One Media Ip Share Discussion Threads

[yump] 06/10/2015 14:35

I was just re-reading the interims and now quite irritated.

On reflection, it seems to be mainly a commentary on Apple and Google and a load of stuff which is all very interesting about movements in the music industry.

But not a lot of information, if any, about how OMIP are likely to benefit from the possible outcomes.

Surely MI is not paid to do journalistic summaries about the music industry, he's paid to show HOW OMIP might benefit.

If you're going to express optimism, then it needs some backup as to why you are optimistic.

Its like an English lesson/test isn't it really:

Read the text. Now explain why the chairman is optimistic...

"The chairman is optimistic because..."

"Sorry Miss, I don't have enough information!"

[the shuffle man] 06/10/2015 12:26

Seems there is some history between the 2 groups ! Read the update at the end of the article. Getting very frustrated with the continued weakness in the share price and lack of any positive news.



One Media wins copyright infringement case

One Media has won a lawsuit against Henry Hadaway, HHO Licensing Ltd and Henry Hadaway Organisation Ltd, in what was ruled as "wilful copyright infringement" of One Media iP's exclusive copyrights into the Point Classics catalogue.

On September 17, 2015 the Federal Court in Nashville Tennessee issued a judgment for the sum of $781,846.32, which includes costs of $9,928.82 in favour of One Media iP Ltd against the HHO entities and Henry Hadaway personally for the wilful infringement of 1,466 recordings from the Point Classics catalogue owned exclusively by One Media.

The catalogue includes over 4,000 recordings, which are widely used (under strict license) for digital, physical and sync purposes. ?Point Classics operates a digital web site for music supervisors and licensees alike whereby the content is regularly exploited on a B2B basis.

Said One Media CEO Michael Infante: "We are pleased that the Federal Court in Nashville Tennessee has recognised our exclusive ownership into these recordings and the wilful infringement made by the Hadaway Defendants. This sends a strong message to those who believe that exploiting our content in foreign territories will go unchallenged. The music industry is only as good as its content and its ability to monetise it and we will strongly defend our music assets whereby we see them being flagrantly infringed”.



Update:

Following the publication of this article HHO Licensing Ltd responded with this statement:

HHO points out that HHO Licensing had been in liquidation since 2001 until 2008 when it was dissolved. Henry Hadaway Organisation Ltd and Henry Hadaway did not defend the claim on the advice of their lawyers. As the case was presented in Nashville, HHO challenged One Media to bring proceedings to the UK where both companies are registered. Henry Hadaway and HHO refute the judgement of the Nashville courts, besides the Nashville courts don't have a jurisdiction over a foreign company that doesn't trade in the state of Tennessee. HHO maintains that none of the HHO entities have licensed or sold digital rights to the Point Classics Catalogue to S.A.A.R. or any other third parties.

“This was a very silly claim," said Norbert Toth, international licensing manager at HHO. "One Media knew full well that neither Henry Hadaway nor any HHO company had anything to do with this case. Not only did Mr Hadaway tell them this, but so too did SAAR and Believe. But One Media insisted on suing Mr Hadaway personally in Tennessee presumably to try to embarrass him as he had embarrassed them last year when HHO caught them infringing its copyrights in a number of musical films. Mr Hadaway did not take any part in the Tennessee proceedings on legal advice. The Judgment is not binding in the UK and we very much look forward to One Media bringing an action here so that Mr Hadaway can defend himself and prove what a nonsense this claim is.”

[microscope] 26/9/2015 17:26

No appeal I hope? If not, good news indeed

[dibs61] 22/9/2015 13:00

US Court Win - over £0.5m plus out of court settlement with Believe.

Good news.

[microscope] 28/7/2015 12:24

Just reading all the comments through, it's often when the donkey work has been done (as here) and profits flatten out for a while, but the finances are sound, that a predator arrives.
Purely personally, wouldn't be accepting less than 12p if that arose. Just thinking out loud, not suggesting i have any inkling of any offer arising.
Rightster, purely for example, needs to do something with its cashpile to satisfy unsettled holders. We'd be a sitting duck for the likes of them.

