Inspired Cap Share Discussion Threads

[shaka198] 21/5/2015 18:07

Always good when CEO commits his own dosh!

[dendria] 21/5/2015 17:42

Well Jeremy Coombes has bought £75k worth - more than just a token buy I think.

[shaka198] 18/5/2015 21:20

750000 purchase?

[p1nkfish] 18/5/2015 11:28

CFO went to Nanoco where Henderson also have a decent % holding.
PHD - Henderson also have a decent % holding.
Henderson on BoD of INSC.
Henderson with ESG and since upped stake.

Some commonality in all this - similar to ESG where the CEO went unexpectedly having seemingly done a good job and talk it was down to major shareholders baulling at future remunderation package.

I suspect similar here were the good old days of the likes of Capital One are now gone for this sector and a major push to control remuneration is on the cards. Those that can, under that regime, usually move one.

This needn't be bad at all, just un-nerving for a period. Margins will be managed carefully to achieve some profitability as soon as possible. Knock-on effect to PHD possible?

[quepassa] 18/5/2015 10:39

My personal internal radar is swirling nervously.

Maybe it's nothing but the combination of the following events is- to me personally- distinctly unnerving

1. CFO - Chief Finance Officer resigns ten days ago.

2. Seemingly positive prelims announced on 17th. April but they notify of an Accounting Error which was identified causing restatements

3. Today the CEO - Chief Exec Officer resigns.

Last month in the prelims announcement he said he was delighted to be at The Company. "I am delighted to have joined a company with such an ambitious vision in the SME lending market. Our strategy is to transform that market, where currently only one in five (of the 4 million) SMEs borrow. "

4. Today also the Chairman resigns.

5. No reasons provided why both Chairman and CEO are leaving today or where they are going.


In my guess, something may or may be not going on. I have no idea what it may or may not be but when I see the Chairman, The CEO and the CFO all leaving in such quick succession, I personally don't like it. That is strange and unusual.

It certainly won't assist in the early stages of their application for a Banking License where, in my experience, the regulators like to see a certain degree of stability of management.

I have today sold all my holdings.



Good luck to all holders - and I will watch from the wings with interest.

ALL IMO. DYOR.
QP

[shaka198] 18/5/2015 10:35

Am very happy for non productive overheads to be reduced!

[p1nkfish] 18/5/2015 09:33

The Henderson director on the BoD is also on ESG.

ESG CEO was gone quickly earlier this year too having done what appeared to be a good job. I think it came down to remuneration going forward and may be the same here too. A bit of a coincidence otherwise.

Henderson may be pushing for rapid return/profitability and some of the upper management of small caps can be a drag once the trend is set up.

The 2 going have also been big fish in the past and that doesn't always fit when it comes down to pay in a small cap.

[shaka198] 18/5/2015 09:17

Nothing in latest accounts to indicate a problem apart from the takeover accounting issue which is historical. Coombes built up Ultimate so hopefully safe hands there.

[p1nkfish] 18/5/2015 08:55

may be down to limits on remuneration going forward.
just a thought.

[p1nkfish] 18/5/2015 08:45

think they may be big fish in a pond that is too small

[stegrego] 18/5/2015 08:02

Well I don't find the fact the CEO and Chairman have gone very inspiring, with the CFO going 2 weeks ago.
In fact I'm so inspired, I've sold the small holding I held, although it hasn't shown up yet.

[p1nkfish] 18/5/2015 07:23

Nuisance that the 2 main directors are on the way out.
May be they are starting something new elsewhere.
The company should make sure it reassures the market there is nothing untoward internally.

[gnnmartin] 11/5/2015 11:31

That's my take too. I can't be bothered searching back over the RNS and the reports, but my unreliable memory is that we have been told as much, or at least, it has been strongly hinted.

[shaka198] 11/5/2015 08:51

Sounds like to me that any potential value there has long gone otherwise presumably would have been sold or otherwise referred to.

[p1nkfish] 09/5/2015 22:10

HSBC making further £400M available to SME's in the Midlands.

Good question about IP. If any good it must have some book value.

[alimo] 09/5/2015 01:03

Before he goes I wonder if Mr Blain will come clean on the whereabouts of all the Renovo IP now that there has been no comments made since the last reported sale, and then the merger with Ultimate and change of name to 'Inspired' Capital. This surely doesn't just get swept under the carpet even for an AIM company, does it? Mr Blain must know, but isn't saying, is he? If he doesn't know, then who else might know what happened to the 'brilliant' research that he administered the tens of millions of finance for?
Hope he doesn't just get to take them to NANO, as a thank you for the service he provided.

[p1nkfish] 17/4/2015 18:16

Weak finish?
Next week will be interesting, one way or another.

I tend to ignore Brokers/Analysts, they talk their book. No doubt it might get to high 40p's but that doesn't mean it can't visit 14p or below first.

[glasshalfull] 17/4/2015 09:04

For my tuppenceworth I'm pleased that their review/controls have picked up this historical issue which is for a nominal sum when looked at in context.

Importantly the business is gaining further traction and has both significant potential, grand ambitions & a management team that have been there and done it.

FWIW Cenkos have valuation of 53p-75p based on the various valuation criteria used.

