Media Square Share Discussion Threads

[markie7] 14/8/2009 09:58

should reference that really - Bob Willott, from Brand Republic blog

[markie7] 14/8/2009 09:57

Anyone who might have hoped the arrival of Roger Parry as part-time executive chairman at AIM listed Media Square would bring about a period of equanimity will be disturbed by the latest developments.

In about two week's time shareholders will be asked to decide whether or not to appoint the Irish financier Peter Lynch to Media Square's board. According to the almost hysterical reaction reflected in the bundle of documents sent out with the notice of Media Square's annual meeting, Lynch is a small-time operator with no relevant experience who refuses to discuss how he could run the business better than Roger Parry is doing at present.

Readers of this blog will also know that Lynch's company Prime Active Capital ("PAC") has already had to write off losses of around £5 million incurred in buying 21.5% of Media Square's shares during the last two years. So his judgement may not be entirely impeccable.

Parry seems to have gone to great lengths to demonstrate just how much the board resents Lynch's approach. For example, he has produced a letter from 24 of his senior managers saying how wonderfully Parry has reorganised the business and how divisive it would be if someone like Lynch were to join the board.

Parry also appears to be paranoid about conspiracies. He has identified links between PAC and another more recent shareholder Anthony Gill who bought a 16% stake in April this year (see Yorkshire entrepreneur buys 16% of Media Square). He reckons Lynch wants to gain control of Media Square (which might make his own role somewhat superfluous). He is also troubled by the thought that Lynch may have plans to reintroduce the group's former chief executive Jeremy Middleton in some undefined role, although Middleton is adamant that he hasn't the slightest desire to cross the Media Square threshold ever again.

Why shoud Parry be worried? Hasn't he turned Media Square round into a profitable group again? Well not quite, but he hopes to do so in the second half of the current year. Does Lynch offer a better future for shareholders? Not if PAC's track record is anything to go by, as it has run up losses of about £6 million over the last two years.

Clearly there are risks to Parry's own job security if shareholders like Gill, Lynch and others want to gang up on the current management team. And it is fair to question whether boardroom warfare is likely to be in the best interests of anyone. And it is certainly reasonable to question whether Lynch has any really relevant skills to offer, bearing in mind PAC's predominantly unfulfilled aim of acquiring "companies where value can be achieved through improving and reinvigorating management teams". Being an Irish chartered accountant and former finance director of several companies outside the marketing sector may not prove sufficiently compelling.

The danger with Parry's current stance is that he will be seen to protest too much and the legitimacy of his arguments will carry less weight as a result.

[rolandspike] 12/8/2009 16:24

Thanks Markie - fascinating.

For one reason or another, I just can't see that Mr Middleton returning will be welcomed by the business unit principals or the institutional shareholders either. And unless he's still a major stock-holder, I'm not sure why this would appeal to him.

Lynch seems convinced that there is value in Media Square that Parry et al are failing to exploit. I'd have to agree. However, whether his plans are in the interests of all the shareholders remains to be seen.

There are some great businesses in the group, all of which were allegedly operating profitably earlier this year. I'm not sure that this board is the right one to take the group to the next level, but some improvement in the share price would give confidence.

[dalcon01] 11/8/2009 10:19

??.....................found it !

[rolandspike] 09/6/2009 20:19

SP still a long way to go. Will MSQ be worried by this latest news from Mr Middleton? Probably not?

Photo duo click together
Manchester Evening News

THE ex-boss of listed marketing services business Media Square has teamed up with a former colleague to launch a photographic production business in Cheshire.

Jeremy Middleton, 48, who stepped down as Media Square's chief executive in June 2007, has set up Hangar Seven with Nick Aldrich.

The duo first worked together at Equanim Group, based in Buxton, which was acquired by Media Square in 2002. The group included APR Photography.

They recently established an advertising agency in Chesterfield and have now ploughed in £250,000 to get Hangar Seven off the ground.

The fledgling business, based on the Lyme Green Business Park, employs 19 full-time staff, including photographers, set builders and stylists, and more on a freelance basis. It is on course for revenues of £1m in its first 12 months.

Mr Middleton, who said Hangar Seven would be profitable in its first year, hopes to grow the business into a £5m-turnover enterprise within three years.

