Audioboom Share Discussion Threads

[buggy] 21/9/2021 17:56

Wooty,

The language can sometimes been convoluted. But I will try to split it into components. When you have a Buyer you must have a seller >> One end of a business is a SALE the other is a BUY.


Initial Sale and Purchase Agreement: 15th Feb 2021 (between Sentiance AAQUA and MESH) >>> Who is Selling Sentience, Who is purchasing AAQUA and MESH. [ Sale and Purchase agreement signed]

AAA has been informed by MESH Holdings plc (‘MESH’) and AAQUA BV (‘AAQUA’) that they have entered into a definitive sale and purchase agreement (‘SPA’) to acquire Sentiance NV (‘Sentiance217;). Upon completion, MESH will increase its holding in Sentiance to 80% on a fully diluted basis, with the remaining
20% on a fully diluted basis owned by AAQUA.


Second Distribution Agreement. 9th March 2021( between AAQU and MESH ): [ Sale and Purchase is still extant but the Purchasers just redistributed the purchase differently between themselves)

Further to the announcement of 15 February 2021, AAA has been informed by MESH Holdings plc ('MESH') and AAQUA BV ('AAQUA') that the sale and purchase agreement (‘the Original SPA') to acquire Sentiance NV ('Sentiance’) has been amended. Under the revised agreement (‘the Revised SPA’), 100% of Sentiance will still be acquired by AAQUA and MESH, but in different proportions. AAQUA will now acquire a significant majority equity holding in Sentiance, rather than the 20% envisaged under the Original SPA


Hopefully the understanding that you can't have a purchase without a sale helps explain it.

When you go into a shop to buy something, the shop is a vendor: They are conducting a Sale.
You are a customer: You are conducting a Purchase.
Your receipt is basic form of contract to your Sale and Purchase agreement. You agreed to buy the materials at a certain price, usually marked on the item, and they agreed to sell you the item for that price.

[wooty01] 21/9/2021 17:27

Buggy,Your post seemed to explain very clearly the situation on Sentiance acquisition. However, if Mesh had originally the option to acquire Sentiance which it the sold to AAA, how does this square with 9th March 2021 announcement that Mesh and AAQUA had entered into a sales and purchase agreement on acquiring Sentiance. This is not a trick question! But if AAA come back with another offer - higher and more liquid of course - then this is relevant to Boom shareholders.

[buggy] 21/9/2021 16:53

RSI,

Saw that in LSE, the issue is that some owners of AAA are not even sure of what they own. I am not an AAA shareholder, but I had to do some research to find out what I may be getting when AAA made a play for BOOM.

The first bit about acquiring 75% of Sentience is correct, the last bit about absorbing MESH is wrong. The option to buy Sentience was by AAQA and MESH . AAQUA relinquished this right to MESH and in turn MESH sold the rights to AAA on two conditions:
(a) AAA cancels the Euro 3.65M loan it gave to MESH which could have been converted to MESH shares.
(b) AAA allots 500M ordinary AAA shares to MESH.


Below is the statement from AAA regarding the acquisition:

"
The Sentiance Acquisition
On 9 March 2021, MESH Holdings plc ('MESH') and AAQUA B.V. (‘AAQUA’) agreed a sale and
purchase agreement whereby AAQUA would acquire a significant majority equity holding in
Sentiance with MESH acquiring the balance.
By an agreement dated 1 July 2021, (i) AAQUA has relinquished its rights as purchaser in favour
of MESH and (ii) MESH has agreed to assign to AAA its right to be registered as the purchaser
of the Sentiance shares (the ‘Acquisition’) in consideration of AAA (a) issuing and allotting to
MESH or as MESH directs 500 million new Ordinary Shares (the ‘Consideration Shares’) and (b)
setting off the loan totalling €3.65 million made by the Company to MESH in November and
December 2020 against the consideration for the Acquisition. Upon completion of the Acquisition,
AAA will own at least 75% of the equity of Sentiance, with the balance owned by AAQUA.


In short MESH remains an independent company. AAA has only 3 companies in their portfolio:
1. AAQUA
2. SENTIANCE
3. ASIMILAR GROUP PLC ( Asimilar Group owns 24Million shares in MESH Holding , so AAA has some exposure to MESH through this share holding)

Personally, for varying reasons, I would not have chosen to invest in any of these companies as I do not see a future for them, which is why I was against the proposed acquisition in AAA shares. The idea behind some of these companies are good, but they are still in the very early stage and there are so many others in the space that are already at commercialisation stage.

[master rsi] 21/9/2021 16:37

From LSE

"AAA are expecting to complete a 75% acquisition of Sentiance NV by 30 September absorbing MESH Holdings at the same time. This should enable them to relist from a position of strength."

