Patsystems Share Discussion Threads

[bg23] 23/10/2009 08:59

numis were stuck on the offer all wednesday at 23. there was some trade but after hours a couple of large trades total 2.75m were posted.

maybe a stock overhang cleared?

[max euwe] 22/10/2009 20:09

It would appear the share price reaction to yesterday's news was somewhat belated.

regards,

D'artagnan

[bbd2] 22/10/2009 17:48

Well that's a nice start to the recovery !

[bbd2] 21/10/2009 21:23

It's hard to believe that PTS is still stuck in the low 20's given what it has achieved in the last 5 months. Still, the Muskateers day will come !!!lol

[glasshalfull] 21/10/2009 08:17

Make it 4 now :-)

Been watching for a while and adding a few on weakness.
Initially the high(ish) PER and growth forecast put me off but with their recurring revenue stream and high gross margins not to mention the push into emerging markets whetted my appetite.

They seem to be generating quite a bit of momentum, especially in Far Eastern markets.
Another piece of the jigsaw this morning.

Anyway, glad to have joined the party.

Regards,
GHF

[bg23] 21/10/2009 08:04

lol, no probs.

what happened to maddox? he was a long term threader,presume holder. been very quiet of late.

back to the news, they have been pushing new clients out on a pretty regular basis. I am very much of the opinion that these will be adding significantly, when added together, on monthly recurring revenues.

the more the merrier for the bottom line !

[eacn] 21/10/2009 07:58

bg23, re: post 1051 my apologies: I should have said 'three of us' rather than only two.

[bg23] 21/10/2009 07:46

and again........ keep it up pats!

Patsystems Signs Korean-Based Blashnet


Singapore: 21 October 2009 - Patsystems is pleased to announce that it has
signed a software license agreement with Korean-based Blashnet. This partnership
marks a significant milestone for Patsystems as Blashnet will serve as
Patsystems' localised hub in Korea, allowing for both inbound and outbound
trading.

Utilising its Patsystems infrastructure, Blashnet will have localised
connectivity to the CME Group (www.cmegroup.com) and the Korean Exchange
(KRX.) Clients of Patsystems will be able to connect into Korea through the
Blashnet hub using Patsystems' unique X-link network. X-link allows customers of
Patsystems to leverage one another's exchange memberships, in order to achieve
maximum exchange connectivity in an efficient and reliable manner. All customers
who utilise the Blashnet hub for connectivity to the KRX will still be required
to establish a clearing relationship with a local KRX clearing member.


Patsystems will also provide Blashnet with its industry-leading front-end
trading platforms, Pro-Mark and J-Trader. This advanced trading capability will
be monitored by Patsystems' proven pre-trade risk management technology.

Barry White, Regional Director, Asia Pacific, said:
"This latest partnership
agreement with Blashnet Securities signifies our dedication and commitment to
providing solutions throughout the Asia-Pacific region. The Korean installation
is a significant milestone for Patsystems, with the new state of the art
solution facilitating the needs of new and existing customers wishing to access
the KOSPI 200 futures and options on the KRX, CME Groupand EUREX with low
latency execution. We look forward to a great relationship in growing our
business together."


Jim Choi, CEO, Blashnet, said:
"We are pleased to be partnering with a
strong, well-established provider like Patsystems for our market access and
trading solutions. The ease of distribution of Patsystems' J-Trader platform
makes it the ideal trading platform for our customers. We look forward to a
successful partnership with Patsystems."

[bg23] 14/10/2009 07:44

and again, pats seem to be making good progress across all regions.

each and every one of these new clients are going to be paying a minimum monthly fee to the company. even if this is at the relatively paltry £10k per month level, these 3 signings in the last month would add over £350k to recurring revenue, and thats before volume and customer incomes.

Patsystems Selected by Traders Securities Co, Ltd.


DATE: Immediate Release: 13 October 2009

CONTACTS: Duncan Symmons
Managing Director Tokyo
Patsystems plc + 81 3 3668 9372

Katherine Bradford
Head of Marketing
Patsystems plc + 1 312 542 1313

Tokyo: 13 October 2009 – Patsystems is pleased to announce that it has been selected by Traders Securities Co, Ltd. in Japan to provide a complete trading and back office solution to allow Global Index Trading by Traders Securities' retail customer base.

