Digital Barrier Share Discussion Threads

[hew] 21/10/2010 16:07

davidosh, I agree we might reasonably expect a statement soon, but I'm not concerned that "Results" in the usual sense are really relevant yet, provided there is a "rational story" around whatever numbers are provided.

Of the £20m raised they have spent some £13m on acqs. so far. (Today's included.) Say another £1m to £2m p.a. on running expenses (assuming the acqs at least break even) and they still have headroom financially.

Primarily I will be interested in any news relating to synergies resulting from the accumulation of acquisitions so far. Ideally a contract(s) that reflects the whole now being greater than the sum of its parts. But I'm still patient on this one. (Certainly not so on some others!)

[davidosh] 21/10/2010 15:34

When are the results due ? It has been listed since early March so we should at least have received interims by now.

[hew] 21/10/2010 15:12

Seems appropriate to note the latest acq. Just the kind of organisation that I expect most invested here would think appropriate. Quite a decent website.



Addresses defence and commercial with seemingly the primary focus of image processing. The website lists:

•Data and Image Fusion.
•Image Processing for Enhanced Vision and Situational Awareness.
•Multi-spectral and Hyper-spectral Processing.
•Systems and Software Engineering.
•Hardware Development.
•Modelling and Validation.
•Assisted and Autonomous Systems.

[snickerdog] 24/9/2010 22:04

Hello George. As I said on the PINN board, I am not sure of a tie-up but as the only thing linking DGB and PINN in a B2B sense would be that DGB will need to transmit data and PINN can do this through their IP networks (their recent Papal contract covered security transmissions). Not sure on DGBs existing capabilities but there may be a use for PINN which we have yet to find out about.

I hope that Black brokers some deals on PINNs behalf. I am also thinking about buying some of this stock. Will have to do a lot more research though.

[george57] 24/9/2010 15:28

It certainly looks like a significant tie up could be coming with PINN snickerdog.

Tom Black also paid a big premium for his shares as well.

[snickerdog] 24/9/2010 15:16

Tom Black CEO of DGB recently took up 3% of Pinnacle Telecom's shares in a placing. Apparently they are very pleased to have him on board and I hear he intends to play quite an active role in helping to expand his new investment.

PINN specialise in IP hosted telephony so may even host DGB's security data streaming using COE's products.

Trying to learn more about what Black and DGB can bring PINN.

[tamdolan] 17/9/2010 08:14

well i am in at 169 for the long haul. Not much activity on this BB which suits me as I am more of a lurker lol.

Here's hoping this company is going places

[pmeldrum] 10/9/2010 16:00

In Shares Mag this week the main feature is 10 reasons to buy UK Stock

DGB is mentioned under Corporations are Cash Rich


In many sectors, the stronger firms are getting
stronger still, as they pick over the bones of less
soundly-financed rivals or make strategic deals.
United Business Media (UBM) is one such company,
with six acquisitions in quick succession, while
former cash shell Digital Barriers (DIGI:AIM) has
swooped three times, including for COE Group
(COE:AIM) as it seeks to become a major player in
the homeland security market. Both UBM and
Digital Barriers are among Shares' favourite market
plays and acquisitive firms with the cash for and
expertise in takeover deals are likely to help drive
their earnings and the overall market higher.

[pmeldrum] 05/8/2010 10:13

Another mention in shares mag


A£3.3 million takeover of COE Group (COE:AIM) will give Digital Barriers
(DIGI:AIM) a route into the international security market including Asia
Pacific. Buy the shares, first highlighted 136.5p (Shares, 10 June) as the management
of Digital Barriers looks set to repeat its success with former FTSE 250 company
Detica in creating a thriving security solutions business. A 9p cash-per-share
offer was made to COE on 30 July. COE specialises in video security and complements
Digital Barriers' two other acquisitions since joining Aim in March – Overtis,
which installs and links up security systems; and Security Applications, which provides
thermal imaging equipment to monitor high-profile locations. One of the
biggest costs for security surveillance is digging up roads to install cables, which is
where COE will be useful as it specialises in transmission of data and has products
that can be used across various types of communication networks

[pmeldrum] 30/7/2010 17:02

Thanks for the confirmation Hew

[hew] 30/7/2010 16:55

No, I agree, the free shares are just 10.9% of the total.

