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MPOW Mopowered Grp

3.75
0.00 (0.00%)
03 May 2024 - Closed
Delayed by 15 minutes
Mopowered Grp Investors - MPOW

Mopowered Grp Investors - MPOW

Share Name Share Symbol Market Stock Type
Mopowered Grp MPOW London Ordinary Share
  Price Change Price Change % Share Price Last Trade
0.00 0.00% 3.75 01:00:00
Open Price Low Price High Price Close Price Previous Close
3.75 3.75
more quote information »

Top Investor Posts

Top Posts
Posted at 24/11/2014 09:10 by yump
Wouldn't surprise me if this went bust, the model isn't working very well at all.

42 new clients in first half (stated at interims).
17 in 4 months in the second half, so say 25 total in second half.

The only way its working is if the 42 included a load of small ones and the 17 represents all mid-tier or higher.

Will be keeping an eye on it though. They will still have gone from 1mln revenue to 1.6 mln year on year, but too early to say whether there is any real traction.

The 17 may well be bigger, but if the % MPOW are taking is less than before...

Basically they're experimenting with investors' money.
Posted at 28/10/2014 10:53 by raysor
Hmm, shrewd investor, buying Mopowered!
Posted at 28/10/2014 10:42 by bobby.ifa
I know he's a shrewd investor, he made a packet on eiodos & silence therapeutics.
Posted at 23/9/2014 10:20 by the stigologist
In order to recapitalise the Company, Peterhouse has conditionally raised £300,000 at 0.06 pence per Subscription Share, through the subscription of 500,000,000 new Ordinary Shares representing 53.7% of the issued ordinary share capital. The members of the Consortium have each agreed to sell their entire holdings in SSM (being 203,536,656 Ordinary Shares in aggregate, representing 47.2 per cent. of the existing issued ordinary share capital) to the investors, on a pro rata basis to their investment, for a nominal sum of £1, the effect of which is to reduce the price per share being paid by the Investors to 0.04 pence per share.
Posted at 04/8/2014 07:57 by opodio
Living in denial. There is not enough cash to carry it beyond December

Needs to find mug punter investors from Octopus and Isis to invest. Its their last hope imho
Posted at 01/7/2014 11:43 by aishah
MoPowered (LON:MPOW)

Another early stage company, which sells mobile retailing software.

A trading update this morning looks weak - the company says that it "continues to grow strongly", but then says that sales in the six months to 30 Jun 2014 were just £0.75m! (less than expected).

The company then contradicts itself again, by saying that some large orders slipped from Q2 into H2, but then says that they will miss their full year numbers! If the only issue was slippage from H1 to H2, then it wouldn't make any difference to the full year numbers. So yet again, order delays is used as a way to describe what is actually just poor performance.

- shows broker consensus forecast of £3m turnover for calendar 2014, and a £3m loss. So I would now be concerned about the cash position - do they have enough to continue operating? From what I can make out, they only raised £2.9m in the Dec 2013 IPO, which looks to me as if they might run out of cash this year?

So it now looks very high risk. Shares are down 38% to 38p at the time of writing. Another disastrous IPO, this one was from N+1 Singer - investors who bought at 100p in the Placing in Dec 2013 are now down 62% in slightly over six months. I know that AIM is supposed to be for more speculative, earlier stage companies, but some of the things that are floated are ridiculously early stage. Also, if you're going to float something this small, then at least raise enough money to ensure it can survive if anything goes wrong.

I'm surprised to see that Hargreave Hale hold 7% of this company, as they're normally very shrewd. Maybe the situation is recoverable, I don't know. Situations like this make me even more determined to continue avoiding story stocks as much as possible, and instead try to keep focussed on proper companies with real cashflow, dividends, and cash on the balance sheet.