The system, which went live on the 2nd October 2009, offers trading on the CME Group Nikkei 225 contract.

Trader Securities' customers will benefit from the sophisticated features available in both the J-Trader and Pro-Mark trading front-ends.

Patsystems is also delighted to be providing the J-Vision back office reporting platform which greatly simplifies the provision of Japanese regulatory reports to users. With multi-time zone and multi-currency support, J-Vision will be able to support any of the international or domestic markets to which Traders Securities wishes to connect.

The J-Vision solution leverages high availability technology from our proven exchange clearing and settlement solution in use in exchanges globally.

Duncan Symmons, Managing Director Patsystems Tokyo, said:
"We are delighted to be supporting Traders Securities in launching this new Global Index Trading initiative. The trading and back office package solution has allowed Traders Securities to rapidly connect to these new markets without the typical high cost and delays of making significant changes to legacy back office systems. This new offering significantly brings down the barriers to entry for brokers looking to offer new domestic and overseas markets to their customers."

Kiyoshi Hashimoto, President Traders Securities Co, Ltd., said:
"We are delighted to launch Global Index Trading service which enables our customers to trade the stock index futures all over the world. By using J-Trader offered by Patsystems, our customers – primarily individual investors – will be able to trade the stock index futures they desire under the same conditions as institutional investors."

- ends -

[eacn] 12/10/2009 21:09

bbd2,

Thanks for the updates. It seems that there are only two of us still keeping an eye on this stock.

[bbd2] 12/10/2009 17:35

Patsystems partners with VanceInfo in Beijing

--------------------------------------------------------------------------------

Patsystems plc has announced that it has selected VanceInfo Technologies ("VanceInfo"), a NYSE listed company, to establish its new offshore development centre in Beijing. VanceInfo is the top China-based offshore software development services provider for European and North American markets, according to IDC.

Patsystems' offshore development centre will be used to support Patsystems' future growth plans, with particular regard to its expansion in Asia. Initially, the centre will focus on the development of Asia Pacific exchange connectivity. In time the centre will provide Patsystems with the resources required to execute development efforts in a more timely and efficient manner, allowing the Company to focus on new innovations in the trading, risk, and exchange technology sector.

"Establishing an offshore development centre in partnership with a respected, well-known provider like VanceInfo, gives us tremendous flexibility in how we allocate and execute our development work," said Kieron O'Toole, Global Operations Director, Patsystems. "While the majority of our development will continue to take place in London, we now have the opportunity to take on additional projects and ultimately, additional business."

"We are pleased to be selected as the long-term offshore partner for Patsystems in China following a rigorous due diligence and pilot process," commented David Chen, President of VanceInfo. "We will leverage our strong engineering capabilities, financial domain knowledge, and extended global resource base to support Patsystems with its Asia Pacific expansion plans and dynamic resource needs."

[bg23] 07/10/2009 10:47

Ffastfill reported/updated yesterday, overall they seem to have gotten onto the right track. I don't hold them, but thought there might be some spillover in sentiment

Taken from todays Independent.

'''
FFastFill

Our view: Buy

Share price: 7.25p (+0.375p)

So Barack Obama is pushing plans to regulate derivatives trading in an attempt to shine more light into the workings – and therefore cut risk – of the opaque industry worth trillions of dollars. This would include clearing trades in the exotic instruments through a central body rather than off-exchange away from the eyes of the regulators. That could be good news for Ffastfill, which makes derivatives trading software, as more and more banks would clamour for its products. The board issued a trading update in line with expectations yesterday, saying that the company should report a profitable first half compared with a £500,000 loss last year.

It did suffer as clients (the banks) cut back on huge swathes of spending as the downturn hit. Yet it has retained a solid roster of clients including JP Morgan, MF Global, ICAP and Mint Equities – and there should be more of an upside from these relationships.

