Sagentia Grp Share Discussion Threads

[jonwig] 03/3/2007 12:22

Just some more thoughts about the results.
There's such a lot going on with this company, it's difficult to find one's way around!

NEGATIVE:

• Consulting & IP turnover £18.0m with loss £0.4m, after £9.6m with profit of £0.2m at the H1 stage. This isn't exactly 'falling off a cliff' and the £0.6m loss in H2 needs explaining! Headcount growth is mentioned, but surely can't account for all of that.

• Another £0.3m to be spent in Q1 2007 on reorganising the Consulting/IP division under new head Dan Flicos. but ... they say they can achieve cost savings of £1.3m pa. We'll see.

• Intrasonics looks as though it will require further funding rounds for some time.

POSITIVE:

• Whilst the £0.6m spent on rebranding is huge, maybe now it's over some benefits will start to appear. They'd better!

• "...we are now in a strong position to return to profitable growth in 2007." (Consulting/IP)

• There must (surely) be revenue prospects from such IP as Aqualisa (showers) or Cap-Track (electronic dipstick)

• Revenues expected from the automotive division of Sensopad sold to TT Electronics. Non-automotive applications retained and 'close to break-even in 2006'.

• Sphere Medical, Atraverda, Sensortec - on paper, all look to have excellent prospects.

• Harston property now fully let.

• Lock-in period for CMR Fuel Cells stake now ended. At least they now have a choice.

• "Cash flows from operating activities reduced from a £1.2m outflow in 2005 to
£0.7m outflow in 2006, mainly resulting from the gross loss offset by a
reduction in working capital needs."

• Agree with you re silence on SGAI: this has won prestigious awards, but the news section has very little content, the latest being May 2006.



So lots of pans on the stove, but no-one has lit the gas.
Anyway, I'll hold, as I don't need the cash, but it looks like dead money for some time.

[elgordo] 01/3/2007 09:30

Jonwig - not just you, me too - I bought some more in December, presumably just as everyone else was getting ready to offload. Haven't read the results in detail yet, but did notice that SGAI remains a "no news" story, which is particularly disappointing.

[jonwig] 01/3/2007 08:29

Q: why hasn't the share price dropped this morning?

A: because everybody (except me) knew and sold ahead of the figures...

EDIT - when bad news fails to move the share price, you know it's the bottom ...

[jonwig] 01/3/2007 07:17

Famous last words: "So no surprises, I think!"

After a strong first half, Consulting was loss making in the second half
and, together with IP Exploitation, made an overall operating loss of £0.4m
for the full year (2005: profit £0.5m)

[jonwig] 25/2/2007 18:22

Thanks for the reminders, ElGordo.

Significant news from portfolio companies could, of course, come at any time, but I'm sanguine and patient!

As for the results, I'd hope for more growth from Consulting to offset the further £0.3m rebranding costs (that's a hell of a lot...).

However, CMR Fuel Cells has dropped a further 25p over H2, which is a hit of £0.5m to the revenue account.

So no surprises, I think!

[elgordo] 24/2/2007 18:24

In the absence of more interesting news, an updated version of the Intrasonics overview (v3.0) is available via the Chord Capital site -



This can be compared with the earlier version (v2.0) still available on Intrasonics' own site at -



Probably the most significant change (apart from the narrowing in focus to advertising and gameshows) is in the "Developing Partnerships" section, with the inclusion of the following:

"During the next phase of the company's development plan it will negotiate licence deals and run application pilots with its selected broadcast and media partners. These will lead to commercial launch of the first Intrasonics SLS applications around Q4 2007."

The first sentence refers to negotiations and pilots, but the second seems very specific - "will lead to commercial launch". Whilst a clear slippage in timeframe from the earlier statement that "Commercial services are expected to be launched early in 2007" (see my post no.2 on 21 December), I'm encouraged in the change in phraseology from "expected" to "will".

Overall it has been a very quiet period for Sagentia since the re-brand and new MD. Let's hope next month's results make for more interesting reading.

[jonwig] 08/2/2007 09:13

Sphere medical one of 14 shortlisted companies for the Business Weekly annual award on Thursday March 22:

[jonwig] 18/1/2007 12:33

Turftrax appears to be a bigger outfit than the Chord Capital website would suggest:

The system also provides real time/in running information which is broadcast by Channel 4 Racing and on course via big screen and CCTV.

Additionally TurfTrax provides a variety of services to racecourses including the testing and management of Going conditions and precise measurement of weather conditions.



At first I thought this might be a different (and larger) business, but the logo is the same:



This is in addition to the agreement with The Sun to provide form and other horse racing data.

OK, where's the catch?
SGA own only 9% of Turftrax...

[Abuse team] 17/1/2007 07:42

Post removed by ADVFN

[jonwig] 17/1/2007 07:18

Gerry,

only CMR Fuel Cells is quoted.

For the others, it's finger-in-wind although the BVC valuations do give a sort of floor.
For the unquoted stuff, you can sometimes make guesses, for example, my remarks on Sensopad and Autopad above.
Obviously, too, one can look out for news items not announced through RNSs.

Anything I come across will be posted up!

