Blur Group Share Discussion Threads

[j777j] 06/4/2017 09:21

A star is born

[chrisbenno82] 06/4/2017 08:49

I suspect this may be the start of a run of good news. Update on the global electronic company due any time. Blue skies ahead!

[homer8] 05/4/2017 10:40

Projects rolling in.

[homer8] 05/4/2017 10:39

I agree that the company made a mess with its strategy and Letts and the board has been very inexperience and diabolical to have almost run the company to the ground. The new people on the board are more experienced and hope Keith have a say as he has a major interest in the company. The recent announcements ofhas always been that the company is careful with the use of cash. The CFO has stated that these large projects are transformation for the company. I think you have a bad experience with buying the shares when Blur came to the market and so are many of us. But believe this will turn around. If you follow the shorters you may be burn a second time. Then you will be a very bitter person. No point sitting on the side line complaining.

[dusseldorf] 03/4/2017 14:44

Homer8 - Companies who do business with other companies, certainly at the outset, rarely take a controlling stake unless their business success absolutely depends on it - I'm sure there are lots of legal reasons why not to also. From what I understand of Blurs platform, there are many other companies who already do the same thing, so don't see why anyone would want to buy a controlling stake just to do business with them.

It also opens up certain issues, if your ability to survive becomes dependent on the support of one firm - see Imaginations problems with Apple this morning.

The road Blur is on now is a long one, turning large corporate leads into billable clients takes years. The company has to make sure this next funding round is sufficient to see them through as previous fundraises (£25m total) have been eaten up without ultimately achieving the goal of reaching profitability stated at the time:

Blur raised circa £13m just under 3 years ago, it's all but gone. This is after they raised £7m in 2013...and this is after they raised £4m in 2012. Some of the past RNS's used to sway funding are shockingly bad, with all the revenues substantially lower than predicted due to the false way the company booked revenues.

It's one to watch for me, but there is no compelling case to invest, certainly at current price levels and absence of cash.

[homer8] 03/4/2017 14:26

Conspriracy theory? Hmmmm.
I mean $5m from Blur's large customer who can take a stake in the company, if Blur can save them million.

[dusseldorf] 03/4/2017 13:44

Homer8 - I've haven't said the company has no future, I've been warning that without a substantial discounted placement prior to end July, the company has no future - there is a difference.

$5m is not peanuts for a company who losses $3-4m a year. I'm not even sure $5m is enough to see it to profitability, but expect 'at least' that figure in terms of dilution and I believe 5-7.5p.share (I simply can't believe anyone would invest at a higher level than that).

I've also suggested the current price is at an artificially high level, having been manipulated by the new investor (Keith) and some decidedly dodgy 'work in progress' deal announcements and ficticious 'potential' future revenue statements. This is being done so the group can can try and secure a funding below market and make it appear 'a bargain', to minimise dilution for Keith.

Anyway, I'm just putting my view out there so there are no rose tinted glasses, I hope anyone invested makes good money eventually. Now, where is the conclusion of that deal they announced, perhaps we can see what the annual revenue is from that deal ($200-300k IMO)

[homer8] 03/4/2017 12:16

Dusseldorf, why would a large law company and global electronic company and other large enterprise companies sign contracts with Blur if it has no future according to you? $5m is peanuts to these enterprise companies. They could even take a stake in the company if it is going to save them millions.

[zico01] 03/4/2017 10:29

Looking forward to Q1 2017 update momentum is continuing on from Q4 2016. This is from Feb 2017 update :
We continue to focus on platform sales to large Enterprises that include:

Top 100 UK-based law firm; In Q4, blur saw the first subscription to a Group buyer plan from this new customer. This one year subscription allows the customer to transact an annual spend value of up to $2 million through blur's platform. The Company is currently working with this customer on a significant multiple six figure order, the successful completion of which, will bring greater efficiency and improved value to our customer's business.

UK listed enterprise, aerospace engineering; As reported in blur's Q3 2016 business update, the roadmap with this customer conforms to the Group's expectation of long sales cycles when working with Enterprise clients. blur remains engaged with this Group and continues to work towards a 2017 roll out of blur's platform addressing both Goods and Services across all Indirect spend categories.

Global enterprise, sportswear retailer; blur continues to work with this corporation on an initial pilot due to launch in 2017. Initially operating in one trial geography, blur is seeking to complete a pilot phase which, if successful, could lead to a wider global rollout. Again, the sales cycle is consistent with a large Enterprise platform sale.

Global enterprise, electronics/technology; blur continues to work closely with senior management at this Group, aiming to successfully conclude the pilot phase which could lead to a wider roll out of blur's platform.

[dusseldorf] 03/4/2017 08:32

zico01 - He bought the majority of that holding at 3.75p/share in Nov 16, I wouldn't use his interest as a security blanket as he's looking after his own investment position only.

$5m+ funding still due at 5-7.5p/share IMO.

[zico01] 02/4/2017 22:42

This could the week it kick starts the re-rating :

Investor builds stake

Blur’s more stable footing has also started to attract investor interest.

