BNN Technology Share Discussion Threads

[newbie17] 09/3/2017 18:09

It's good to see level headed informative posts again. The share price is not indicative at this stage of BNNs development and even less so for the long term holders. There is a "blossoming" yet to happen here which will happen throughout 2017/18 and onwards, not in a few weeks. GLA

[topazfrenzy] 09/3/2017 18:04

chorus1, I went into my reasons in some detail a few times already.

It's the constantly missed deadlines and the huge competition they are against and the pittance that they will ever earn even with supposed big numbers, so basically false promises with very little to show for it so far. All hot air!

[and11] 09/3/2017 18:03

Chorus1, Topaz has been spouting this rubbish out for months now! Such a desperate individual...just ignore like most of us do!!! 😎

[chorus1] 09/3/2017 17:52

Topaz, I recall you once touted BNN as a £10bn company back in your ramping days, and I'm genuinely interested to know what triggered such a fundamental change of view?

[topazfrenzy] 09/3/2017 17:39

More hot air, jam tomorrow stuff, thus the share price tanking on what you all perceive as 'good news'.

The bit on the Nasdaq listing is like something someone would write down the pub, to keep the loan sharks (in this case private investors here) happy.

80p coming here imo and probably 60p after results.

[the prophet] 09/3/2017 17:21

H2 ain't exactly too far away.

There is another factor here which has not been mentioned..... I would suggest that the fact that Xinhua has agreed to this further deal is strongly indicative that they are more than happy with the way the existing deals have performed to date.

[perfect choice] 09/3/2017 17:01

Well interesting day, at least slightly up at end of day (comparing bid prices). Potential is huge if you read the RNS carefully, but until platform in place and app deployed no direct revenues can be given but any typical analysis of potential makes this big. Pity it is not now instead of H2 but that is the case.

[micktheknife] 09/3/2017 16:31

maybe some evidence of revenue rather than turning water into wine would be a start, we wont have to wait long apparently. its amazing how a long awaited rns has done nothing for the share price, i bet the big shareholders must know all of this already.

[charlesdarcy] 09/3/2017 16:04

Newman ;
Very true , Aim is clearly not the place for BNN , last time I will mention it but the HK market must be a joint choice with the US .

[newmanontheblock] 09/3/2017 15:55

Super to read progress RNS. share price typically doesn't follow the good news contained within the RNS. Gotta start to think what does BNN have to do to get a fairer and more representative share price based upon its future prospects- turn water in wine ?!!! AIM market and current U.K. Brokers are clearly not suited for BNN now!!

[ayesha4] 09/3/2017 15:52

Amazing future - believe me

[newbie17] 09/3/2017 15:37

Agreed, I think it will prove to be the most exciting section of BNNs future.

[tbrock2] 09/3/2017 15:20

The value of data is key here, more than even the mind boggling numbers from mobile payment commissions, lottery sales etc. It really is very savvy to manoeuvre the company in this direction. Just look at the valuation of any company that deals in data as a currency.

[the prophet] 09/3/2017 14:32

BNN just could be building something exceptional here, fingers crossed and all that.

[newbie17] 09/3/2017 14:27

Personal customer data is a valuable intangible asset which enhances company value. There is enormous/endless possibilities with this aptly named "black gold" This has led to creation of "Infonomics," a term coined by Gartner's Doug Laney, which describes the act of quantifying, managing and leveraging information as a formal buildings asset.

[charlesdarcy] 09/3/2017 14:25

Tp / Gould
Great posts from you both & budding you are very correct in saying data value on these new customers to a all new platform is massive value moving forward .

I am now very comfortable with what has been announced I read it 5 times and every time more sinks in

For me it brings it back what a pioneering company BNN is but not a massive risk because of its partnership set up in China .

Look forward to the last quarter figures later this month hopefully and if the stock price keeps slipping then small top ups for me this is a long term hold right through this year for me . 👍

[nurdin] 09/3/2017 14:11

You are absolutely right . The Company is looking exploit that asset down stream.

[d_gould] 09/3/2017 13:13

For me the deal with T-Mall looks very promising too.
'The cooperation agreement also allows for NewNet to work with local partners on a broad scope of payment services in addition to the motorist platform that are proposed to launch through the national Xinhua News Mobile App, provincial Xinhua news apps and T-mall store (Taobao)'

This means more B2C and B2B transactions being made and therefore more revenue for the company. This is a huge marketplace for B2B and B2C, T-Mall furthermore having a massive market share and being part of the Alibaba group - all very positive.

Good to hear update on NASDAQ, this may take longer than expected IMO and I think the company will IPO later this year when they have sorted all requirements from the SEC.I think if the SEC were to reject the application (remember DJI tried to register a previous listing before the lottery ban, but the this time BNN has announced F-1 Submission and Formal listing process after initial applicational announcement, which did not happen the first time)it would have been done by now. This is now simply a case of whether BNN can meet the SEC requirements, I believe it will as the year progresses.

Would have hoped to see some advancement regarding live services being launched in this RNS, however this maybe subject to delay and referring to the Motorist services being launched in H2: (Any thoughts people?)