[buggy] 21/9/2021 16:00

I hope that if there was a buyer of 25K shares that that would have blown the price well above £10.

If it is £25K then that is only about 2600 shares.

[master rsi] 21/9/2021 15:30

An hour ago before moving higher there were rumours of a buyer of 25K

[mdchand] 21/9/2021 12:23

Ft is saying yesterdays sell off was due to a big Chinese property company that may default / go bust in the next few days. Cant see how that will directly impact Boom in the next few key months so happy to hold as we enter the key q4 season firing on all cylinders.

[buggy] 20/9/2021 09:26

mm just managed to flush out a few sellers. my expectation is to be level or a touch higher by close of today, ( unless there is a sell sitting in the books that has not shown up, but current price action does not indicate that).

PS.
May have called this wrong... the market seems to be a bloodbath today.

[bagpuss lives] 18/9/2021 11:21

Even millionaires get too greedy and misread markets.
Their is no way that Nick Candy et al didn't have an insiders steer on how well things were going and if they had just committed a bit more to that AAA fundraise so that they could buy it with a majority of cash rather than paper they would probably have squeezed it through.
That said I also think they aren't that stupid that they know that they will make a lot of money out of the shares they own anyway it's just that they could have had it all rather than 50%.

Bagpuss

[melegramforttongo] 17/9/2021 14:22

Resuming the ascending trajectory folks , fasten seatbelts , refreshments will be taken at £12

[bagpuss lives] 17/9/2021 13:11

Only one MM under £10 now. Very bullish chart building.

Bagpuss

[bagpuss lives] 17/9/2021 13:00

I think people will have to pay closer to £12 next week by the look of it so may as well buy in today and save themselves some money.


BWTFDIK

Bagpuss

[tell sid] 17/9/2021 11:19

Steady as she goes.

[master rsi] 16/9/2021 22:37

2nd buy on 2 days

15 September 2021 -
Audioboom Group (BOOM)
Director name: Maddock,Roger
Amount purchased: 3,500 @ 945.00p
Value: £33,075.00

[wooty01] 16/9/2021 15:12

Great post mdc. Let's get David Johnson to be more realistic and put a metric of 6x revenue in his valuation!

[mdchand] 16/9/2021 14:35

Some public musings.

Sequential quarterly growth from Q2 to Q3 20 was 20%.
Applying 20% growth to Q2 21 gives us est q3 of 15.96m

Applying sequential growth from Q3 to Q4 20 was 30%.
Applying 30% growth to est Q3 gives 20m

FY estimate of just under 60m versus 26.8m last year - over 120% growth yr on yr.

If they can close to 100% yr on yr growth, I would be very happy indeed. Allenby have gone for 53m. I think they are being too conservative still.

[buggy] 16/9/2021 07:49

BOOM directors decidedly putting their money where their mouth is.

They clearly thinks that £9.45 is very much under valued. This is quite a big call for a non executive director, definitely will be more than what he gets paid as a non exec.
I will recalculate my valuation once it hits £12. I expect that to happen at the latest after release of the FY21 results in mid Jan 22, which is only 4 months away.

I expect a step change in price at Q3 results with another broker upgrade and again at FY21 results. My expectation is that each result will significantly exceed forecast.

[melegramforttongo] 16/9/2021 07:44

Small amount for the director buy in ,however purchased at £9.45 ….

👍 NICE 👍

Is that an attempt to put a floor on the price …

[bagpuss lives] 16/9/2021 07:33

Another £30k of director share purchases

[hottingup] 15/9/2021 07:32

Imagine BOOM's market and revenues growing at 31% pa compounding, or even more, and it might well be worth the suggested $1 billion in a takeover in a few more years:

Grandview Research
Podcasting Market Size Worth $94.88 Billion By 2028 | CAGR: 31.1%
August 2021

Report Overview

The global podcasting market size was valued at USD 11.46 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 31.1% from 2021 to 2028.

Podcasting Market Growth & Trends

The global podcasting market size is estimated to reach USD 94.88 billion by 2028, expanding at an estimated CAGR of 31.1% from 2021 to 2028, according to a new report by Grand View Research, Inc.

[hazl] 14/9/2021 15:16

He hopefully is passionate about his company.

[city chappy] 14/9/2021 14:31

If BOOM was a US company it would already be over £500m.BOOM has got a £45 ($1 billion) takeover price written all over it Buy BOOM while you can.

[wooty01] 14/9/2021 14:00

Buggy - But I don't see why Stuart would have taken AAA paper if no one else wanted it. Unless I'm missing your comment