- See more at:
Posted at 26/3/2014 22:46 by montynj
This is what Red hot Penny share guide wrote: " MPOW was set up in 2008, at the same time as the first consumer smartphones were coming onto the market. Founder Dominic Keen has a strong background in e-commerce: he used to be the online banking product manager at Egg, the internet-only financial services business originally set up by the Prudential. It was partially floated and then sold to Citigroup in 2007. At that time, Mr Keen left to form MoPowered. Originally, his idea was to develop mobile personal financial services. But then the mobile commerce element captured his imagination. MPOW began working on mobile IT projects for big retailers like Next, Superdry and Waterstones. It's quite impressive that Next, which makes over £300m annual operating profit from its online Directory business, has outsourced its m-commerce to MoPowered. MPOW developed its first application for Next in 2009 and is now its sole supplier for mobile websites and apps. Having such blue-chip clients certainly lends a lot of credibility to MPOW. But unfortunately it doesn't result in a scaleable business. The relationship with Next is mainly project-based. To do a lot more of this bespoke work for very large clients would be labour intensive, and MPOW would have to keep hiring software engineers to service new customers. So instead, they've used the knowledge and expertise accumulated from this m-commerce project work to develop a product that can be sold to lots of customers. No IT bod requiredMPOW has invested heavily in building an m-commerce platform, on which they spent over six years and in excess of £5m. It's been the focus for MPOW's future growth since it was launched almost two years ago. The big message here is that this is a scaleable business with a high proportion of fixed costs. That means that as revenues grow and the company becomes profitable, high margins and strong cash generation should follow.The MoPowered platform is multi-tenanted. That means hundreds of separate retailers share the same system. The process of bringing on-board new SME clients is quick and highly automated. A software tool translates the client's existing desktop website code into a mobile-friendly format. This is designed so it doesn't require IT specialists to carry it out. There is flexibility for some customisation, so the branding and look of the mobile site is consistent with the client's main desktop website. But a high degree of standardisation means new SME clients can be set up quickly and at little incremental cost. A new customer can be up and running in a matter of days.The client's desktop site also relays any changes in product or pricing to the MoPowered platform to keep the mobile site up to date. The system also handles large volumes of payments so MPOW has ensured it is compliant with Payment Card Industry standards (PCI-DSS). This allows small retailers to receive mobile payments through a range of partners including PayPal and the major card companies.MoPowered has "skin in the game"MPOW hosts these mobile sites on its cloud-based platform. That means everything is done remotely from the client's premises. It's an approach that also lends itself to the increasingly popular Software-as-a-Service model (SaaS). Clients rent the software rather than paying a big upfront licence fee. It makes it more affordable. And because the platform is shared, all clients benefit from improvements and updates immediately. Although MPOW's revenue will build more slowly under this SaaS model, I think its steady, repeat nature leads to a higher quality stream of profits. Clients pay a small set-up fee, but most of the MPOW's revenue comes from a monthly rental charge plus a small share of the sales generated from the ensuing m-commerce. This cut MPOW receives from a client's m-commerce sales helps align both parties' interests. MoPowered's proposition is that a well-designed mobile website will have a measurable impact on customer conversion. So it's directly incentivised to help their clients grow sales from their m-commerce activities. For example, Price Right Home is a family-owned e-commerce retailer selling a range of over 3,000 children's home and decor products. Moving to MoPowered's mobile platform has had a clear impact on the company's performance. The proportion of people visiting the site who made a purchase (the conversion rate) improved by 58%. People stayed on the site 20% longer than before and pages viewed per visit rose by 64%. PIt's eyeing up the European marketAt the time of the IPO in December, MoPowered had 120 clients. Of these, 99 were SME specialist retailers like Price Right Home. It's estimated there are 25,000 potential UK clients in this segment, so there is a huge opportunity. The revenue model has flexibility to accommodate different client profiles. For small clients a set-up charge of £1,000 followed by monthly rental charges of £150 for the hosting and maintenance plus 2.5% of transactions might be typical. Over a standard two-year contract these clients might be worth around £8,000. Thirteen clients back in December were mid-tier merchants like the BBC Shop and the homeware company Denby. These businesses will have online sales in the £5m-50m range. Their greater sophistication means they might require a little more hand-holding and customisation than the SME segment. This results in a bigger set-up charge and monthly rents in the £400 region; but higher volumes might mean the revenue share is only 1%. MPOW estimates there are 3,000 UK retailers who fall into this category. These clients are clearly more valuable, with a two-year contract worth maybe £40,000 to MPOW. The smallest segment of the customer base is the large enterprise category. Revenues here can be into six figures (Next currently accounts for over £250,000), but this work is more project-driven and one-off in nature. Work for the likes of Next and Waterstones does have other benefits though. Aside from adding to the company's credibility, the software development for these customers can also provide ideas for improving the core SaaS platform. While the UK market for potential SME and mid-tier clients is clearly large and valuable, MPOW is also starting to think about the opportunity in Europe. Smartphone adoption in the UK is ahead of many European countries, which has given MPOW a lead in the m-commerce space. But the major Western European online retail market is around twice the size of the UK so it's important to get a presence, even at an early stage of MoPowered's development. This has now started to happen: the Austrian tights company Wolford is already a customer, and we should see more resources applied to growth in Europe as 2014 progresses. MoPowered can dominate mobile commerceThe company has focused on investing in its technology base up to now, but the IPO proceeds will allow it to push on with sales and marketing to grow the client base. The sales team was eight strong at the end of 2013 but will grow to around 20 this year, including some foreign language speakers for Europe. An important source of new business referrals comes from "channel partners" like payment companies and other suppliers of e-commerce IT to retailers. Relationships are in place with WorldPay, SagePay and PayPal among others. CEO Dominic Keen is a bright and enthusiastic leader of the company who retains a significant shareholding. He holds a Business and Engineering degree from Cambridge, and being well over six feet tall and a former member of the Great Britain judo team, he's someone you take seriously! He is supported by an experienced chairman in 68-year-old Mike Hughes. Mr Hughes has a background at General Electric Company and more recently was CEO of Midlands Electricity, as well being a board member of Oxford Instruments and South Staffs Water. Finance Director Ben Carswell also has an impressive CV which includes an MBA from Oxford and experience with PwC and RBS. This management experience is reassuring and post-IPO the company's balance sheet is sound, with net cash estimated at £2.8m at the end of 2013. The shareholder register includes Artemis and Hargreave Hale, both well-regarded institutional small-cap investors. But this is still a young company and there are several risks to take into consideration. The most obvious risk is that the company has yet to make a profit. This makes valuation more difficult to gauge. Profits will depend on growing the number of customers on the platform, which means hiring effective salespeople and working with the right channel partners will be crucial. So far the evidence is good with client numbers growing from 64 to 127 over the last six months of 2013. But this is early days in a fast-moving industry . The main competition is from in-house technology ...continued on next page......continued on next page...10teams or consultants providing bespoke solutions. MPOW offers a different SaaS model, which should be a more attractive approach to many clients; but there is a risk that other e-commerce suppliers come up with competing mobile platforms. Ultimately, we are in a land-grab phase and MoPowered has to make the most of its focus on mobile before the competition wakes up.So what are the shares worth? Broker N+1 Singer has MoPowered moving into profit in 2015 with revenues of £8.1m and a small net profit of £0.1m. Gross margins are forecast at 86%, reflecting the SaaS model, so a further rise in revenues to £13.4m in 2016 gives net income of £3.2m – most of the sales growth drops to the bottom line. Verdict: If we put this net income on a multiple of 25 times, which is perfectly reasonable for an internet business of this type, we get a market cap of £80m or 506p per share. So if all goes according to plan that could be our price target, for a 406% gain. But we should apply a healthy discount to this to reflect the risks in a small growth company so we can have 250p as an initial two-year target. We should expect losses this year so the news to focus on will be growth in client numbers, sales partnerships and large enterprise client wins. Another high risk idea; given the exciting long-term prospects for m-commerce the shares are a Buy"
Posted at 22/3/2014 15:01 by montynj
@yump. Totally agree. This stock is still below investors' radars and hence is a great opportunity to accumulate whilst this is still the case
Posted at 22/1/2014 18:02 by protean
Chief executive Dominic Keen told Proactive Investors: "The market conditions for mobile commerce are very, very strong at the moment."

