Cellcast Share Discussion Threads

[sans souci] 05/8/2008 13:40

thinktank

I've had the same concerns over SMS Media fees.

Are they creaming off all of Cellcast's turnover?

[digger27] 05/8/2008 13:22

Another sell below the bid which has been going on for quite a while now. Hardly ever ticks up on a buy of that size and am beginning to think this is a sickly pup indeed.

[thinktank] 05/8/2008 12:08

By real companies, I mean companies with a real business, a reputation, good client list etc., rather than a vehicle set up for directors to take more money from Cellcast without declaring it as renumeration. This is part of the story, the other big one is Brazil. Are we sure that the business is no longer running? Really? Perhaps not under the Cellcast name, but...

Also,

What are the management fees from SMS Media to Cellcast?

Are SMS Media creditors to Cellcast? That cold be very important..

We really need confirmation that directors really do have the interests of ALL investors in mind here. Is there anything at all to suggest that is the case?

Does Neil Craven play a role here? He needs to play a much bigger role with the holding he has. Perhaps he happy at the thought of losing the £500k+ he has pumped into the company?

Too many questions and not enough clarity...

[zoo123] 04/8/2008 18:03

Hi,

TT, The substantial shareholders include the 2 senior management, plus the middle-east company and the far-east (malaysia?) company which is itself quoted on some exchange. Plus N. Craven.

They're not all as opaque as might at first seem.



Kind regards,


MN

[metaphysicalman] 04/8/2008 16:08

thinktank

They are "real" companies I think. Sky Telemedia is UK registered, SMS Media Ltd is a Hong Kong registered company, Sardik I'm not sure. Harkness Trading Ltd I think may be BVI registered.

Shareholdings are certainly opaque.

You can get Sky Telemedia accounts off Companies House online for a pound but they are abbreviated and don't contain much info (except that Craig Gardiner (see previous messages) is sole director IIRC). You can get SMS Media accounts and shareholders register off the HK equivalent of Companies House online, can't remember how much it costs but not much.

Regards
MetaphysicalMan

[thinktank] 04/8/2008 14:12

Can anyone tell me more information about SMS Media Limited, Sky Telemedia Limited and Sardik Limited? Was looking for information, but there is very little. Are these real companies? I found this, but it just makes the whole situation look even more complicated than the tiny bit of info in the results.



British Virgin Islands?
Caymen Island?
Taiwan?

I've only just started on this, but I feel there is something big going on behind the scenes. I don't know if it is good or bad, but if the end game turns out that us private investors lose our money, I'll be delving a lot deeper. I have the contacts and I feel that potentially, there is a great Financial Times and Sunday Times piece here.

Lets face it, we have some VERY valuable assets here that should be worth at least 8p per share to private investors, even if we halt the UK business wind the company up and sell off the assets to distribute to shareholders. So, if we go down and get nothing, I'll be very curious where the assets end up.

I'd like to see Neil Craven join the board as a non-exec to help make sure private investors do not get shafted. It's a shame he has been selling, though...

[the analyst] 04/8/2008 13:57

Hi zoo123

The next results for the period up to end of June have to be released before September 30th

They might be released earlier, but knowing this company, they will leave it until the last minute.

I guess that in the meantime, there might be some news and a trading update when ofcom announce

Cheers

[zoo123] 04/8/2008 13:42

Hi,


Does anyone know when the next set of results or trading-statement is due.


Thanks.


Kind regards,


MN

[bones698] 03/8/2008 15:18

digger the fact the board keeps upping their stake is always a pretty good indicator certainly that they stil think there is a future and the share price is on the low side, look at what remp did when ros hit 14p :)
considering the cellcast asia worth this is very cheap and if they manage just inline figures at interims then this will rocket from here .remember the 1.4 mill from the channel swap and the cost savings wil appear on these results ,so i am expecting a net profit. a huge swing from where they have been and will boost the share price massively . looking for 8p ish depending on what happens with asia unit maybe more .
profit for the next results will be in the region of 1 mill if things have gone to plan, more if growth continued at the stated rates seen.anything above 500k profit will see this back around 5p imho.10p if ofcam doesn't rock the boat too :)

[digger27] 03/8/2008 12:25

bones - I thought it was cheap at 10pish!! Your 75k already surpasses my holdings for a fraction of the cost but I wont be buying any more until I can see a sustained growth. There are lots of twists and turns here and all the good news seems to evaporate after a week or so and any sells severely impact the share price whereas quite large buys have no effect at all.
Good luck as I think we will need it.