Robert Keith, a former director of computer software company Eidos (the 'Championship Manager' people), and a major stakeholder in drug development company Silence Therapeutics PLC (LON:SLN) has been buying significant amounts of shares.

Keith has recently increased his stake from 1.32 million shares to 6.84mln shares, equivalent to 14.5% of the issued share capital of the AIM-listed company.

According to his profile on news agency Bloomberg, he serves as a technical consultant to several high-tech companies, so he knows the sector well.

[deltalo] 29/3/2017 12:19

Its about time we heard something here. Its been over three weeks since the rns for a new possible client roll-out of blurs 6.0 software. Surely it should be any day now.

[deltalo] 24/3/2017 09:07

Alh lol , where did you come from? Lol .

[al h] 24/3/2017 09:01

Why would a company offer up a cosy deal to effectively bail out a failing, loss making, cash burning concern like BLUR, that needs to raise funds to survive ... without asking for a pound of flesh in return ? This happens all the time with these little AIM strugglers ... the company gets some cash but the average RI investor usually gets shafted in the process ... happens time and time and time again, but RIs fall for it ... every time. Funny stuff.

[deltalo] 23/3/2017 19:52

Duss, you are going by old results. November 3rd latest Q3 2016 Quarterly Business update. ...Blur's operating efficiency also continued to improve, driven by further process improvements in the blur 6.0 platform. These resulted in a reduction in operating expenses of 23% in Q3 compared to Q2 2016 and by 74% compared to Q3 2015. Massive savings in one year so your placing comment was from old figures as funding won't be needed. Also with the possible new deal about to be announced there next business updates will be fantastic.Good luck on your own investment's

[zico01] 23/3/2017 18:30

100000 delayed trade @ 15p

[homer8] 23/3/2017 16:31

That was before the Legal and a global electronics group bearing fruit which will result in a multi-year, multi-million dollar roll out of blur's services.Two projects will transform the company says CFO.

[dusseldorf] 23/3/2017 14:41

deltalo - If you think the above is not underway, you need a few more years on the markets. Its a question of when, not if, some basic maths on the balance sheet will show you they run out of cash in July - a new deal may prop then up for 1-3 months (if the client pays before delivery, which I doubt). I guess time will show.

The whole price manipulation of late is all about the placement. I'm maintaining it will be at 5-7.5p - put simply I think anyone would be crazy to invest into new equity above that level given the current burn rates and lack of predictable turnover.

I shall repeat what the company stated in its last reported results:
However, beyond the forecast period the Group will need either to substantially increase its revenues or take actions to ensure it remains sufficiently funded. As with any disruptive, evolving technology company there is always an inherent risk over the ability of the Group and Company to continue as a going concern if forecasts are not met and cash resources are not adequate.

For info the 'forecast period' referred to in their interim statement ends 31st June 2017

[deltalo] 23/3/2017 13:26

Lol, duss, what rubbish talk in here. The old one's are the best.

[dusseldorf] 23/3/2017 12:21

Taking their time on arranging the much needed placement. Has anyone been approached yet about a discounted funding proposal?

[kemche] 22/3/2017 23:30

We all need to act if we are to call time on loss-making companies.

[zico01] 22/3/2017 20:16

Ineresting read :


Philip Letts, CEO of global procurement platform blur Group, says we all need to act if we are to call time on procurement fraud.

Is it your fault that major fraud keeps happening?

Fines at Rolls Royce, an arrest at Barratt Developments, a jail term for a senior aide at Buckingham Palace, the list goes on.

Fraud keeps happening, every type of company is affected and every sector of business and industry is guilty of not stamping it out.

Is it an inevitable consequence of ‘doing business’? Humans are fallible after all. But this is major crime on a scale that we are only just starting to comprehend.

It’s easy to say ‘nothing to do with me’ or presume ‘not in this organisation’, but if we continue to take this stance, a third of us at least will be wrong.

Procurement fraud is the second most commonly-reported type of economic crime according to PwC. In some industries, like construction, it is the most common type of fraud. A third of organisations were victims of procurement fraud in 2016, with larger enterprises with more than 1,000 employees being particularly susceptible.

Rolls Royce

In January Rolls Royce was slapped with a £671m fine for procurement fraud. Most goes to the UK’s Serious Fraud Office. The remainder will be distributed between the US Department of Justice and Brazilian authorities.

Under this ‘Deferred Prosecution Agreement’, the prosecution will reboot if Rolls-Royce doesn’t meet certain requirements, or if the company repeats any of its previous dubious practices.

The company had used ‘commercial agents’ to help secure high-value contracts around the world, something the company admitted doing for a mere two decades.

Late last year, the regional managing director for London at Barratt Developments, one of Britain’s biggest housebuilders, was arrested on suspicion of bribery following an investigation into the awarding of contracts to suppliers - alleged contract-rigging at a FTSE 100 listed firm.

It only takes one rogue individual with superior purchasing power to commit a major procurement fraud that can go unnoticed for a sustained period of time.

Royal Household property manager Ronald Harper was responsible for maintaining Buckingham Palace, St James’s Palace, Clarence House and Windsor Castle for nearly two decades, before he was suspended amid allegations of taking bribes from property services contractors.