Quite specialist appeal at present though. "Believers" - I'm one - need to know the history, and understand the potential, so until some figures come out and publicity is sought, they may not move too far.

I imagine the company has plenty on its corporate mind just now without needing to puff the share price Of the £20m raised they have spent £9m on acqs so far. Say another £1m to £2m p.a. on running expenses (assuming the acqs at least break even) and they still have headroom. I would be holding back on "success news" until more funding and a placing is in prospect.

[pmeldrum] 30/7/2010 12:11

These shares appear to be quite illquid and that every buy pushes the price higher.

After a quick look at the Company Website Tom Black owns 15.7% and Funds about 75%
so leaving 10% for other investors. Or have i missed something in my analysis ?

[hew] 30/7/2010 08:35

Totalling the three acquisitions so far gives revenues £5m-£6m. Much too early to start considering p/e and such like, but it's good to see the business building.

[pmeldrum] 30/7/2010 07:15

Things are certainly starting to fall in place now

Nice rise back to the high yesterday and another approach tday with a recommended Cash offer for COE

Commenting on the Offer, Dr. Tom Black, Executive Chairman of Digital Barriers
said:

"COE fits well with our strategy to build a leading mid-market business in the
homeland security space and we believe that we can broaden the market access and
enhance the reach of COE's best-in-class security products. This will also open
additional opportunities for Digital Barriers in many of our target markets,
particularly in Asia-Pacific where COE has made good progress in securing
high-profile customer engagements. I look forward to working with the COE team
to capitalise on these exciting opportunities."

[pmeldrum] 29/7/2010 10:14

A mention in Shares mag this week as a play update and again a Buy recommedation

The former management team of Detica, a security services group sold for £531 million
in July 2008 to BAE Systems (BA.), has undertaken its second acquisition at
new charge Digital Barriers (DIGI:AIM). Buy the shares, first flagged at 136.5p
(Shares, 10 June) as we believe the firm could become a significant niche player in the security
industry. Digital Barriers has paid £3.2 million cash for Overtis Solutions which installs
and links up security systems including intercom and access control; CCTV and video analytics;
and blast, ballastic and perimeter protection. This complements Digital Barriers' first
deal, March's purchase of Security Applications for an initial £1.65 million. That company
specialises in thermal imaging equipment for perimeter surveillance and protecting highprofile
target locations. Digital Barriers plans to build up a portfolio of companies that help
to combat international and domestic terrorism. It has around £15 million cash left from a
fund raising when it joined Aim in March to fund further acquisitions. (DC)

[pmeldrum] 27/7/2010 15:33

Very very quiet board and the news disappear from the news box after a month

[ritzy] 27/7/2010 09:47

We can all access the DGB headlines from the adjacent 'news box'. What value cut and pasting this?

[pmeldrum] 23/7/2010 08:03

Acquistion announced today

The Board of Digital Barriers plc ("Digital Barriers" or the "Company"), the
specialist provider of products and services to the homeland security market,
today announces the acquisition of the business and assets of the Solutions
division of Overtis Group Limited ("Overtis Solutions") for GBP3.20 million in
cash (the "Acquisition").

Overtis Solutions is a UK-based specialist provider of integrated security
solutions used in the protection of high value physical, human and information
assets on a global basis held by high risk government departments, public sector
bodies and major corporations.

Rationale for the Acquisition

At present, one of the most significant threats to UK security comes not from
state-to-state conflict, but from international and domestic terrorism.
Potential target locations range from crowded public spaces to high-profile
individual and geographic targets, as well as parts of the country's critical
national infrastructure. Each of these assets requires highly sophisticated
means of protection if they are to be adequately safeguarded.

Overtis Solutions is considered by Digital Barriers to be highly complementary
to the activities of Security Applications Limited ("SAL"), which Digital
Barriers acquired on 25 March this year. SAL is a UK-based specialist supplier,
installer and integrator of thermal imaging equipment for perimeter surveillance
and the protection of high-profile target locations and has an adjacent but
distinct customer base to Overtis Solutions.

The Board of Digital Barriers believes that the activities of Overtis Solutions
combined with those of SAL will enable the Company to take a further step
forward in its strategic ambition to build a specialist mid-market business that
can work directly with end-customers and through key partner organisations both
at home and abroad to provide focused, proportionate and effective solutions
which help protect key assets from attack.