[bones698] 01/8/2008 15:50

the 1.4 million realised from the sky channel swap plus the cost savings should see a very small profit this year depending on how the buisness has performed. this would be a major boost and the cellcast asia is a jewel in the crown imho. personally i think it will be sold at some point and at a very healthy profit. i reckon cellcasts stake in this is worth in the region of £5 million.all we need now is the dollar to strengthen and it will be worth more :)
it looks cheap to me but as has been said needs to be seen making money then the recovery will begin fully. looks very cheap to me to be honest :)

[darcon] 01/8/2008 15:43

bones698 - you can lose if the price continues to drop

zoo123 - this business still needs to prove that it can generate cash consistently. So far it has been very successful at burning investors' cash and fingers

[zoo123] 01/8/2008 15:35

Hi,


Am I imagining that?



A market-cap of less than £1.1m, for a company in a high-growth industry, market-leader for its business in the UK, internationally diversified assets, equity in a reality-tv producer in China, market-leader on high-quality distribution in India, no debt, stated as at least break-even this year, yet largest 3g video-operator..........???????????????????confused????????????????????????????????



Kind regards,



MN

[bones698] 01/8/2008 14:06

well thats me in for a few digger . might add depending on funds and price. cant see how can lose at 1.44p :)

[digger27] 28/7/2008 11:14

phil - Can't see them offering anywhere near 10p but if a low bidder were to appear then we could get a rerating.

[philjeans] 28/7/2008 09:49

This does look very ripe for a takeover by the concert party; price on the floor; debt sorted; massive discount of assets to share price and they already have over 28%.

Add on Craven's stake and it's virtually a done deal.

If they offer 10p we're all gonna take it.

Either that or they now have the fire power to block any other bidder's low offer.

Good bet at less than 2p - picked up a few on Friday and more today.

[lord santafe] 27/7/2008 11:23

Also remember the spreadbetting company IG Index would of cashed it in on cash calls, when the price crashed to 0.5p to sell. I do know that IG Index have already made substancial profits from loosing punters on CLTV, cause I was one of them last year. Although I was stopped out at 8p, so nearly everyone with them has been stopped out since then.

In the past I doubt that anyone has actually shorted CLTV, since it always has been the sort of share that could double at any time.

[moneymaker6] 26/7/2008 16:19

I believe they have had enough of the markets valuation and see a golden opportunity to steal the Co. and hold for better times ahead. Craven is just a facilitator to that and will no doubt be offered a position to the Board. It would also help explain why the Dir's have made little effort recently in promoting the Co. and the current downturn has worked in their favour. All speculative but we'll see.

[rp3406] 26/7/2008 13:01

So whats the real agenda behind yesterdays share movement.

Why did Craven raise his stake only a week ago and then sell a million to SMS Media. Surely he can't be desparate for £20k.

Why did SMS Media pay Craven 2p a share when they could have picked up that amount in the openmarket for 1.5p.

All very strange .. or are they just sorting their % positions for the imminent MBO

IMHO

RP3406

[lord santafe] 25/7/2008 19:58

I never help in answering questions, so someone else will. I just comment on the rise to say that, I hope CLTV stay at 2p to buy for at least another 4 weeks, just so I can average down. Maybe they will go to 2.5p to sell and then profit takers come and back to sub 2p to buy again. I do not mind that, if people make profits from here before the potential even starts.

[thinktank] 25/7/2008 17:30

Callcast Asia is the hidden jewel, imo. But there is still a lot of value to be had from the rest of the company.