[briangeeee] 27/7/2015 17:10

harrogate, I would broadly agree, with the additional thought that if we're going through a period of low growth, attention should be focused on the cost base that has risen substantially over the years. Obviously cost expansion is fine when revenues are charging ahead, but they're not now. So, a good look at what suits the current environment. Surely this is the sort of business that can run pretty lean during challenging times, while generating decent bottom line return.

[harrogate] 27/7/2015 16:50

I think this is pretty much what was flagged by the reduced broker estimates and what has been signalled by management and what we can all see happening from the market. The issue is why would anyone buy these shares and thus why is the price going to go anyway but down? There is no real yield and a warning on margins - so we are ex growth and have no yield. Management have been hit by a bit of a firestorm and that happens sometimes but it is clear to me anyway that the old expectations on earnings are long gone as is a 15p share price. I still believe that management need to massively increase the dividend and turn this into a yield stock. They can do deals without dilution as long as not with shares - they have £1m - maybe small infill deals with a speedy monetisation will enhance earnings It is going to be a very long haul from here unfortunately.

[bdroop] 27/7/2015 12:43

There's a Barclays analyst note just out ( and something I agree with, which I guess is why I choose reference it - I'm biased ) that states the general music market will drop through 15,16&17, but will increase in 18. Which is not to say will be the same for OMIP with its mix of catalogue ( I think it's insulated as it really is the lower of the market ) so don't get giddy about growth in streaming happening quickly. However catalogue at the right price is definitely a good investment. This should be seen as an income share and not a growth share, so the dividends will be enormously important here I think... I think the price is still "toppy" here, so am very much looking for yield with this one. It would be good to see further acquisitions but without dilution and tbh I'm not sure how they're going to do that?

[oregano] 27/7/2015 12:22

extraordinary he doesn't explain exactly why profits reduced. from his chatter, it sounds like they are set to reduce further.

[microscope] 27/7/2015 12:17

Maybe to do with the Point Classics payments? Don't know, but I'd have thought the share price discounted these results, though still somebody choosing to sell. They're not great numbers but as ever solid and profitable with no debt, divvy maintained and plenty cash.
Nothing goes up in a straight line and the higher tax payment has contributed to the slight fall off in the bottom line, but I'm content to hold (and frankly accumulate when I can at these levels) as I've always seen this as a long term project and as Michael says, in 18 months the 3 month Apple trial period will be seen as small fry.

[bdroop] 27/7/2015 12:04

Yes I read that and had no clue what he was wibbling on about. Apple pay in euros for UK and EZ. Pay in dollars for the USA. I also have no clue how much control they have anyway as they're aggregated by The Orchard for audio rights? As for the amounts paid for the apple music three month free period, they're more than when Mr. Infante originally said he'd signed up to the service - so you have to question his understanding of the rates... Apple Music will probably add around 10% to the streaming market thus far would be my guess, but at a cost to its own market share on downloads, and not create a massive migration from Spotify... Which should be OK for OMIP but not a massive game changer in the short term...

[briangeeee] 27/7/2015 10:33

As the share price indicates, disappointing results.

Did anyone understand this comment from the commentary:

"The Group receives the majority of its income in US Dollars. Recent shifts in exchange rates have not favoured us however the Board carefully monitors exchange rates to ensure it can seek to take advantage of the best exchange rates available."

H1 runs from Nov 14 to Apr 15. The exchange rate during that period could hardly have been more favourable for a business receiving US$ income. Clearly, as I've said previously, it's not so good for a business trying to acquire US denominated content, but most businesses would love to be in the currency situation of OMIP.

[pj 1] 16/7/2015 09:36

cash at year end £1.2m. £5,3 mc

[harrogate] 16/7/2015 09:33

I think it is £5.6m ?

[the shuffle man] 16/7/2015 09:21

Is the ADVFN Market Cap correct at 0.5m ?

They had over £1m in cash plus the assets they own.

[harrogate] 16/7/2015 09:03

67,000 share sale on ISDX today probably - but lack of news, lack of clarity on economics of the business in the new streaming world all behind the now 60%+ fall from its high. We seem to have halted what I thought was a very sensible discussion on the board about all this - Maybe we should start it again !

[the shuffle man] 16/7/2015 08:56

Any idea why the drop today ?