Terms of the Acquisition

The total consideration of GBP3.20 million is payable in cash on completion and
will be satisfied from the Company's existing cash resources.

Financial information

Overtis Group Limited's latest audited accounts for the financial year ended 31
October 2009 reported Overtis Solutions' turnover of GBP2.64 million, with
EBITDA of GBP0.07 million. At 31 October 2009, Overtis Solutions had net assets
of GBP1.30 million.

Tom Black, Executive Chairman of Digital Barriers, commented:

"I am very pleased to be moving forward with the strategy we set out at the time
of our flotation in March. The fit between our existing business and the Overtis
Solutions business is extremely complementary and exciting. I look forward to
exploring the many opportunities now open to us to engage with customers and
partners not just here in the UK but also on an international basis."

Andy Durham, Managing Director of Overtis Solutions, commented:

"As our discussions progressed, it became increasingly clear to me that both
Digital Barriers and the team at Overtis Solutions share many common beliefs,
aspirations and viewpoints on the security space and its potential for growth.
I look forward to working as part of the Digital Barriers team as we capitalise
on that potential together, as a larger and broader solutions organisation."

[pmeldrum] 23/6/2010 08:32

Very quiet board
A good sign i think no hype

Bought into these after reading shares mag a few weeks ago that had DGB as their tip of the week with an interesting article

Cheers Paul

[nickjoseph] 20/5/2010 10:16

These shares are just starting to move. Have held in here and they were recommended by Sharewatch. Something must be happening or news coming out. Someone has just paid £1.40 for these. Good luck out there.

[eburne1960] 24/4/2010 18:49

Techinvest also mentioned it in their last two issues. In March's it said buy if the shares don't go to a big premium, and in this month's it said that the large premium means they will be monitoring progress rather than recommending it as a buy.

[glasshalfull] 24/4/2010 11:29

ITM -

I'm also keeping an eye on the"son" of Detica. Fantastic management team that is already proven in implementing a buy and build strategy.

My only issue is the premium you are currently paying for this expertise. They are currently 35% above cash raised and wha in essence is a cash shell that will be the vehicle to create a substantial business. I'd be more inclined to monitor at this stage as I believe more than fully valued.

A recent SCSW article mentioned;

"Dealings started on 4 March following a placing of £20m new shares at 100p to value the company at £24.8m. At the latest 126.5p, clearly investors are hopeful that Digital Barriers will be "son of Detica."

Established in 1971, Black took control of Detica in 1997 when he led a VC-backed management buyout. He floated the business in 2002 for £87m and subsequently sold it to BAE for £531m in 2008. Detica's mainstay was the supply of IT professionals on development / application management assignments, usually involving applications for managing large data volumes for government departments. Over the years, it went on to develop high volume data screening systems to uncover large-scale fraud, money laundering and other types of organised crime."

I have however invested in ASW which is undertaking a similar buy and build strategy with proven management in the NHS technology arena and has 18months worth of adding businesses which now look poised to deliver. Like Digital Barriers it sat on a
premium but with the various strands coming together and static share price for sometime it now looks very reasonably valued IMHO.

Hopefully the same scenario will unfold with Digital Barriers and appropriate time to buy in.

Regards
GHF

[inthemoney55] 23/4/2010 21:45

Been looking at this but not much info on them. Looks like experienced management team but not much of substance yet. Cash rich so more acquisitions soon no doubt. Cannot decide if share price has got growth on good news or if it is already over priced.

[hew] 25/3/2010 09:56

Kicked off today! Part of RNS:
___________________________________

The Board of Digital Barriers plc ("Digital Barriers" or the "Company"), a newly-incorporated company focused on the provision of specialist products and services to the homeland security market, is pleased to announce the acquisition of Security Applications Limited (trading as D Ford Associates) ("SAL") for a maximum consideration of £2.5 million (the "Acquisition").

SAL is a UK-based specialist supplier, installer and integrator of thermal imaging equipment for perimeter surveillance, law enforcement and the protection of high-profile target locations. SAL supplies customised equipment and associated installation and maintenance services on a project-by-project basis to a highly-concentrated customer base through an existing framework agreement with a major UK Government department.

[rhubarbe] 15/3/2010 14:02

You have to hand it to robbo. Total de-ramping t0sser that he is.