[gerry321] 16/1/2007 20:10

Jonwig
heres a thought
Is there any way we can check the share price performance of the top 4 Cos mentioned above since SGA made their investment ?...ie up or down, overstated understated, accurate ??
......or are the £value figs above based on the current No shares x the current sps of these cos......?

[jonwig] 16/1/2007 19:36

Hello Gerry - interesting re ITM. SGA do say this consultancy side of their business is showing growth.
It might well be in profit for the full year.

Meanwhile assets are stated at 10.2p/sh with chance of a decent uplift on, say, Sphere.
I won't try to overstate the case for SGA, but it may be the shrinking violet due to be asked for the next dance, who knows?

[gerry321] 16/1/2007 18:36

Hi Jonwig
we meet again..........
I found this co via ITM who use them to estimate the unit cost of their prototypes..........I agree with your comment re Sphere Medical.......wish they were on AIM

[jonwig] 15/1/2007 09:35

With quote at 8.5-9.0 I was able to buy at 8.65p.
When it shows, it will be 'sell'.

EDIT: was traded on PlusMarkets - see header for link to quote.

[jonwig] 15/1/2007 08:09

From this morning's TTC Electronics [TTG] trading statement:

Demand has continued to grow for our new range of Autopad inductive sensors;...



...so royalties to SGA nearer the top end of the £10m ceiling might be possible?
In the context of an £18.6m MCap, not to be sniffed at. I don't know the timescale here.

[jonwig] 13/1/2007 11:46

The Chord Capital website appears to be functioning - it wasn't earlier, if I remember correctly.

Royalties from Sensortec automotive should start flowing in now, and may surprise on the upside:

The automotive applications of Sensopad Technologies were sold to a subsidiary
of TT electronics plc in March 2004 for a consideration of £1.2m together with
anticipated future royalties capped at £10m. Discounted net royalties of £1.7m
have been recognised to date. TT has announced that it has taken £100m of orders
secured for its Autopad(TM) sensor. Royalty receipts are expected to commence in
H1 2007.

[jonwig] 21/12/2006 20:03

ElGordo - thanks for that: I'd not got so far as looking at Intrasonics, but SGA owns 90%, so any success would be a 'bigger bang' for their bucks.

It must be frustrating for holder watching this share price action, but I think a worthwhile entry point might have been reached for me.

[elgordo] 21/12/2006 19:41

Whilst quietly reflecting on the disappointing drift downwards, I thought I'd have a re-read of the interim results from September. One comment I particularly noticed was the following:

"During H2 2006, I look forward to announcing the accelerated development
of Intrasonics, our new interactive media business resulting from the expected
closure of the current funding round."

Nothing has been announced since, but the overview of their technology and its potential uses () makes interesting reading.

I also note the following statement in this (which is also worth a browse), , which appears to have been written (or at lest published) as recently as last month -

"More widely, Intrasonics Ltd is in discussion with leading radio and TV broadcasters, advertisers and content providers about commercial uses for Intrasonics SLS in interactive game shows, advertising and promotions. Commercial services are expected to be launched early in 2007."

[jonwig] 13/12/2006 11:49

NB, ADVFN figure for MCap is wrong! It's about double the number seen.

Not a holder, currently, but may buy in after some research.
Thread prompted by interview with Sphere Medical CEO Stuart Hendry in Wall Street Reporter:



"Contemplation of IPO in the future is always on the agenda."

"Negotiations with channel partners in final stages."

[jonwig] 13/12/2006 11:46

Sagentia Group is a leading international technology consulting and venturing organisation, with a reputation for successfully commercialising emerging science and technology. Headquartered in Cambridge UK, Sagentia Group is listed on the London Stock Exchange (ti: SGA.L) Sagentia Group comprises two principal operating companies, Sagentia and Chord Capital. Sagentia creates value from technology by developing richer solutions with clients that enable them to realise better business opportunities. Venture opportunities are managed through Chord Capital, which makes money through building businesses out of Sagentia's proprietary intellectual property, technology assets and networks.

Shareholders Funds were 9.7p (10.8p)/sh at 31 Dec 2006 (30 June 2006).
Top four holdings in the Investment Portfolio:

CMR Fuel Cells plc ............ 11% ... £3.7m
Sphere Medical Holding Ltd .....11% ... £1.5m
Sensortec Ltd ................. 12% ... £1.2m
Atraverda Ltd ................. 18% ... £1.3m

The main focus of interest, for me, is Sphere Medical, possibly worth substantially more than the BVC book value:









News collection:



Quoted on PlusMarkets:



Main shareholdings:
Catella Switzerland AG .......... 105,120,800 ... 48.8%
Herald Inv Mgt Ltd ............... 13,874,912 ... 6.4
Tudor Capital .................... 12,481,544 ... 5.8
Gordon Edge* ..................... 11,648,070 ... 5.4
Deutsche Asset Mgt ................ 9,847,633 ... 4.5
Bradshaw Asset Mgt ................ 6,357,096 ....2.9

Björklund* ........................ 1,470,510
Masters* .......................... 1,000,000
Forster* .......................... 2,099,400
Frost* .............................. 595,463
Kylberg* ............................ 346,544
Rauh* ............................... 295,200
Brown ............................... 225,000

Total shares in issue ........... 215,965,577