seeing businesses reporting a significant reduction in conversions on Safari since iOS 11 was released. This is in addition to cookie blocking and deletion occurring prior to the iOS change. Our research indicates that cookies overstate reach by 108 percent, understate frequency by 45 percent and understate media attributed conversions by more than 41 percent." https://martechtoday.com/already-seeing-fallout-apples-war-cookies-208643

Max, I've previously stated that they are worth a punt at 1/2 revenues... the revenue forecast for fy2018 was $280m... work out what 1/2 revenues equates to and what did the sp go down to??? :-)

The sp is tracking Yume's sp... their sp was up 10% most of yesterday afternoon, whereas 1R wasn't... There was a late surge in Yume sp and in the end it closed up 13% @ $4.06.... 1R is catching up... https://finance.yahoo.com/quote/YUME/

BMAC, yes, as you say from F-4... "using existing cash resources as well as a drawing under the facility provided by the Subordinated Loan and Security Agreement, dated as of November 8, 2017, among Silicon Valley Bank, as lender (“SVB”), and certain of RhythmOne’s subsidiaries (including the Purchaser and Merger Sub Two), as borrowers (the “Borrowers”), pursuant to which SVB will make available to one or more of the Borrowers a subordinated loan not to exceed $35.0 million (the “Bridge Facility”). " The Loan facility rns referred to in the F-4 and your post refers to $25m loan facility...the F-4 refers to $35m, so they've got an additional $10m loan Wasn't $25m enough to complete the acquisition??? "RhythmOne plc (LSE AIM: RTHM, “Company”), a global advertising technology company, today announces that it has closed a senior revolving credit facility with Silicon Valley Bank (“SVB”) that will provide RhythmOne with up to $25 million of capital at close. The funds are designed to provide cash resources to support future strategic initiatives and general corporate purposes." https://investor.rhythmone.com/newsroom/2017/11/09/rhythmone-secures-line-of-credit pg177 of F-4 says: "On November 8, 2017, RhythmOne and certain of its subsidiaries entered into a senior secured revolving credit facility (the “Revolving Credit Facility”) with Silicon Valley Bank (“SVB”) and certain other lenders party thereto pursuant to which certain subsidiaries of RhythmOne may borrow up to $25.0 million of revolving loans. The Revolving Credit Facility also includes a $1.0 million letter of credit subfacility and a $10.0 million swingline subfacility." https://www.sec.gov/Archives/edgar/data/1713721/000119312517377843/d399085df4.htm#toc399085_28

The original Bridging loan announced was for $25m... The loan (bridging loan) mentioned in the F-4 refers to $35m, $10m more than originally announced... why would they need the extra $10m??? https://uk.advfn.com/stock-market/london/rhythmone-RTHM/share-news/RhythmOne-PLC-Secures-line-of-credit-with-Silicon/76052676 pg 177 "The Revolving Credit Facility also includes a $1.0 million letter of credit subfacility and a $10.0 million swingline subfacility. The obligations of each borrower under the Revolving Credit Facility are guaranteed on a full and unconditional basis by RhythmOne and each of its existing and subsequently acquired or formed direct and indirect subsidiaries (other than certain immaterial subsidiaries, subsidiaries whose guarantee would result in material adverse tax consequences and certain subsidiaries whose guarantee is prohibited by applicable law). The obligations under the Revolving Credit Facility are also secured by a pledge of substantially all of the assets of the RhythmOne, the borrowers and the guarantors (limited, in the case of the stock of certain non-U.S. subsidiaries of the borrowers, to 65% of the capital stock of such subsidiaries)."

Brassneck, Why is it irrelevant that for the latest fy accounts, if Rad1, Perk and Yume were included in the latest fy accounts published, 1R would have made a massive loss of $57m instead of the $18.7m that they did... I'm sure the deal will go through, the major IIs need it to get some cash but you can't ignore the challenges facing the merged companies...

Pg208... If 1R had acquired Perk, Rad1 and Yume at beginning of fy2017, ie Apr 2016, they would have lost $57m

from the article BMAC posted... After integration, which could be a year away, you would expect growth to accelerate not slow, wouldn't you??? "RhythmOne’s revenue has grown at a rate of 6% annually over the past 3 years. Acquisitions have accounted for most of this growth. Once YUME is fully incorporated, it looks like revenues will grow at a slower rate as both companies have struggled to achieve organic revenue growth in recent years."

Merry Christmas all genuine posters...

curly, why would I think Christmas has come early. You'll never change your agenda to repeatedly plant that thought in the other poster's minds, will you??? ;-)