Regards,
GHF

[shaka198] 17/4/2015 08:42

Looks like business is well on track for significant growth over next year or two.

[harrissen] 17/4/2015 08:25

RNS Number : 5276K

Inspired Capital PLC

17 April 2015


nspired Capital plc

("Inspired" or the "Company")

Preliminary Results for the year ended 31 December 2014

Inspired Capital plc, a leading provider of customer focused financial solutions to SMEs, is pleased to announce its preliminary results for the year ended 31 December 2014.

Summary Financials
-- Number of clients up 36.3% to 1,323 (2013: 971)
-- Loan book(1) increased by 60.8% to GBP66.9 million (2013: GBP41.6 million)

-- Loan book funded by Group cash GBP25.8 million (2013: GBP8.2 million) and borrowing facilities GBP43.5 million (2013: GBP33.0 million)
-- Back to back funding facility increased to GBP50 million during 2014

-- Further increase in back to back funding facility to GBP75 million following agreement with the British Business Bank in March 2015 enabling significant growth in invoice factoring and discounting.
-- Revenue up by 21.8% to GBP16.2 million (2013: GBP13.3 million(2) )
-- Gross profit up by 26.1% to GBP11.6 million (2013: GBP9.2 million(2) )
-- Trading profit up to GBP3.3 million(3) (2013: GBP0.7 million(2) )
-- Loss before tax of GBP0.5 million (2013: GBP0.8 million(4) )

The Group has identified an accounting error in its recently acquired business, Ultimate Finance Group and has now quantified the error. Consequently the Group accounts for the period ended 31 December 2013 have been restated to reflect previously unrecorded liabilities. The majority of the restatement relates to the pre-acquisition period and accordingly goodwill has increased by GBP1.1m with GBP0.4m being recorded in the prior period loss. A further adjustment of GBP0.4m is reflected in the results for 2014 and the total recorded provision for this liability at 31 December 2014 is GBP1.9m.

1 Loan book comprises gross receivables before bad debt provision and is stated inclusive of credit balances.

2 2013 comparatives are those of Ultimate Finance Group although this period includes a period prior to its acquisition by the Group and remains unaudited. They are included to enable a better understanding of the Group's performance during the period.
3 Before Group costs, reorganisation costs, amortisation and tax.
4 As restated - see Note 6.

Business highlights

-- Key senior management appointments made including CEO, COO, Group Head of Marketing and Head of Sales
-- Increased marketing investment and tripled sales force supporting existing products

-- Continued testing new unsecured product (www.ultimatebusinesscash.co.uk) with late 2015 launch targeted

-- Entered Collaborative Agreement (February 2015) with Proactis which provides exclusive access to market spot/single invoice finance product to captive distribution channel; targeting H2 2015 launch
-- Banking licence application initiated

Matt Cooper, Chairman of Inspired, commented: "We acquired Ultimate Finance Group ("UFG" or "Ultimate") in September 2013 with a clear long term strategy to be the leading supplier of a broad range of financial products catering specifically to the SME market. We're pleased with the results we've achieved this year, which prove that significant growth can be achieved in the acquired business, but recognise that they are just the start of our journey. We expect this growth to accelerate in the future. Simultaneously, we will continue to lay the foundation for growth in new product ranges and distribution channels, as well as focus on the development of our long-term brand.

There continues to be clear demand for a provider of innovative, flexible financial services for SMEs and the Board is confident that we are well positioned to continue to grow significantly."

Brian Cole, Chief Executive Officer of Inspired, commented: "I am delighted to have joined a company with such an ambitious vision in the SME lending market. Our strategy is to transform that market, where currently only one in five (of the 4 million) SMEs borrow. We will do this by innovating product, leveraging expanded marketing channels and sophisticated credit techniques, wrapped with a mass customer-focused brand, in order to reach new customer segments with a more appropriate financing solution for their many and varied needs. We began this journey last year by rapidly scaling the UFG platform which we acquired for its range of products, deep secured lending credit history and fit-for-purpose technology infrastructure. In addition to growing the loan book by 60.8%, we laid the foundations for our first and second expansions along the product and marketing channel dimensions with the on-going testing of Ultimate Business Cash, a direct marketed and digitally served unsecured working capital line, and the collaboration agreement we reached with Proactis, as previously announced.

Still, 2014 marked only the beginning steps of our journey to disrupt the SME lending market and we are on our way to becoming a multi-billion pound market leader."

For further information please contact:

[p1nkfish] 17/4/2015 08:23

shanklin hit the nail on the head.
dd is CRITICAL in this segment.
at least they found the error.
see what happens over the weekend and a few sessions after.
news release carefully managed, little mention of accounting irregularity in acquisition.

next week will be interesting.

[harrissen] 17/4/2015 08:18

The found the error which was in their favour what the hell are you complaining about?


This is positive news and a very positive RNS all round also!

[battlebus2] 17/4/2015 08:04

Well the market likes them..

[p1nkfish] 17/4/2015 07:54

at least they caught the error which is positive.

they played it down in the results from my perspective but far from ideal for a finance group.

may take a few sessions for the price to settle, today may not be the trough.

mondays are often weak days.