Accumuli Share Discussion Threads

[igoe104] 24/3/2015 07:38

Look above in the news section.

Yes its very disappointing, I`m sure they could of built the company to a lot higher cap over the next few year`s.

[adamb1978] 24/3/2015 07:38

Still not showing on the Investegate website but found it on the LSE site. In short, looks like another AIM stich-up. Amazin trading update should have taken the share price well into the 30s so we're being asked to swap our ACM paper for more highly rated NCC paper at more or less nil premium

[masurenguy] 24/3/2015 07:38

I'm disappointed by both a sale at this stage and at the modest acquisition premium on the current and recent price. Like rivaldo, I think that NCC is currently highly priced so I will probably consider a potential exit when the deal is completed.

In this context I was interested in this statement that was contained in the RNS. "Under the terms of the Acquisition, Accumuli Shareholders (other than those who are Restricted Overseas Persons) may elect to vary the proportions of New NCC Group Shares and cash consideration they receive in respect of their holdings of Scheme Shares, via the Mix and Match Facility, subject to equal and opposite Elections being made by other Accumuli Shareholders."
Will this formula provide an option for a complete cash payment of 32.8p a share?

[gargleblaster] 24/3/2015 07:33

Adam - in short, yes you are! (Separate RNS).

[pj 1] 24/3/2015 07:31

snap.............

[adamb1978] 24/3/2015 07:29

Am I missing something? Investegate is only showing the trading update, which is stonking, and no mention of a takeover or margins falling(?)

[aishah] 24/3/2015 07:27

Yes, a bit disappointed too. Two bagged but could have been more over time

[rivaldo] 24/3/2015 07:24

Taken over at the equivalent of 32.8p by NCC.....

Hmmm. Today's trading statement might have led to a small fall as margins are slightly below the usual, but I was looking forward to holding ACM for some years. And NCC is too highly rated/priced for me - their share price could fall as it has done before.

Given the forecasts of 2.2p EPS etc, 32.8p is somewhat disappointing, if not bad as more than a two-bagger. I'd have hoped for say 35p+ at this stage.

[gargleblaster] 24/3/2015 07:24

Take-over by NCC at 19% premium to sp!!!

[aishah] 21/3/2015 23:05

yes, great sector to be invested in. Have been accumulating TGL recently. Awaiting newsflow and an update there. VDSI going well on Nasdaq. Already overloaded here at 21p having bought a lot initially at 15p a while ago. Good to see regulars adding here.

[boadicea] 20/3/2015 17:42

Added my final tranche for now mid-week (not quite catching the lowest point) and have a useful holding, so glad to see the tick up today. If results meet expectations on this board the upside potential is very significant.

[adamb1978] 20/3/2015 13:36

Like you Rivaldo, I bought some more at the start of the week. Previous buys had all been sub 16p so felt off buying more at 26p! Current price is too cheap for where they are now though

[nurdin] 20/3/2015 12:40

Had a few the other day.Need to see the next set of results before I make a bigger commitment.But must say the company looks well placed to capitalise on the explosive growth anticipated in their core area of business

[buffetteer] 20/3/2015 11:16

It's important that we see organic revenue growing not just through acquisition.
One of my larger holdings now.
Liked the management ( professional, level -headed and ambitious) when I met them at last years Agm

[rivaldo] 20/3/2015 09:41

I added some yesterday, by far my dearest buy to date.

As stated above, with the RandomStorm acquisition ACM are now forecast to make 2.2p EPS for the year starting in 12 days' time, which is surely far too cheap for a company in this sector growing as ACM has done.

[igoe104] 19/3/2015 07:56

Bored investors disappearing, with a client list over a 1000 now (probably), these will bounce back very quickly into the 30`s.

[adamb1978] 18/3/2015 20:04

These are starting to look very cheap again. I think they'll do about 2.2p EPS for the year about to start so should be well north of 30p given the sector and growth

[boadicea] 18/3/2015 11:34

It's certainly run into a soft patch atm. Having done well over the past two years there may be some holders cashing in their £10k of cgt free gains before the tax year end.

[boadicea] 18/3/2015 00:35

Useful discussion above.
I note their cash position looks fairly stable. However, the amortisation impacts the balance sheet and has the particular effect of depleting the retained profits which now (i.e. in latest half-year statement) stand at less than last year's dividend payment. There are other reserves but a financial rearrangement might be required to enable distributability otherwise the dividend could become restricted.
If cash flow is good the problem (if it exists) may be largely a technical one.

[aa29] 17/3/2015 11:48

Adam

Thanks for your response and for adding a bit of background to your views here.

You prompted me to revisit the Annual Report and I must admit I hadn't realised the amortisation just related to contract/relationship values and didn't include goodwill which is reassessed rather than written down.

Our investment approaches are bound to be different. I have previously found that an adjusted EPS figure has not had the same weight as the actual one - that said the story here is attractive.

[adamb1978] 16/3/2015 21:24

AA29

I'm not sure of your level of financial knowledge so apologies if this is stating the obvious for you however to clarify the point on the amortisation which is causing the pre-tax losses. The amortisation is predominantly of customer contracts which they owned via a previous acquisition. When you acquire a company, you have to fair value the assets and attibute the purchase price to those assets with the balance going to goodwill; for the identified assets, you then amortise then over the lifetime.

So the £1.3m here relates to a very historic one-off event (ie an acquisition). If they were spending £1.3m on capitalised development costs and also amortising a similar amount through the P&L each year, then it would be more of a concern. This really isnt and just comes down to how the value was allocated on acquisition and, having acquired many companies and therefore been through this process, I've seen how arbitrary this process sometimes is.

I do thnk ACM could do a better job of flagging the EPS performance in the headlines in their results though.
Cheers

Adam

[mazarin] 16/3/2015 19:17

There's a significant reported increasing business in Insuring against Cyber attacks in the US. It seems that Companies are paying millions by taking a combined approach - Insurance and Software, could this be another avenue for ACM? For details, see

[aa29] 15/3/2015 12:25

duplicate post