focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
I'm not sure there is a 'pattern' forming with this many trades!
I've got a feeling something might be coming tomorrow...
Normally you'd think something was up by a large volume of trades, but could a low volume be just as significant?!?
AHS - I have read that. Was just wondering how they issue the shares. If they create new shares is that a further dilution or do they come out of the shares in treasury?
How does the $1m of shares get paid to Semnet? Are new shares created?
I think we could see a pattern of SP rising Monday / Tuesday / Wednesday in anticipation of news, then falling back Thursday and Friday if nothing comes through....
59 years old.
I think this may be his last shot at making some more big bucks.
If I make it to 59 after a successful career I wouldn't want to be working much longer.
It's happening soon. Put your seatbelt on and get ready for the ride.
Your right Kop. I was thinking 0.05% would be the rough margin.
Don't think they'd be getting 0.2% on every trade, (I know it says it on their website but a lot of other firms are 0.1% for big value trades). But as AHS did point out once, they could be getting commission on the sell and commission on the buy.
Working backwards to justify the current SP.
£18.5m / 20 P/E ratio
£0.925m / year
£17,788 / week
Coincodex average volume of GS20 Exchange circa $300m / day.
@ say 0.05% margin $1,500,000 / day. Weekends are quieter so multiply by 6 = $9m / week
$9m = £7.2m
£17,788 / £7,200,000 = 0.247%
So if GS20 is making any more than 0.247% of the figures quoted on the Coincodex website then we are undervalued on this element of the business alone.
A FEW FIGURES I'VE CHUCKED AROUND
Current Mcap £18.5m
30th Sept 2023 - cash and equivalents - $2.198m
Placing Nov - £847k
Recent placing - £1.25m
Acquisition of Semnet - ($800,000)
Cash burn H1 2023 was $737k
Assume from October to now same ($737k)
Making adjustments for exchange rates I make that around £2.625m in the bank
"In its most recently published unaudited accounts, to 30 September 2022, Semnet had a turnover of US$4.22 million and reported profit before tax of approximately US$0.21 million."
Semnet turnover 30th Sept 2022 - $4.22m
Assumed turnover to 30th Sept 2023 - allowing growth in rapidly expanding industry - $6m?
Future - $36m contract, say over 10 years worse case? GETTING ON TO $10M TURNOVER BUSINESS
5% MARGIN (AS 2022) - $500,000 PROFIT
10% MARGIN SCALING - $1M PROFIT
As our new Chinese lady may say: "Patience, and the mulberry leaf becomes a silk gown."
It's going blue this afternoon...
AHS - To be fair in January we were all expecting some sort of news on the FCA approval as 6 months was up.
By now I was expecting Easysend to have completed and would have thought we would have some clarity on the GS20 Exchange figures.
I wasn't expecting the Semnet RNS with the $36m contract.
Or is it?
14th Nov placing RNS.
29th Nov RNS on acquisition
2 WEEKS 1 DAY
23rd Apr placing RNS
2 WEEKS 1 DAY IS 8th May. Could happen again?
The Company has acquired 66.67% of the issued share capital of Semnet for a total consideration of US$1.8 million in cash and new shares of no par value in the Company ("Ordinary Shares"). US$800,000 of the total consideration is payable in cash ("Cash Consideration") and the remaining US$1.0 million through the issue of new Ordinary Shares ("Consideration Shares"). US$580,000 of the Cash Consideration has, or will shortly, be paid and the remaining US$220,000 is payable four months from Completion.
The Company will issue the Consideration Shares on the nine month anniversary of Completion, or on any earlier date designated by the Company giving not less than seven days' notice in writing to the vendors,
How does the $1.0m through the issue of new Ordinary Shares work? Are they taken out of the treasury shares?
Wonder how the timing will be handled. Will it be 9 months or will it be earlier?
LeddachJack just before 8am this morning: "Fingers crossed tor a bickering free day with nothing but sensible and informative posts. It really would be nice."
That went well...
I would agree with you if they hadn't just placed at 1.05p.
GS20 figures have been shrouded in mystery since NOVEMBER! Figures on profitability would be ideal, if not some forward looking expectations would do.
If it is doing well then release figures and the market would respond and you could place at higher than 1.05p.
The $36m contract is with the firm who's news section on their website states.... 'more information coming soon'. Quite pertinent for GST don't you think?!?
https://www.ypsilontechnology.com/news
It would be nice to know the BoDs expectations rather than wait for results.
Saying they are 'performing well' or 'in line with the BoDs expectations' are fine statements but no one knows what the BoDs expecatations are!
If I had set up a crypto exchange a year ago I'd be expecting to be making money by now.
But then again if I set up a crypto exchange tomorrow I would know that on my website it should say that Bitcoin has reduced in price by 0.68% today and not have a rounded error of 100 times showing a reduction in price of 0.01%.
Perhaps they should employ me or get some secondary school maths education.
Point is that communication is NOT good enough.
Good communication would raise the share price.
Better share price means that if you want to place you get more money.
Simples.
I'd not looked before at Easysend's accounts on Companies House but they are worth a look.
A well established business that is definitely GROWING.
At the start of the year SP was 1.27p
Since then we have had fairly major progress:
- LORD WELLESLEY APPOINTMENT (NOT EXPECTED)
- SEMNET COMPLETION (EXPECTED)
- SEMNET PROFITABILITY (NOT EXPECTED)
The one thing probably expected by now that hasn't happened is the completion of Easysend.
Overall, I would say we are in a better position than we were at the start of the year.