Asianlogic Share Discussion Threads

[ldmachin] 03/2/2009 22:07

BritishBear,

What current P/E are these on pal?

Market cap = £35m approx.
EBIT for 2008 = 7m US dollars approx. (£4.8m approx).

So, currently on a P/E of approx 7?

A little expensive given the other companies in the sector and their much lower P/Es? i.e. GVC?

How much cash and debt do they have pal?

[britishbear] 12/1/2009 13:33

I agree with your sentiment Re: treasury shares. In theory they will also get the dividend which will go back into the company given they have not been cancelled.

I suspect they will be used to fund takeovers of smaller companies here and there. They need the paper to be worth more though.

I suspect the next results will be decent and tell a good story. The first dividend could be worth 5-7% straight off.

I have worries about ALOG but will be investing given the low price which I believe is caused in part by a distressed seller giving the private investor the edge for once.

[rambutan2] 11/1/2009 00:33

But where are all these shares coming from? CS seem to be of the opinion that % changes in shareholdings, which there clearly must have been, do not need to be disclosed!

Also, the shares are being held in treasury, not cancelled. My experience with non UK based AIM cos is that unless they are cancelled then they are quite likely to reappear, and not necessarily on terms which are retail shareholder enhancing.

[britishbear] 09/1/2009 16:00

Website:



Some interesting reading on there.

[britishbear] 09/1/2009 15:57

With these buybacks continuing and agreement for a lot more this share could fly on the back of good results.

The last trading statement did not help though.

[woracle] 14/11/2008 11:57

MMs love this kinda stock. Take 250K on board at 25p, and start flogging them from 35 to 47p ! Not a bad business..

[woracle] 14/11/2008 06:20

Someone pretty desperate to get out at 20p and 30p .. wonder why !

[goinbroke] 21/4/2008 02:30

This is a cheap gaming stock imo. land based as well as online in Asia and europe on the aquisition trail with a company buy back programme in progress.

Looks like the company will be hoovering up any stock below the float price and I shall be joining them.

I like the bit below from the last set of reults and update. The last set of results were pretty impressive and if their new aquisitions are going to have a material impact then this a bargain at current prices and should be a multi bagger in the making. Short term target £1.10

"Importantly, the company said it has entered into three new acquisition
agreements in the Europe and Asia. It said it is in final stages of due
diligence and if closed the acquisitions are expected to have a material impact
on the company's earnings."

[sleepinggiant] 17/4/2008 13:04

And up they K U M........very good recent results, company buying stock back (1.35m yesterday), seller cleared and Gaming VC in bid talks which will 100% certian only help ALOG trade higher......and it is so.

[sleepinggiant] 16/4/2008 15:22

These can only possibly go 1 way with the opportunity to buy over 8mil shares back over the next 3 months.

[fillipe] 16/4/2008 15:04

I'm in now. It's looking even better value with today's share buy-back announcement.

f

[sleepinggiant] 11/4/2008 10:25

Shares in AsianLogic Ltd. climbed higher in
early morning deals after the company released its latest set of full-year
results, prompting Collins Stewart to reiterate its 'buy' recommendation on the
company and its target price of 150 pence.
At 9:12 a.m. AsianLogic shares were up half a penny at 74, while the FTSE
small cap index rose 2 points to 3,080.1.
In a statement issued earlier this morning, the Asia-Pacific online and
land-based gaming company posted adjusted pretax profit of $12.4 million for the
year to end-December, against $4 million last year, a rise of 210 percent.
Revenues came in higher at $54.3 million from $27.8 million, a 95 percent
rise, and it said progress has continued in the first quarter of the current
year, its underlying business is growing fast with progress across all
divisions.
In reaction, Collins Stewart said revenues were marginally ahead of
forecasts, while net income was in line with its expectations but first quarter
profits provide visibility to its estimates and should be the catalyst for the
shares to recover.
The broker said the company's shares have lost ground post-IPO and, in
addition to market conditions, it believes the market may have been sceptical of
AsianLogic's aggressive growth rate forecasts.
However, part of the rationale behind the IPO was to raise cash for a number
of earnings enhancing acquisitions, and negotiations on the purchase of three
companies that will have a material impact on earnings are in the final stages
of negotiation.
In conclusion Collins Stewart believes AsianLogic is cheap on its estimated
price earnings of 5.4 times for 2008, and this attributes no value to the
investment business and is despite over 300 percent growth in the gaming
business.