Given the growth being seen in Asia and the fact they still have no competition, I think that Canaan will be looking to at least double their investment. That would value Cellcast's share at £5.2m+. They may be looking to treble it, which would vlaue Cellcast's share at £7.8m+

On top of that, the accounts state that the carrying value for £1.6m for the sumo.tv technology and content

Then if they get the company into profit by the end of the year as they have said would happen even with the ofcom decision, we should still have about £0.5m+ in cash and the UK TV business which brings in £1m+ revenue per month. Add the value of the EPGs on to that too and I think the cash plus UK TV business is worth another £4m, at least, possibly £10m, with the potential growth coming through from 3G and internet

All in all, if all goes to plan from here on, the company could realise all of their assets for £12-£21m

That would equate to between 16p and 28p

Can anyone tell me where I am going wrong with these numbers?

[the analyst] 25/7/2008 16:11

Managed to get to the AGM yesterday, which was enjoyable.

The directors seem to think that there is still a decent future, irrespective of whatever ofcom decide, just as long as ofcom keep a 'level playing field' for all companies that operate - i.e one rule for one is one rule for all.

Also, the board re-iterated that they still expect to reach break well before the end of the calendar year

Quite a bit of talk about the value of Cellcast Asia and how they expect to extract value for shareholders from it. Canaan will obviously be looking for an exit (and profit) at some stage in the mid-term. Seems promising and hopefully there will be quite a bit of value to be extracted from it.

There were only three PIs there, myself included. Very nice to meet the other two PIs and have a bit of a chat

[the analyst] 25/7/2008 14:38

I really like the fact that key staff have been given options at 3p. I am a very big fan of rewarding staff and when you have a small company, it really helps incentivise them.

The fact that Julian Paul and Michael Neville have also been given options is fine with me too, as they do not have large shareholdings as it stands. I would, though, like to see them buying some shares. That would help show investors that they have optimism for the future





Major Shareholders Now:

Mr Neil Craven 14,287,391 18.92
SMS Media Ltd(dup) 10,680,062 14.14
Atlas Group of Companies Ltd 8,645,635 11.45
Harkness Trading Ltd(dup) 6,687,500 8.86
Andrew Karl Wilson marker 5,147,997 6.82
Bertrand Pierre Folliet marker 5,147,997 6.82
mTouche Technology Berhad 4,500,000 5.96
Other Directors Name Amount % Holding
Julian Braithwaite Paul marker 1,250,000 1.655
Emmanuelle Erna Guicharnaud marker 982,403 1.301
Michael Patrick Neville marker 625,000 0.828

[the analyst] 25/7/2008 14:25

Previous to today's announcement, the 'Concert Party' ( Andrew Wilson, Bertrand
Folliet and Emmanuelle Guicharnaud) owned 27.02% of the company. Having bought a further 1m shares today through SMS Media Limited, they now control 28.35%

Under Rule 9 of the City Code, if the number of shares in which the Concert
Party is interested increases to 30% or more of the voting rights, the relevant
member of the Concert Party will incur an obligation to make a general offer.




From 26 November 2007:

The Panel has further agreed with the Company that Andrew Wilson, Bertrand
Folliet and Emmanuelle Guicharnaud who are directors of the Company are a
concert party ('the Concert Party'). Following the Acquisition, the Concert
Party will be interested in 20,406,767 shares representing 27.02% of the
enlarged issued share capital. These interests include shares held and/or
controlled by SMS Media Limited and Sardik Limited, who were members of the
Original Concert Party.

Under Rule 9 of the City Code, if the number of shares in which the Concert
Party is interested increases to 30% or more of the voting rights, the relevant
member of the Concert Party will incur an obligation to make a general offer.

The Concert Party's interests following the Acquisition are held as follows:-

Shares % of issued shares

Harkness Trading Limited (note 1) 6,687,500 8.86
SMS Media Limited (note 2) 9,680,062 13.21
Sardik Limited (note 2) 1,992,662 2.72
Andrew Wilson 1,643,000 2.24
Emmanuelle Guicharnaud 357,403 0.49
Bertrand Folliet 46,140 0.06
Total 20,406,767 27.02

Note 1: controlled by Andrew Wilson and Bertrand Folliet
Note 2: controlled by Harkness Trading Limited