Conviviality Share Discussion Threads

[lomax99] 12/5/2021 13:19

Hallelujah, at last my small 'catch the falling knife' holding is no longer clogging up my SIPP statement!

[castleford tiger] 19/6/2018 07:06

You cannot seek an extra 10m and fail to mention it then or in later communications.

At the very least the directors want banning.

Shocking
Tiger

[typo56] 18/6/2018 17:23

Administration proposals



Note:
"We have a duty to investigate what other assets there may be (including potential claims against third parties including the directors) and whatever recoveries can be made. This includes carrying out appropriate investigations into the conduct of the directors and recent former directors."

Standard stuff I guess.

[typo56] 18/6/2018 17:19

Conviviality shareholders left in dark over emergency funding before collapse

[castleford tiger] 02/5/2018 12:20

THANKS FOR THAT

tiger

[vulgaris] 02/5/2018 11:46

Re Galatea99.

To expand a little on the D Telegraph article.....Attempted raise was at 5p per share and Crystal Amber sought additional warrants on top. So, we were wiped out even before this 11th hour failure. About the only folks I've seen come out with credit are Investors Champion, who were railing against this share since the start of the year. By contrast, Investor's Chronicle and the D Telegraph manage∂ to tip at c. £3 just before the death plunge.

[castleford tiger] 01/5/2018 18:14

PHEW.......what a shambles.

We all got wiped out.

bad day

tiger

[galatea99] 01/5/2018 17:54

Postscript which perhaps raises questions the BOD and its advisors need to answer:

"Collapsed retailer Conviviality rejected an 11th-hour rescue deal that would have secured the final £18m needed to save the Bargain Booze owner, an investor has revealed. Crystal Amber, the Aim-listed activist investor, made a written offer to the company to help complete Conviviality’s £125m fund-raise in the days leading up to its collapse, but was rebuffed by the firm’s management. - Telegraph"


ADVFN Morning Euro Markets Bulletin
Daily world financial news Tuesday, 01 May 2018 09:57:04

[sweepie2] 22/4/2018 10:34

Get your money back on this one

Blockbuster report from Investor Show about Tern, market sensitive news leaked to attendees

Further to yesterday’s brief post, I had the pleasure of sitting through the TERN presentation by Bruch Leith and the chance to talk to him in detail for about 15 minutes after. Bruce came across as a nice guy and indeed, he explained some of the personal issues that Al Sisto has had to deal with in the last 3 years and it puts things in perspective.

Presentation

Key points:

- Al Sisto; career in Intel; encryption expert with expert knowledge of what’s needed in the IOT space.
- Al Sisto California based but spends approx. 50% of his time in the UK.
- Tern; the leading investment company in the IOT space.
- Bruce Leith; primary role; finding new deals/investment companies (note; at last, people now in dedicated roles rather than trying to do everything).
- Bruce; looking at 4 new investment companies , deals imminent , subject to term sheets and due diligence completion.
- Working with Microsoft (possibly through In VMA).
- Device Authority : hungry for cash due to growth; building product and distribution channels with Global technology companies
- Intel deal; took 2 years to consumate; 7 months behind schedule mainly due to Intel internal process/sign offs. DA will handle authentication of Intel chip and through the Cloud
- GEC; launched in USA last week (medical devices); launch re-scheduled to enable DA integration to be integral to the product. Enables 24/7 monitoring and treatment remote from hospital of patient condition but all data secured by DA. Huge market potential.
- Strong play – authenticating sensors and at point of application; data remains secure throughout.
- Products are now being rolled out; very well placed! Data analytics will also be a revenue growth area.
- IOT take up by global tech has been slower than envisaged but now starting to gain traction and momentum.
- 8 fold increase in security attacks in the last year; DA has a hack proof platform that automates at scale.
- Strong patent suite that global’s cannot copy
- DA life cycle has seen 12-24 month sales campaign followed by a 9-12 month product development/integration period. THIS IS WHY IT HAS TAKEN TIME TO REACH PARTNERSHIP AGREEMENT AND PRODUCT ROLL OUT. Global tech companies are slow to progress due to internal approvals, budgets and priorities.
- Now in a position to deploy Keyscaler globally with good evidence of several major customer contracts signed in the last 6 months.
- THALES/GEMALTO; TO BUILD A BUSINESS AROUND DA/KEYSCLER; 2018-2021 RAPID GROWTH ENVISAGED
- PTC; a $6 billion company with DA intrinsically linked!
- Verticals/markets huge; sensors/data transmission now permeating every aspect of global world/life.
- Emphasised high profile global partners.
- THALES; LOOKING AT HUGE USA DEAL WITH ROBOTICS DELIVERING SURGICAL PROCEDURES – DA WILL BE INTEGRAL TO SECURITY.
- AMAZING THINGS TO COME……
In VMA