In the wider market, conditions are stabilising and bringing in more customers. Revenues from the software services business are still growing and analysts expect increases in recurring revenues and a lift in profit margins as the business builds. Analysts at FinnCap put the stock at 11.8 times 2010 earnings, before falling to 8.8 times the following year. It's worth a look, so buy.
'''

what with the recent announcements of client wins from pats, I should have thought that there was a bit room on the upside?

[bg23] 30/9/2009 11:41

off the website, it seems that the client base is growing fairly rapidly, two new signings in the last week:-

Chicago: 29 September 2009 – Patsystems is pleased to announce that it has signed a Software License Agreement with its first client in Brazil, Flow Corretora (Flow). Headquartered in Sao Paulo, Flow is one of the largest BM&FBOVESPA brokerage firms.

Patsystems will provide Flow with a complete order management system (OMS). This includes Patsystems industry-leading front-end trading screens, J-Trader and Pro-Mark, and direct market access to BM&F, the derivatives segment of BM&FBOVESPA. This advanced trading capability will be monitored by Patsystems' proven risk management solution.

Patsystems has had a dedicated focus on the Brazilian market since the beginning of 2009, highlighted by the completion of the BM&FBOVESPA ISV Certification process in early February.


Singapore: 23 September 2009 - Patsystems is pleased to announce that it has signed a software license agreement with TA Futures Sdn Bhd, a licensed Futures Broker of the Bursa Malaysia Derivatives Bhd and a Clearing Participant of the Malaysian Derivatives Clearing House (MDCH.)

TA Futures will use the installation for the provision of electronic trading capability for Bursa Malaysia, along with other major global exchanges. TA Futures will provide its clients a choice of Patsystems' industry-leading front-ends, J-Trader and Pro-Mark, both of which can be easily distributed via the internet.

Barry White, Regional Director, Asia Pacific, said:
"We are extremely pleased to add TA Futures to our growing list of Malaysian customers. We look forward to a strong and mutually beneficial partnership with TA Futures capitalizing on the low latency infrastructure Patsystems shall provide. The multitude of Asian and Global Exchanges available via the infrastructure shall enable TA Futures clients to maximize their trading opportunities."

Laren Tan , CEO and Executive Director, TA Futures Sdn Bhd
"We are happy to be partnering Patsystems which we strongly believe is the perfect fit for our broking needs as we expand our business onshore and offshore"

[dvda] 16/9/2009 15:52

Patsystems is pleased to announce that it now offers connectivity to the Singapore Commodity Exchange (SICOM).

[bg23] 08/9/2009 11:38

the company more than alluded to the possibility of acquisitions in its last update so there would be no surprise if announced.

like all things, exchange or system installations take time and on past experience/comment we know we have to wait for income/profits to fall to the bottom line over the course of a year or so, then again, its continues to build the recurring revenue side of the income sheet.

i think it was yourself who posted a breakdown on possible purchase capacity - up to £17m ? - before any further approval would be required by sharholders.

hardly transformational but possibly material, assuming they buy a profit stream as well.

i think ION are perfectly happy to sit and watch, so am i, i think !

[bongo bwana] 08/9/2009 11:36

And a rights issue perhaps?

[eacn] 08/9/2009 11:19

bg23,

Thanks for that. I do not expect the ICDX deal to be material (had the management thought so it would have merited a full RNS).

I am expecting news of acquisitions in Q4.

[bg23] 08/9/2009 08:43

eacn,

sorry not a scoobie.

no doubt there is an installation and operational income. assuming the company is running the clearing and matching operations of the exchange it will also have a trade income per contract.

obviously, each system client also has a monthly cost to the company and dependant upon volume of the clients there may be transactional income or screen hire income.

whilst there are no doubt local regulatory tweaks to be made to the system, its likely that development costs to pats are pretty limited. the company has the software capability already operational and it will be a case of plugging everything together.

years ago it got involved in supplying the hardware to a tokyo exchange as well, but i assume there are more capable network providers out there.