"Mobile commerce is one the strongest technology themes that will play out over the next few years and as such, successful execution of its growth strategy should create substantial shareholder value," said analyst Tintin Stormont.
Posted at 21/12/2013 23:23 by cottoner
Tech Innovators 2013: MoPowered

Date: 29 August 2013

Article: Profile

Based in: London

Founded in: 2008

No. of employees: 40

Company co-founder: Dominic Keen

Founder profile:

Having helped grow online bank Egg prior to its sale to Citi Group in 2007, Dominic Keen is a well-known pioneer in online commerce. He co-founded MoPowered to act as a service provider for the $1 trillion of global m-commerce transactions that are forecast for 2015.

Background business profile:

Dedicated to providing m-commerce for all, MoPowered represents a recognised, accessible and cost-effective service to help all retailers to take advantage of the growth opportunities offered by increased levels of mobile traffic. MoPowered enables merchants to quickly and seamlessly execute a mobile strategy via mobil e-friendly websites and apps.

Inside track:

Having rode the wave of online banking success when part of the team which IPO'd Egg and ultimately sold it to Citi Group, Dominic Keen has set up MoPowered to address the rise of mobile smartphones.

The SaaS product that has been created is firmly aimed at the B2B market and building mobile-friendly websites so that engagement can be improved.

Already Keen has big plans for his business – ones which will have to be expedited quickly to keep up with a fiercely competitive environment. 'We are looking to IPO on AIM in the next 12 months, so are working quite hard to get that away,' he reveals. 'We have launched a pre-IPO funding exercise which is looking to raise £1.5-2 million.'

When pressed on why London's AIM market has been chosen as the company's ultimate home, Keen says that becoming public will give MoPowered's customer base more confidence in its offering. 'It's a more exciting place to be right now as much more money is coming back into AIM.

There is a higher risk appetite for investors in tech, which hasn't been there recently,' he adds. Two floats during the last year which have given him confidence are those of WANdisco and blur Group which, to him, signify that AIM is opening up a bit.

For business targets, MoPowered will be growing its pipeline by continuing to educate B2B consumers on the benefits of a mobile presence.

'Our sweet spot is those between the £1 million and £20 million of online trading. For them, our proposition is clear and differentiated.'


Recent milestones:
•Processing around 500,000 transactions a month
•60 live clients
•PCI-DSS Tier 1 processor

Upcoming milestones:
•Cash flow positive at the end of 2013
•Expansion into European markets in 2014

Recent technology:
•MoPowered's WebFlow technology automates the onboarding process for new merchants, to make the cost of implementation very low Integration with new e-wallet products such as PayPal Shortcut, V.Me and Masterpass help to improve conversion optimisation across the mobile and tablet channels
•New platform features for improved search, enhanced site performance and compatibility with key mobile marketing methods

Alliances:

PayPal
WorldPay
Sage Pay
MasterCard
SecureTrading

Investors:

Anthemis Investments
Oxford University
Government Angel CoFund

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