- Phenomenal order book; tripled revenue in 3 years to £1million and no signs of slowing
- Key contracts with Howdens, MSE, MEM’s , GEC
- Asset Minder can now be deployed within 3 months of enquiry; see huge potential and synergies with DA.
Wrap up
- Focus on improving investor communications via 3 monthly conference calls
- PATENTS ARE EVRYTHING! THIS IS WHY COMPETITION IS STIFLED, DA ARE IN THE BOX SEAT AND GLOBALS GO TO DA FOR THE SOLUTION TO THEIR SECRUITY ISSUES
- SaaS model ; recurring and growing revenues
- BLENDING OF THE TERN COMPANIES TO PROVIDE INTEGRATED DISRUPTIVE SOLUTIONS THAT GLOBAL PLAYERS NEED!



Conversation with Bruce Leith

Bruce came across as a genuine and nice guy. It was clear the last 2-3 years has hurt the BOD as much as shareholders. For example, a number of Bruce’s family have shares in ISA’s bought at 14,12, 10, and 8 pence. It is clear the single issue that has stymied progress has been the time it takes to consummate a deal (typically 12-18 months) and then integrate Keyscaler into the eco system offer.

This is due to global tech companies themselves struggling to shape their offer to the market and the way these companies deal with their supply chain in terms of budgets, approvals, gateways etc. Essentially, think of a timescale and double it. Intel took 18-24 months but things are moving rapidly; Keyscaler will be ‘on chip’ and in the cloud for the Intel solution.

In summary, they are 12 months behind where they thought they’d be. The US fund raise is still open but didn’t take off due to the slow uptake of contracts + a poor understanding of what is being developed.

Device Authority are talking with Microsoft and ARM (DA were approached); global’s will use DA rather than spend years developing in house; ALL ABOUT TIMING!

Last week’s San Francisco conference went well with significant interest shown in DA.

There is significant interest in DA and ‘players are circling’. They’ve already had offers that have been rejected (at above the current TERN market cap).
The dilemma is the timing of sale of DA versus timing of value created by the global partnerships versus the cost of funding a growing company. Also, in order to attract institutional investors to TERN, they need to prove the business model by selling a company for a significant return. Whilst Bruce wouldn’t be directly drawn, my impression was a £75-100million offer (short term) will be considered. Bruce so stated a realistic aspiration that TERN will be valued at £100 million within 12 months.

I left the event feeling extremely positive that our money is in safe hands and the share price will be multiples of what it is today in the coming months. My personal preference/issue is they find a way to keep DA for another 2 years unless a £250 million offer is tabled as there’s no reason why DA shouldn’t be valued at £1 billion + within 3 years. Ultimately, I cannot find a reason to sell my shares anywhere below £1.

Hope this helps but DYOR,NAI.

[electrick] 19/4/2018 11:23

CT. supply WAS short. Great to say stocks are back and supply is now fully improved. It seems the purchasers CCR have provided relief to the staff and all customers.

Normal service resumed regarding supply. I hope the new company can manage the trading and financials somewhat better.

Shocking performance by the board I agree. I also understand the employee share scheme was highly subscribed.. and of course they also lost. Got a big job on. No comfort for those who have lost. Personally hoping my investment in CCR can flourish. Were you tempted to buy in to the purchasers?

[castleford tiger] 18/4/2018 17:45

indeed Lancaster that was a big miss.
Funny how if you know the facts just how often they get things wrong.

Word in the trade is that for the last 8 weeks deliveries have been short and late to shops. All fits with being short of cash.

The directors using manual ledgers FFS. This was a 1.69 b t/o company.

Poor management and no controls.
Tiger

[lancasterbomber] 18/4/2018 17:18

What the Sunday times missed was the fact that the directors broght shares after the first profits warning, which is why alot of other people thought it safe to buy

[time to share] 18/4/2018 15:05

Got this from my broker today.
Any hope I had of a return is gone I'm afraid...AIM Rule 1(see below)

CONVIVIALITY - Important Information


Suspension of Trading and Appointment of Administrators.
Following the successful acquisition of Bargain Booze Limited in December 2017, the Company revealed that due to their adjusted EBITDA (Earnings before interest, taxes, depreciation, and amortisation) for the current financial year being approximately 20 percent below market expectations and a payment due to HM Revenue & Customs of approximately GBP30 million, its predicted net debt for the current financial year will be approximately GBP 150 million.