i think that the most likely 'cost' opportunity to the company might be a local hosting site which would be used to decrease costs to potential customers who don't / can't justify full installations as recently announced in tokyo.

net at the end of the day it will all depend on the size of the membership and the success of the contracts, either as benchmarks or as arbitragable products.

the more succesful the greater the membership requirement to fulfil customer demand and therefore the greater takeup of full system implementation etc.

with a plug and play exchange solution the roll out could be relatively fast - relative to a couple of years ago - but delays will depend upon the local regulatory environment, contract design etc.

so i'd guess at possible incomes on the following lines, a fixed first year income chargeable to the exchange with a final implementaion type bonus on completion/start of trade. thereafter there would likely be an operational income alongside transactional fees chargeable to the exchange plus local corporate client income dependant on take up and transaction/screen fees to the end clients. possible hosting for smaller corporate clients also.

but as for numbers, not a clue.

the company seems to be doing a pretty reasonable job of getting into the financial infrastructure of emerging markets. first mover advantage should be hugely beneficial in the medium long term.

but I can see the management team of ION rubbing their hands at the prospect of supplying payment, administration and other required services alongside exchange implementations and trade software.

their blocking shareholding is inspired leaving them in prime position to act whilst creating a one stop shop if they desire

[eacn] 08/9/2009 07:48

bg23,

Any views on what an ICDX type deal is worth to PTS in terms of first year and subsequent year revenues?

[bg23] 08/9/2009 07:06

another exchange being powered by the company -

DATE:Immediate Release: 8th September 2009


CONTACTS: Barry White
Regional Director of Asia Pacific
Patsystems plc [phone]

Katherine Bradford
Head of Marketing
Patsystems plc +1 312 542
1313


Patsystems Selected as Technology Provider for
Indonesia Commodity and Derivatives Exchange


Singapore: 8th September 2009 - Patsystems is pleased to announce that it has
been selected as the preferred technology supplier for the newly established
Indonesia Commodity and Derivatives Exchange (ICDX). Patsystems will provide
ICDX with the complete exchange solution which includes the trade matching
engine, clearing and settlement platform, pre-trade risk management and the
front-end execution platform.


Using Patsystems' robust and scalable exchange platform, ICDX will run on
advanced, low-latency technology. The flexible, internet deployable front-end
trading platform will be easy-to-use and suitable for all types of traders. ICDX
will benefit from Patsystems' global network of customers, which will
automatically bring thousands of traders to the ICDX market.


Operating from a country renowned for being amongst the world's largest
producers of agricultural commodities and industrial raw materials, the ICDX is
poised to serve as a major venue for price discovery, benchmark pricing and risk
management. The Patsystems' exchange solution will facilitate the integration of
electronic trading among this multitude of domestic producers and traders, and
provide access to international customers who want to participate in this deep
marketplace.


Megain Widjaja, Managing Director of ICDX, said:
"Patsystems empowers ICDX to provide open connectivity, which enables global
market access to ICDX and the ability to collaborate with other exchanges around
the world. Together, we are confident that we can create a successful
marketplace."




Barry White, Regional Director of Asia Pacific, said:
"Being selected as the key technology provider for ICDX fully illustrates the
breadth of Patsystems capabilities with the provision of exchange, clearing,
trading, and risk management technology. Our systems are flexible enough to be
used independently, or in this case, integrated into one comprehensive front to
back turnkey solution."

[bg23] 28/8/2009 11:47

found on the website......... is this a similar application/service that ffa have been operating in?

Patsystems Tokyo Launches State of the Art Hosted Facility


DATE: 26 August 2009

CONTACTS:
Duncan Symmons, Managing Director, Patsystems Japan (KK) [phone]
Katherine Bradford, Head of Marketing, Patsystems plc [phone]

Tokyo: 26 August 2009 – Patsystems is pleased to announce that it has upgraded to a new, state of the art Application Service Provider (ASP) solution in Tokyo. This low latency facility, which will be used to support Patsystems' customer base in Japan, offers the full benefits of the Patsystems trading solution without the requirement for clients to invest in a technology infrastructure or associated support resources.

