Bright Things Share Discussion Threads

[uncle_bob] 03/6/2010 09:24

Any views re management buyout.

[carl79] 02/6/2010 22:42

We have the same goal in mind Norbus - i want to make a significant return on my investment as do you. I have been invested in BGT quite a bit longer than you though and believe me when i say that if you talk about 4p as a near certainty on the bakc of them securing funds alone then you'll not only disappoint yourself, but you'll disappoint the people that bought into your optimism. I have been guilty of adding up what I thought were 2 and 2 and getting 4 only to be proven wrong by something not quite being as it seemed...It is good that BGT have money for a while yet but I just dont think the share price is ready for massive movements - not unless news is around the corner (which it may well be)...Let me put it this way, if you went to a bank for a loan to buy BGT at 4p a share and you used your comments above as the basis of your rational, do you think you'd be successful in acquiring the loan - or put another way, if you had the required funds, would you pay 4p per share for BGT tomorrow? I think that until you knew how much they were making and how sustainable that revenue was, you'd be a fool to do so and I am a current investor, not a deramper - just trying to keep things realistic given the info we have...

TA - yep - id be heavily disappointed if BGT dilute further. They now need to take this to the next level - not simply to retain shareholders but in terms of pure business, I don't think that SocialGO will be a success in in 24 months time - it needs to hit the mark in 12 months or less or we will lose too much ground to the competition - we lose customers to Ning every day as it stands. Spence has a good story as do others out there and their stories will only get better as time goes on... in a nutshell we need explosive growth or we'll be overtaken. My guess is that this next 12 months are make or break and V2 needs to be a substantial improvement on the current platform if this is really going to be a platform fit for large corporates and true entrepreneurs to take advantage of. I want to see b/e in this period and any future funding should be in order to grow more rapidly as opposed to keep the lights on and staff paid...

I have no aversion to 4p by the way, i just think it will come after a load more specifics, not on the back of Vikrant supposedly declaring he has had his fill and allowing the share price to float up

[the analyst] 02/6/2010 22:23

I think that prior to the recent events at ning (staff exodus and change of business plan), BGT could have placed shares at 4p+ to institutions if they had wanted to. That would have involved quite a bit of financial PR, but they chose not to go that route.

Of course, it's been much better (for the Directors) to take the shares themselves at 1.25p and get the risk-free warrants and options thrown in with the deal. At this stage of development I've been happy (and expecting) to see that, but from now on I'm hoping not to see any further funds raised at low prices.

In my opinion, any further capital should be raised either through exercising those warrants and options or through placing shares to institutions at a much higher price. 4p? OK, why not?

[norbus] 02/6/2010 22:09

Carl
sorry; not meaning to set riddles. normal speak in my world.

[norbus] 02/6/2010 18:43

we are not building a brick wall here Carl. You overdo detail, imo.:-) you are not weighing a bar of gold here. It's more esotheric , more like an art to value this.
Vickrash has built a big business before and was really greedy for this, so he can make it sweat with or without his contacts and the doors that do open when you have that kind of money and track record.
Dominic and his team are not enthused for nothing; they are talented, experienced ,like success and are working hard for it. You do not need any more visibility to value something like this. You know the Almighty was not seen to be believed.

[carl79] 02/6/2010 17:34

Sure Norbus, but i'd see that as aspirational. Whilst we have a short term floor we dont have clear line of site to 4p just yet imo...we don't even have visibility of V2 which most agree is critical to the strategy - if V2 fails, SG will likely fail given the competition's offerings and focus on our core business...(If anything, we are arguably the least "premium" focussed of our main competition which i am not entirely comfortable with...)

[norbus] 02/6/2010 17:04

Carl
Yup
value the technology at cost with the clients now ,and the market opportunity today given the privacy concept as USP. Then if you believe they will fix the bugs within 6 months and get good market share{ vicksham is ace at marketing } then they'd be worth 10p say. factor a time and risk discount and 4p is cheap.

[carl79] 02/6/2010 16:50

Digger - yep, I hear you. I was more enthusiastic back then and knew less about BGT and its products / services than i do now...social networking is easier to understand than ASIC chips! Im uncomfortable with the expectation of 300% gain from here until we get a V positive RNS from the company

[carl79] 02/6/2010 16:32

Unless yo know something i dont, I am not sure how the share price this morning "should have been 4p" or what makes you think Vikrant has been suppressing the price all this time?? I was under the impression that the share price was here becasue the market does not know how close to profitability the company is, what the cash burn is or how quickly their revenue / profit lines are growing...If you know for a fact that Vikrant kept the price at sub 1.5p for so long and that following today's news, we'll see 4p no sweat then maybe you should be teaching me - seriously - becasue I am not following your logic...