[m1shake] 03/7/2015 10:52

One Media iP Group Plc

("One Media" or "the Group" or "the Company")

Completion of final deferred payment for the Point Classics deal, and Notice of
the half-year results announcement date

One Media iP Group Plc (AIM: OMIP), the digital media content provider, which consolidates, exploits and monetises intellectual property rights around music and video, is pleased to announce that it has completed the contractual terms regarding the acquisition of the 'Point Classics' catalogue of rights it
acquired from Telos Holdings Inc. ("Telos") on 2 July 2014 and has now paid in full the deferred consideration of USD$160,000 to Telos of Los Angeles, USA, the vendor.

The deal, which comprised over 4,000 classical recordings and all corporate logos, registrations and distribution rights, was signed on 2 July 2014 for a total consideration of USD1,600,000 which has been entirely satisfied from existing cash resources.

The Company also confirms that it will announce its half years trading results
on 27 July 2015.

One Media also greets with enthusiasm the new Apple Music initiative. We are on record as saying that streaming will be the future of music monetisation and despite the 'press' surrounding the various 'free periods' being offered to new consumers of the service, we believe that this will benefit the Group in the
longer term and add value to the One Media catalogue as the service gains traction.

[bdroop] 01/7/2015 23:35

This company doesn't have high quality catalogue. It's pretty much the dregs. Having said that it has a better business model than Rightster. Don't expect explosive growth here, but there is some value. IMO. Not invested but gla.

[briangeeee] 30/6/2015 19:44

microscope, could you describe the financial characteristics of such an acquisition? Obviously the company are making acquisitions all the time, but generally small. Are you suggesting that one larger acquisition would be better than multiple small ones? Would you see acquiring a management team with some assets as beneficial?

Presumably to be earnings enhancing (should new equity be issued), it would need to have significant better earnings characteristics than those of the current company?

I think the big issue with the current negative sentiment, is that expectations at the time of the ISDX to AIM move were far too high in comparison to the capabilities of the company. The profit expectation set then for 2014 was £0.55m. It transpired that the company made a profit of £0.62m, but that was by capitalising a whopping £1.4m net to intangibles. The forecast had no increase in intangibles. Now it could of course be that will pay handsomely in future, but a revised 2015 profit estimate of £0.4m, down from the previous estimate of £0.7m does not inspire confidence.

So, the company has made significant acquisitions, and they're not producing the returns predicted by the company and its broker. I know your proposal is to make more acquisitions, but what needs to be different?

Personally I'm not too happy with recent progress and indications from the broker, but I'd prefer to avoid material acquisitions until we and the management can see clearly what's producing attractive returns.

[microscope] 30/6/2015 19:04

Let's not dip into the usual advfn style thread. I disagree with harrogate's view, but he's entitled to wonder when the acquisition we would all like to see is going to arrive.

I think we continue to have a niche where we can cherrypick, and I don't see any merit in the company returning cash etc at this stage personally. A business of this sort might be taking longer to grow than we might have hoped, but management have done us proud to date, and I think they will continue to do so, that's why they continue to have my support.

Meantime, I think that aligning with the likes of Apple and Youtube can only be right for future gains, even if we can't yet guess how much it will add to profits, but I'm confident that such a strategy will bear fruit. That is hardly the strategy of a business about to sell up.

We'd all love to see into the future and say strategy x,y,or,z will add an almost exact amount to profit so we could work out everything, but business doesn't work like that! Life is never that simple.

[m1shake] 30/6/2015 18:23

Speechless. Suggest you sell up buddy oh and by the way cancel your holiday to Greece, sell all your sterling in case the euro recovers and seek help.
If you bought 4 years ago then you are in at under 5. Where's your loss? I make that still a gain.
I am sure that if Omip looks to a trade sale it would be to one of the companies whose pbt and management team need the assistance of Keep Calm and Carry On management style. Each to their own.

[capt bligh] 30/6/2015 17:12

For goodness sake Harrogate...

[harrogate] 30/6/2015 17:03

M1 - I know very much what the company does - I have held the shares for over 4 years. Yes I am suggesting that the best result for shareholders might be to sell all the catalogues and return the money to the shareholders ( or sell the company) if that would produce a value above where we are unless management are confident that they can grow profits and s get the share price up. Or turn it into an income share based on the solid royalty rates and get the dividend increased significantly.

[microscope] 30/6/2015 14:10

A link to Captain's post. Meat on the bones harrogate :)