The enhanced solution offers internet line resiliency, resilient firewalls, networks and servers. The facility contains a link to Patsystems' London data centre to support XLink connections to and from Japan. Patsystems unique XLink network enables Patsystems' customers to leverage one another's exchange memberships.

The ASP solution will also offer customized back office reporting and post-trade services. Clients can utilize these reporting services to meet Japanese regulatory reporting requirements.

Clients who use the ASP solution will be supported by Patsystems' Tokyo-based operations centre and 24-hour global support desk.

Duncan Symmons, Patsystems Tokyo, said:
"Our ASP solution is ideal for clients who want global, low-latency market access with customizable trading and back-office reporting solutions, but do not want to support their own infrastructure. The enhanced hosted facility is designed primarily to support our customer base in Japan, but will also benefit our clients in the Americas and Europe who use Patsystems' XLink network for connectivity into Japanese exchanges."

[bbd2] 21/8/2009 09:02

Patsystems Announces Connectivity To The South African Futures Exchange (SAFEX)
18/08/09

Patsystems is pleased to announce that it has further extended its global reach by providing connectivity to the South African Futures Exchange (SAFEX), a fully owned subsidiary of the Johannesburg Stock Exchange (JSE).

Patsystems will provide access to SAFEX in partnership with Applied Derivatives. Through this partnership, customers of Patsystems will have access to all SAFEX equity derivatives products. Macquarie Bank Limited will be Patsystems' first customer to offer this market.

Customers of Macquarie will be able to trade SAFEX products using a choice of Patsystems' industry leading front-ends, J-Trader and Pro-Mark.

Graeme Neilly, Director of Global Account Management, Patsystems, said:
"As the South African financial markets become more globalized, our customers have experienced increased demand for SAFEX equity derivatives products, particularly from a hedging perspective. As a leading provider of market connectivity, Patsystems strives to provide our customers with extensive market access, which ultimately gives our customers a competitive advantage

[bg23] 20/8/2009 12:23

i should have said in the last para above - 'the only variant THAT I AM AWARE OF.......'

[bg23] 20/8/2009 12:21

ladies and gents,
thanks for the comments above re the results etc.

i was interested to see the exchange win announcements. alongside the beijing development centre and the increasing importance of the asian region in the numbers gives an insight into the efforts being expended in the area.

with the s american sales and further sales opportunities in the area it seems that the company is going for a very strong push into the emerging markets financial infrastructure market alongside the more established markets of the US and europe.

always nice to have an increased dividend. with the profits, sales and div growth the company demonstrated i am a little surprised by the lack of share price movement. Id have thought there might have been a little more interest, looking through there doesn't seem to have been much volume traded post the announcement.

that said, if there is a thought that the company is going to follow through on aquistions then a share issue expectation may be sitting heavy on the price.

re acquisition (s), i have nothing to add in respect of the numbers mentioned above, but it would seem to me that pursuing this course will have to be in broad agreement with ION. if pats look to acquire a company already operating in the ION space, surely there will be an element of conditional agreement from ION or the alternative would be for ION to step up to the plate and look to bid for the remainder of the company it does't already own.

if mr webber is succesful in his pursuit of bolt ons, the ultimate cost to ION of acquiring Pats and the resultant dilution in ownership that ION's current shareholders retain in any corporate action may well be significant, which in turn may speed up any intended action by ION

?

the company says it is expectant of a further exchange sale. the impetus for system sales alongside the new exchange implementations is significant. as these new exchanges come on line, i would expect a slew of announcements of new system sales to local brokerages and banks in the region.

re the comment above about recurring sales being 95% not squaring with outstandings: the company invoices monthly for all users via its clients systems, so whilst there will be a fixed annual/monthly cost per installation, the monthly cash flow income is dependant on the user numbers per month, and invoiced per month, per corporate installation. the only variant to this is dependant upon the volume of ''retail'' contracts transacted via the system, these are billable at a cost per contract rather than a fixed monthly fee per screen access.

regards

[investinggarden] 19/8/2009 10:19

Hold recommendation from Growth Company Investor