'In addition, we are in advance stages of negotiation on several significant contracts. These include contracts to support new B2C services launched on the Xinhua News Mobile App, working with prestigious national partners. Our technology will allow consumers in these sectors to make payments and update information with ease and security using their mobile phones. We are hopeful these services will go live in the first few months of 2017. Together with the contracts and initiatives announced today, these new revenue streams represent significant potential for both higher margins and valuable customer data.'

Overall for me a very positive RNS, it would be nice to have some more transparency regarding financials. Although we will have to wait for the end of year results I imagine. I am not expecting massive revenue generation from 2016, as we only were told of 120 million gross sales through one B2B revenue stream (mobile top ups).
On one hand this shows how much revenue even one payment sector can generate in such a small time (I know BNN take a commission)and shows the great potential for how much revenue can be generated through further deals. But at the same time i'm not sure how much profit the company would be making from this revenue stream alone.

For me the company and its partners' exclusivity for these transactions with the National Chinese News Agency is a great opportunity. I see it as the government trying for a market share in Fintech payments and online presence, which is dominated by two main companies. BNN and its partners will be the sole providers of the payment processing for the APP and could not be doing it for a better / bigger institution.

Hopefully we will furthermore see the ban being lifted for online lottery sales this year, (which BNN has now moved its lottery assets to its partner with 48% ownership)and will generate a lot of revenue with further state deals and provisions.

I still think we are in very early stages of seeing the true potential of BNN and the rollout of its services, but a very promising start nonetheless.

Maybe people were expecting more, which is why the share price has dropped? But I'm not sure personally.
I don't think the massive investment banks / institutions invested in BNN (check their website) are worried about the day-today share prices as they see the future potential of the company, but i'm sure shareholder value will be increased as the year goes on and more is revealed.

GLA

[perfect choice] 09/3/2017 13:05

bwilder2 - thought it was common knowledge Nasdaq was going to be "timed" into 2017 rather than asap, surprised markets didn't have this already built in but if today's reaction is that then so be it. Better clarification in results and appointment of investment bank as their underwriter will settle nerves on that subject at least.

TP - good analysis, this is actually an excellent deal as you highlight, just have to wait to H2 for subsequent revenues on this one but we should hear much earlier on further deals as indicated in today's RNS.

[nurdin] 09/3/2017 13:04

Do you post as Tonwalth on Mikes site TP? Thats a good post by him...or you, if you are the same.

[the prophet] 09/3/2017 12:58

This looks like another excellent deal for BNN.

Just to pick up on a few points, re margin, although, sensibly, BNN can't say what the margins will be on this new deal, they do say:

'the Board of BNN expects the margins to be notably higher than those earned on revenues to date through the Xinhua News Mobile App platform. '

The lowest margin on the current Xinhua deal is 0.2% for utility and mobile phone top ups. So 'notably higher' than 0.2%, not too shabby!

The RNS stated that the market for pre paid petrol cards was £285bn and for car insurance £72bn, both markets growing very rapidly.
How does that compare to the existing deals that BNN have?
Again using the Mirabaud report, Utility payments and phone top ups was valued at £450bn and Traffice fine payments at £30bn.
So today's news brings in markets valued at £350bn+, not too far off the value of the deals already in place. That sounds impressive to me.

Clearly what will really matter is the take up that BNN's partners are able to achieve, but by partnering with the like of Xinhua one would think the chances of a decent uptake is good and early indications of the take up of the existing deals would indicate that that is a reasonable hope.

Although this deal does not kick in till the second half of this year, BNN still expect it to make a 'material contribution' to this years earnings, so clearly the expectation from BNN is that the uptake should be good.

Interesting to note it is anticipated that the data collected from this deal will be used to 'develop additional revenues'.

I feel it is also worth noting that as well as launching on the Xinhua news mobile app, it will also launch on T-mall store (Taobao). I don't know much about T-mall store, i understand it is a spin off from Taobao and now run by Alibaba and is one of the most visited web-site in China.

All in all this release strikes me as very good news.

[bwilder2] 09/3/2017 12:41

Reading the Rns today. Nasdaq doesn't even look close that's why price is dropping. Mms will test £1 soon I'm sorry to say

[ripplevale] 09/3/2017 12:36

A successful NASDAQ application is critical for this stock. It would indicate that the SEC are satisfied with the company at all sort of levels as well as improving transparency and investor communication. The re-rating would be substantial.


The RNS offers a strong hint on the next announcements around the process that I view as encouraging.

I rather like this motorist hub model announced today linked into Chinas most respected portal.

It is quite different from most Western approaches to bringing products to the consumer which is industry / service-based rather than this user-based umbrella concept. There isn't really an equivalent website in the U.K. that attempts to capture and provide multiple services relevant to a specific consumer (except perhaps some financial domains).

[the prophet] 09/3/2017 11:57

Personally I don't think Nasdaq is the be all and end all and I'm delighted to see deals like today's one.What the market makes of it on any particular day is not of that much interest, it's going to be BNN's business performance that fundamentally drives this. Which exchange it is on is a secondary consideration, imo. Having said that, a Nas listing could well help with the rating, so fine.