As a result, the Conviviality shares were suspended from trading on the Alternative Investment Market (AIM) on 14th March 2018 whilst the Board considers the anticipated impact of the net debt on the Company's funding position. Please be aware that you will not be able to trade in your Conviviality shares while they are suspended.

On 29th March 2018, Conviviality announced that following discussions with its lending banks, the Board of Conviviality proposed to appoint administrators to the Company.

Subsequently, on 5th April 2018, Conviviality announced that it had appointed Matthew Callaghan, Ian Green and David Baxendale of PricewaterhouseCoopers LLP as Administrators of the Company.

Furthermore, with mutual agreement of the Board, Investec Bank plc has resigned as Nominated Adviser and Broker to the Company on 5th April 2018. Pursuant to AIM Rule 1, if a replacement Nominated Adviser is not appointed within one month, the admission of the Company's securities will be cancelled on AIM. The Company has no current intention of appointing a replacement Nominated Adviser.

We will notify you on receipt of any further information from the Administrators.

Should you wish to find more information about the Appointment of Administrators, please visit the Conviviality website,

[r ball] 11/4/2018 19:50

I meant money to creditors.

[electrick] 11/4/2018 09:16

Tiger.
It now seems obvious that this bod couldnt

[castleford tiger] 11/4/2018 07:18

R ball
Debts ?? Do you mean money owed to the company?

Cash flow can be managed.

Tiger

[r ball] 10/4/2018 19:20

The business is only as good as the cash flow. With the previous owner this was not good due to debts.

[sharesoc] 10/4/2018 14:34

Blog Post: Conviviality Fire Sale

[castleford tiger] 10/4/2018 08:58

In the latest audited accounts for the 52 weeks ended 30 April 2017, the Conviviality Retail businesses had gross revenues of GBP378 million and adjusted EBITDA of GBP14.3 million (pre central costs)(1) . Gross assets of the Retail business (including the Central Convenience business acquired in December 2017) are approximately GBP173 million, of which approximately GBP73 million relates to intangible.

So we have sold 173m of assets for 17.5 m

The licence will be the problem due to change of ownership.

Totally shafted

Tiger

[r ball] 10/4/2018 08:07

Some hedge funds have a mandate, some don't. John Peel paradox.

[w1ndjammer] 09/4/2018 14:57

Errrr......

Fund % short Date changed
WorldQuant, LLC 0.49% 23 Jun 2017
WorldQuant, LLC 0.59% 12 Jun 2017
WorldQuant, LLC 0.67% 31 May 2017
WorldQuant, LLC 0.79% 19 May 2017
WorldQuant, LLC 0.89% 10 Mar 2017
WorldQuant, LLC 0.90% 8 Mar 2017
WorldQuant, LLC 0.85% 6 Mar 2017
WorldQuant, LLC 0.70% 1 Mar 2017
WorldQuant, LLC 0.62% 23 Feb 2017
WorldQuant, LLC 0.50% 17 Feb 2017





WJ.

[r ball] 09/4/2018 14:36

Errr.....Maybe because it's aim and the hedge funds don't have a mandate..

[kcr69] 09/4/2018 09:49

Walbrock82

It is just possible that 'people' learn lessons all the time from appropriate sources and through reflection on their own decisions.

It is also quite possible that 'people' do not listen to your good self because it is just quite possible that 'people' consider you a little pretentious and someone who considers they know a little more than they actually do.

Attached is a report you wrote on Zoo digital on the 13th November. Not only was it woefully inaccurate in much of its analysis, your understanding of the company position and expectations for the future were both lacking and wholly wide of the mark.



I would suggest one of the greatest lessons 'people' can take from this particular mess is to make themselves a promise to take with a pinch of salt just about anything you ever say. It is certainly the lesson I learnt on the 13th November, and with very good reason.

[augustusgloop] 09/4/2018 09:49

Not easy to spot from the published numbers.

But, I bet with access to the accounts dept and the real figures, I could have sussed it in a couple of hours.

And so could the Auditors - unless they were paid not to.