Yup, name change good but also suggests that nothing but SG is on the agenda in the future - so it gives focus and lets us know they think they have a viable company on SG alone but it also puts all the eggs in this basket - I can only assume it is a nice soft, big basket! :-)

[digger27] 02/6/2010 16:29

I for one hope these hit 4p soon as am sick to the back teeth with this jam tomorrow company. Bought in years ago when they were dealing with iDVD and ASIC.. and had I known sooner they were only farting about with those products I would have been long gone. Been diluted to hell since then and circumstances are such I couldn't buy any more of these if I had a mind to. If however, I was confident that these would hit 4p pretty soon I would sell some of my other dogs and buy a shed load in the hope of break even!! Mind you I thought that when these were in the 12p range and wished I had steered clear instead of plunging in for more.

Carl - your post 501 advising caution is commendable but a number of years too late bearing in mind your enthusiasm for BGT in those heady days. I am not having a go at you because at the time none of us knew what Dominic was planning and certainly didn't envisage a change of course into social networking. It just seems to me that we are at the mercy of some mad professors whims. Lets hope he sticks to the plan and doesn't have some other hair brained scheme lurking in the background.

[norbus] 02/6/2010 15:56

I think it was the very circular that had to be published, and if I got more, I ain't telling :-)

won't get anymore sub 1.06 again. these will be 4p before you get back from hols. Dare you contradict 503 above; go on..

[the analyst] 02/6/2010 15:51

By the way, did you get more in your written letter than was in today's rns?

[the analyst] 02/6/2010 15:48

Norbus,

Yes, I'm very happy with this news too. Like you say, it looks solid with £1m of funding there if they wish to take it

At 1.25p, I think they have been very fair to current holders - they could easily have placed shares at 1p or lower and I know many other AIM directors that would have done just that (I think you may know some too!).

I also like the name change, which should help with publicity going forward. Plus, I like the thought of owning shares in SocialGO.com, rather than Bright Things plc!

I have a hunch that you have bought at the very bottom of a new up-trend :)

Maybe we will see your 4p if at some stage we get news of progress towards break-even. This time next year, perhaps?...

[carl79] 02/6/2010 15:36

Hi Norbus, whilst 4p would make me happy, I think it is a bit premature to be calling next step 4p - we have a long way to go (unless they are holding out on news that will instantly transform our fortunes)...Those thinking 4p will happen sooner rather than later may get disappointed just as you seemed to be disappointed a month or so ago - keeping expectations realistic will help people retain perspective and NOT sell shares when the buzz wears off - ive seen such situations with BGT alone about 4 times before - until we get news that actually justifies any upward movement, I fully expect this to trade at between 0.9p and 1.5 with a large spread - anything less is probably a buying op and anything more is not worthy of excitement...This is not necessarily aimed at you but those who may get influenced when a regular and informed poster talks about an inflated share price like is is near certainty...

[norbus] 02/6/2010 15:24

TA
looks solid now. £500k now, and £500k on call from Vikrash on same terms
from 16 sept 2010 up to sept 2011. Like they'll go for it, Vickrob is happy
and the shares should now go to 4p.

[the analyst] 02/6/2010 15:15

Wonder who the new non-exec will be?

It's going to be a huge Board of Directors for such a small Microcap, which tells us a lot about their ambitions, imo

[carl79] 02/6/2010 14:58

Well, there goes the theory that the FD was brought on board to help broker debt financing. Looks like it was just a simple replacement, nothing out of the ordinary from him yet.

With access to up to £1M, this should be the last of the dilution...Veddis' deal is up until Sept. 2011 so perhaps by then BGT expect to be firing on all cylinders??

So we have some financial security - all that is left to kick this share price back into life is a substantial update on how the SocialGO take up has been - they are clearly not raking it in or they would not have gone cap in hand to shareholders but are they closing the gap to b/e quick enough? I wish we'd get visibility of that on the next update.

[the analyst] 02/6/2010 14:31

The news has finally been released:

[the analyst] 02/6/2010 14:12

Excellent news, norbus, cheers

Amazed there hss been no rns - someone at bgt must have forgotten to press the button!

[norbus] 02/6/2010 12:36

read the post again
shame they forgot the RNS

[uncle_bob] 02/6/2010 12:26

Cheers mate, I'm a nominee holder so didn't get the letter. Have they given a issue price. I hope it's not 0.5p

If the 500k takes them through to profit then that sounds like good news to me. Hopefully a trading update soon then.

[norbus] 02/6/2010 12:22

Postman today mid-morning

40000000 shares @1.25 = £500000
with
10000000 Warrants @ 1.50 out 5 years till 16/6/2016


expected fundraiser paper just arrived. sorry not too well played from my point of view but not Vickram's who increases his holdings and grip, with Livingstone adding, but Dominic and other execs forced into a small dilution.

Commercially, I am pleased with progress, and happy to have a relatively safe, more mature investment. and so I bought today in the market to keep with my percentage at 20% discount to placing price. crazy really