It has secured a fresh five- figure funding boost from Lombard, the asset finance arm of the Royal Bank of Scotland, to buy studio equipment including laptops, lighting and computers.

Hangar Seven provides photography, design and artwork services for catalogues produced by retailers including B&Q, other DIY chains and supermarkets.

Mr Middleton, who lives in Buxton, said today: "In some respects Hangar Seven represents a return to our roots, given our previous history in the photography production business.

"We believe there is a demand for a niche provider like Hangar Seven and are confident existing and potential clients will be impressed with the service that we offer."

Lombard's Andrew Bailey and Jo Jones, from the RBS, provided funding to the duo.

[fillipe] 02/6/2009 10:42

Excellent progress over the past 1-2yrs. Now's the time to buy in to a sound recovery situation, where the combined benefits of the improved company set-up and the late business cycle business opportunities will combine to show some startling good figures in the next 6-18mths.

One thing's for sure, MSQ won't be as cheap as this again.

Yes, I am a holder, who's been waiting for this turn upwards.

f

[dalcon01] 02/6/2009 07:05

Prelims.



Profits up 44%
Not got time to read through properly
Views anyone?
Dalc

[qs9] 28/4/2009 21:28

PAnel investigating ... stake upped to 16%, all very interesting. IMO it should all be +ve for the very low SP, but not moved much....!

[fillipe] 28/4/2009 20:02

And another 1m shares bought by Mr Gill, now making 5.19m...>16%.

Someone must be happy with how they see msq!

Roland - Here'a bit in today's D.Tel,courtsey of Digital Look, which includes a bit on Mr Gill.

[markie7] 28/4/2009 08:15

interesting stuff, but there is still a ton of debt in this. I'm fairly sure the bank facility comes up in the next year. and it will be interesting to see which banks lend £15m or so to a business with effectively zero earnings in this environment. lets see.

[rolandspike] 28/4/2009 08:03

Would appreciate a statement from the company, as I'm sure they know what's going on and who's involved. However, this stock is still way under-valued, especially if Parry's quote about all units being returned to profitability is true.

[qs9] 28/4/2009 07:59

Be fascinating to see where this moves over the next day or so...papers make interesting reading....

[fillipe] 27/4/2009 14:52

Action Stations!

See todays stake news and share price moving up on no vol.

Ready for a bit of a lift-off?

[rolandspike] 21/4/2009 14:48

Saw this article in Media Week. Says that all Media Square businesses are now running at a profit. Possibly selective disclosure, but happy to see some good news at last!


Troubleshooter Parry battles for local media
21 April 2009
Media Week

Roger Parry is known for being the go-to man for media companies in need of a turnaround. Parry has been involved with Clear Channel Outdoor, Aegis and Jazz FM, and has previously attempted to take over both HMV and ITV.

At present, as well as being executive chairman at media company Media Square, he is non-executive chairman of four media companies: specialist magazine publisher Future, internet market research firm YouGov, mobile content company Mobile Streams and theatre organisation the Shakespeare's Globe Trust.

Media Square is typical of one of Parry's projects. When he was called in two years ago, the business consisted of 43 different ad, PR and design agencies, some of which, Parry says, were losing money. But after a few years with Parry at the helm, Media Square comprises 11 different companies, including communications and marketing agency The Gate, and all are happily turning a profit.

[boxtie] 16/4/2009 14:33

price moving up, what's goin down? ...what's the beat on the street?

[qs9] 16/4/2009 14:16

Definitely something up

[qs9] 16/4/2009 12:10

interesting material move up...

[bletherer] 01/4/2009 14:22

Can't believe how lucky I was selling these at 11p pre-consolidation; and to think I was seriously considering buying back in when they were at 6p (=60p post-consolidation)! The lesson I draw is to stay clear of indebted AIM-listed companies in future, for anything other than a short-term technical trade with clearly defined stop loss levels. 'Buy and hold' in that category and by the end of a bear market you'll be lucky to be holding anything more than a handful of dust.

[markie7] 26/3/2009 12:54

looks like 2009 will be the year of impact at this rate.....

[dalcon01] 26/2/2009 16:02

This is fu*ked!