Cyanconnode Share Discussion Threads

[multibagger] 18/9/2018 07:07

RNS Number : 0841B
CyanConnode Holdings PLC
18 September 2018

$11.6 million order from India
Largest order to date for Omnimesh IPv6-based smart metering solution in India

CyanConnode (AIM: CYAN), a world leader in narrowband radio frequency mesh networks, is pleased to announce the receipt of a $11.6 million purchase order relating to a smart metering deployment by an Indian State-Owned Utility.

This major purchase order, from a Tier One Metering Partner, is for Omnimesh IPv6-based hardware, perpetual software licenses and installation services. In addition to this order the Company is also negotiating a five year support and maintenance contract. The end customer is a State-Owned Utility and the agreed deployment schedule is expected to result in H2 2018 revenue.

The Company forecasts revenues of c.£700k under this order in this financial year to 31 December 2018, contributing to the delivery of management's existing full year expectations. The Company now has a total order book in excess of $110 million.

Anil Daulani, Managing Director of CyanConnode Pvt Limited, commented: "We are very pleased to announce the Company's largest order to date for Omnimesh. The product was launched in 2018 and this brings the total value of orders received for this new product to in excess of $16 million, and demonstrates its suitability for the Indian smart metering market. The size and scale of this opportunity reflects the rapidly evolving Indian market as well as the ability of CyanConnode's Tier One Partners to offer highly innovative and workable solutions."

India is a key market for CyanConnode, contributing revenues from existing contracts for State-Owned Utility end customers, such as Uttar Gujarat Vij Company Ltd and Madhya Pradesh Paschim Kshetra Vidyut Vitaran Company Ltd.

[the bull] 17/9/2018 23:59

Dont invest in anything based in cambridge, Tadpole, Smeldex, Cyan, I can claim all three sadly but only a couple of £K here thankfully, will add that to the Smeldex loss as the tip did come via a confidence trickster

[emptyend] 17/9/2018 17:36

What on earth makes you think I was referring to you? LOL

[cancun tango] 17/9/2018 15:56

Sounds like some dodgy goings on with the tendering of SMETS2?



'At an early hearing of Pytel’s case, the tribunal ruled Ofgem was required to disclose his documents about public procurement arrangements for the smart meter programme'

[tightfist] 17/9/2018 14:54

(I have been in here since Day 1 on AIM and have followed all the twists and turns quite closely).The CC acquisition acquired their IP and customer base which included the (repeatedly delayed) roll-out of the UKSMETS2 programme and the resulting Not-Spots recurring revenue stream. The discounting is reduced (time passing) whilst we are told the revenue is set to increase...... And it's more predictable than Asian revenue.......The thought about privatisation is a recurring theme - but logical and now would be great timing after the PI's and II's have funded the heavy lifting. The evolving role of WDJ-P is very interesting in joining the BoD in July, not (yet?) fully subscribing for shares in the Sept 2017 placing and IMO now helping smash the share price Unfortunately I am overseas and unable to attend Wednesday's meeting and listen for any clues......

[realist1950] 17/9/2018 13:39

CCT - at least I've, quote: 'simplified his reading'.

[cancun tango] 17/9/2018 13:29

'emptyend - 17 Mar 2017 - 10:16:26 - 1084 of 2879 Cyan Technology - Smart Electricity Metering for Utilities April 2016-2017 - CYAN
Bscuit.....yes it was bound to be fully-placed. That's why I bought at .182 after the news today.

I suspect that they may be put up for sale at some point in 2018/9 at a rather higher price than today's.'

[realist1950] 17/9/2018 12:54

You've been proven wrong.

But sure, dress it up however you want.

[realist1950] 17/9/2018 12:40

You miss the point.

If you cared a little more the views of others - in particular those with a long term experience of the company you're interested in, you may not be sitting on a 30% loss.......forced to buy more shares than intended to bring that average down.

But maybe you don't care about that, either.

rgds.

(Of course, you'd also be in a position to buy more shares, for less money).

Still. You know best. And past experience means nothing.

[realist1950] 17/9/2018 12:05

Funny how you always turn up after a drop, dwall.

I can almost hear you ponder: 'Maybe this is when I can finally make a correct call'.

[realist1950] 17/9/2018 11:39

Remember, the filter button is always there for you, should you need it.

[realist1950] 17/9/2018 11:18

Re. todays news.

We looked in depth at the acquisition of Connode in the past.

I didn't like the look of the transaction at all. Again, it looked expensive......with huge R&D spend following the technological / strategic reasoning for the acquisition,

I seem to remember Connode was also making a bit of money prior to acquisition but this seems to have dried up...

No time to check over the above this morning, so I have to state that's how I remember it for now and AIMO as always...

What we do know is that cash demands remain high and that the company is again seeking more funding.

Also note from the interims that the management are very happy to flag the fact that the loss is somewhat reduced from the corresponding period last year, HOWEVER, we were told last year was exceptional (because of necessary R&D spend). A FAIRER comparison therefore would be to compare the interims with the year before last......and if we do that we don't really see that much of an improvement at all, do we?

Regards.

[multibagger] 17/9/2018 09:54

Anil Daulani coming over was also one of the reasons I thought that this Investor Presentation was a prelude to a funding round.

I suppose bringing him here would allow investors to hear first hand and cross examine various elements of the Indian smart metering context...with a view to possibly reassuring investors ?

I can't make it to London on that day...are either you DWall or Emptyend able to attend ?

[dwall] 17/9/2018 09:12

I also believe now the product is finished and assuming it is as sort after as we are led to believe by the BOD then licensing deals and large orders will follow fairly quick smart.

If this happens and clarity on funding is sorted one way or the other then it should pave the way for a share price turn around as then it will be based more on actual revenue and thus values as opposed to just the most awful sentiment currently held by disgruntled pis.

After meeting him in March I still expect Anil Dhaulani to come good on several fronts this year and also find it at least very intriguing that he is coming over to do the presentations this week, why get him here now?

[owenski] 17/9/2018 08:43

Empty bellend trying to put a positive spin on a business that's having to cut costs because it's a serial failure.

[multibagger] 17/9/2018 08:40

Investor presentation scheduled for this Wed in the city + statement that more funds will be needed in RNS on 11 Sep...so I felt a placing was coming. Maybe the source of funds could be a loan note conversion / funding from the likes of Genus/L&T, further investments from JST / DWP ?

[emptyend] 17/9/2018 08:35

I wouldn't assume a placing at all. If they closed just one license deal then there would be no need for a placing anytime soon. The next 12 months will be all about converting the IP into cash......

[multibagger] 17/9/2018 08:26

Wonder what the placing is going to come in at ? I think circa 5p could be all the market has an appetite for. Then the question of how much funding is needed - could be £3-4m possibly (just to be on the safer side) though revenues coming in should help us. I am reasonably optimistic about the licensing deal before end of FY18 as well. The closure of the Sweden base (rent + personnel ?) appears to save about £100k per month - which is a decent saving in the context of our revenues.

I feel that atleast 1 software licence is close to being closed - could be that it has been agreed in principle including payment but being held up by (usual) delays stemming from two legal teams thrashing out the T&Cs to safeguard the interests of their clients.

Once, the first one licensing deal is done, then there is a blueprint for the follow on deals. Hopefully, NED Pete Hutton (ex-ARM) is able to inform the important licensing considerations from our perspective.