[sleepinggiant] 11/4/2008 08:47

CS have wrote a cracking note today....saying its extremely cheap on a p/e of 5.2x with over 300% growth. 150p price target

[wjccghcc] 11/4/2008 08:44

Thanks BB. Had a few at 75p. They should be in line for net income of $16-20mm for the year. Strip out hte $82mm cash and that's a PE of 4 (5 if adjusted for the interest) which seems pretty cheap even adjusting for the regulatory risk.

[britishbear] 11/4/2008 08:35

Analysis of the final results - pretty good.

[sleepinggiant] 09/4/2008 13:25

Small buys coming through the last couple of days ahead of figs Fri. They must be good after recent trading update. CS doing a roadshow after results, so you would expect them to trade a lot higher.

[fillipe] 05/4/2008 16:15

Hi everyone. I've watched ALOG ever since the float. I quite fancy a go with them as it appears a good business model but the share doesn't appear to have much of a UK following - trades almost non-existent.

Does anyone have any feeelings for this one?

Thanks.

f

[sleepinggiant] 01/4/2008 12:27

Forced sellers and tax losses.....the results on 11th should set the record straight.

[britishbear] 31/3/2008 14:07

A rather serious decline in recent days.

Anyone got an explanation of any sort?

[britishbear] 09/1/2008 13:59

First post.

A link to the FT article from December 4th that provides some stats.

Cut and pasted from:



Asian Logic will be the first Asia-based gaming company to seek a London flotation on Tuesday when it launches a $110m fund-raising to buy up online operators, build stakes in sports betting groups and software developers, and set up a gaming investment fund in Asia.

The group, whose income streams come from online casino, online poker, distributing slot machines and re-selling commission from gaming software provider Playtech , will have a market value of $250m. It derives 90 per cent of revenues in Asia, and takes no US bets.

Asian Logic, founded in 2002 with 300 staff, has been given a pre-money value of $160m from Collins Stewart, its broker. The float includes $90m of new money. Shares of senior managers are locked in for 12 months.

Gaming consultants predict the Asian online casino and poker markets will grow 28 per cent and 23 per cent a year respectively by 2012. Asian "gross win", the overall takings for gambling businesses minus the amount paid out, is predicted to be $70bn this year and $83bn in 2012.

Much of Asian Logic's $12.5m net income this year is derived from advice to gaming clients such as Playtech, Neteller, Betfair and Melco, the Macau casino operator. But Collins Stewart predicts it will next year achieve $12.2m net income from gaming alone, rising to $21.3m in 2009. Sales are expected to double to $117m next year. Collins Stewart places Asian Logic on a pre-float forward price/earnings multiple of 11.7 times.

Tom Hall, co-founder, said he expected a big pick-up for Asian Logic when Playtech, where he was once chief executive, launches potentially lucrative player-to-player games in Asia in the next two months.

Mr Hall said: "The Asian P2P player is worth significantly more than a western P2P player and we are well positioned from our marketing and product location perspective."

[britishbear] 04/1/2008 21:18

A new thread to announce the admission of AsianLogic onto AIM. This share had a placing price of around £1.11 raising over £40m with a market cap of over £120m.

This is high risk, high reward but the regulatory risks are severe. Singapore and Malaysia are its key markets and these have high regulatory risk associated with them.

WEBSITE:

COMMENT AND ANALYSIS:

A new company, Asian Logic plc, has joined the ranking of gaming companies quoted on the London exchanges. ALOG is its AIM ticker.

Given its regional position it might be one to watch for readers of this blog. Asia is certainly a growth market for gambling. One of the more interesting developments is its video streaming casino technologies.

It has a high valuation of £123.1 million but is well positioned for future growth. This is no AIM tiddler of the PLW and LNG ilk but neither is it PRTY standards just yet.

For example, I doubt anyone reading this will have heard of their online sites:

'Megasport Casino', 'Dafa888', 'Asian Casino', 'Zipang Casino' and 'Tila Casino'

Revenues from online casinos are currently running in excess of $6.0 million per month and have been growing. That is revenues and not profits however. In 2006 revenues generated from online casino activities constituted approximately 78 per cent of the total revenues in 2006. That is not a high figure given the valuation of this company. LNG pulls in revenues like that (but without the profits I expect).

According to the admission document that can be found HERE [large PDF] profits come in at just a couple of million. This means ALOG is sitting at a fairly large multiple. Given the competitive nature of online gaming it is asking a lot for this share price to double any time soon.