Harper was found to have received over £100,000 in corrupt payments from directors of three different property services companies between 2006 and 2011. In return, these companies were awarded “large contracts for work at the Royal Palaces”. He was jailed for five years alongside half-a-dozen co-conspirators.

But where is the public outcry and Government crackdown? Why don’t professional bodies cast out guilty companies? Too much complacency, and an unwillingness to tackle the problem, seems to be the norm. And that comes at a huge cost.

Eye-watering cost

How long do you think it takes for procurement fraudsters to scam £4,000 from the UK economy? An hour? A minute? Try just one second. Shockingly, this equates to nearly £346 million every single day of the year.

That’s based on a total volume of procurement fraud that stands at an eye-watering £127 billion a year across the UK, according to figures last year from Experian, a global information services group.

In the area of indirect spend, where blur Group specialise, expenditure on ‘non-core̵7; goods and services to support in-house functions like marketing and IT, is particularly susceptible to procurement fraud, because more often than not it is poorly managed and fragmented.

The long tail of indirect spend – known as ‘tail spend’ – is a highly fragmented, high volume of low-value transactions. Purchases that fall into this segment of indirect spend commonly include office supplies and professional services.

By and large, tail spend is poorly managed, if at all. Internal stakeholders with purchasing power are able to spend company cash without sign-off from a procurement team or superior, as long as the individual transaction is under a certain threshold.

Procurement fraud can only happen when sufficient systems and processes aren’t in place to prevent it. So, if there are poorly managed procedures, the corrupt will find and exploit loopholes, for personal or professional gains, such as the contract that isn’t being tightly managed, or the supplier who isn’t the best choice for the company, but still gets the lucrative work.

So what should we be doing to prevent it?

1) Quality Assessments

Keep a close eye on the quality of goods or services being procured and purchased by your organisation. If there is a dip in quality, which seems to be sustained over a certain period of time, it could be a warning sign that someone is being wrongfully rewarded for using a sub-standard supplier.

2) Question Price Increases

Scrutinise any and all increases in pricing. If there is a tendency for a buyer to wave through price hikes without proper scrutiny, it may be time to ask ‘why?’. Both suppliers and buyers need to be able to justify even a small price increase. If they can’t, the situation warrants further investigation.

3) Look at Long-Term Supplier Relationships

Identify long-term incumbent suppliers. If a supplier seems to have become a permanent fixture, but their performance doesn’t appear to warrant such permanency, there is a potentially unsavoury reason for their positioning as a preferred supplier.

This is a relationship that may not be benefiting your organisation. It may not always be a sign of fraud, but at the very least all supplier relationships need to be reviewed regularly, and contracts put out to re-tender, to promote competition and innovation within your supply chain.

4) Multilateral Communication

Make sure that communication with a single supplier is not left to just one person without your organisation. If a single person is the sole facilitator of communication with your supplier, it is much easier to eliminate potentially damaging information from reaching other employees or team members.

5) Listen to Employees

Never ignore feedback or concerns put forward by another employee. If a relationship with a supplier is ringing alarm bells among your staff, listen to what they have to say. If their concerns seem credible, take steps to investigate.

6) Spend Management Technology

Easily accessible spend management technology is available to effectively track transactions – even within the long tail of your indirect spend. Sophisticated digital platforms can effectively and efficiently help you to make sense of what is a complex and fragmented area of your expenditure.

7) Educate

We need more awareness and understanding around procurement fraud - what it is, how to spot it and prevent it. Most employers don’t know what bid rigging is for example. Selecting a shortlist blindly based on current suppliers, known names and previous contacts is bid rigging. It happens every day across countless organisations.

Cost reduction economy

Of course, there is another obvious reason why we should all be working to eradicate procurement fraud - it saves money.

When we are all operating in a cost reduction economy, tackling procurement fraud has to be an essential element of any cost reduction strategy, especially when savings of up to 10% on annual expenditure can be made, according to a recent report ‘The Financial Cost of Fraud 2017’ by financial experts Crowe Clark Whitehill.

Implementing such a strategy across a business, improving oversight of every budget area of direct and indirect spend, ensuring better supplier relationships, saving money and cracking down on procurement fraud, seems like a win-win-win.

More and more companies, including many of our customers at blur Group, are going down this route and achieving significant savings, up to 20% in indirect spend, in line with research from the likes of Accenture.

Meanwhile, back at Rolls Royce according to a report in The Guardian, 30 Serious Fraud Office investigators are continuing to look at ‘fresh lines of inquiry’. There are calls for individuals to face prosecution, but it remains to be seen whether charges will be brought in the next few months...

The March issue of Supply Chain Digital is now live!

Tags: procurement fraud, Rolls Royce, Barratt Developments, Buckingham Palace, Blur Group

[deltalo] 22/3/2017 09:32

Should only be a matter of days until we hear about the possible client roll-out of blurs cloud software.

[kemche] 16/3/2017 16:30

These deals of a "few hundred million" take a while to negotiate I am reliably informed.