Gan Share Discussion Threads

[lbo] 31/3/2019 10:55

https://youtu.be/FOJOtUJIz4M

[mip55] 31/3/2019 10:48

Pleased as well in the call to see the admission by the CEO that a U.S. listing will not be as easy as some may imagine:

or perhaps set in motion the complex mechanics to procure a listing for our shares in the US, where appetite for GAN’s equity story remains particularly strong.

[mip55] 31/3/2019 10:46

From the analyst call re. this quarters earnings to be published next week:

So far we are off to a good start as revenues came in at £3.3m for January and February, which represents a 148% growth year over year for the same period (1.345M in 2017). Q1 is expected to come in at 110%-120% growth.

[noujay] 31/3/2019 10:40

Not claimed on here, just sharing an article on here which appeared in today's paper.You should take a listen to the conference call - might find it of interest.

[metis20] 31/3/2019 10:38

Do not think we should be too exercised if the CEO drops his shareholding by 0.07% of the total shares in issue. He still holds around 17% of the company.

Have to invest to grow -

2018 Rev/EBITDA £10.6M/ -£1.5M
2019E Rev/EBITDA £18.7M2/ £3.6M

[lbo] 31/3/2019 10:13

So they raised money last year at 50p and then a Director sold shares at 51p and now results showed increased losses and then the company put up for sale but has not had an any offers according to the official RNS ( although its claimed on here supposedly its for for sale for 1 pound) but the share price fell below 50p when the results and sale news came out?

[largeronald] 31/3/2019 10:02

If that's true then all the people who took part in the flotation at 135 won't be best pleased.

[noujay] 31/3/2019 09:36

Just got sent article in daily mail today saying Smurfit looking for £1 a share.Ought to make the next few weeks interesting. Personally I'd like to see it grow through at least 2020 before getting sold.

[busterdog2] 31/3/2019 08:58

Wouldn’t you if you were in his position?

[lbo] 30/3/2019 20:32

So he sold 250,000 shares for just over 51p for circa 128,900 GBP and then exercised options over 200,000 at 25p costing 50,000 GBP

[noujay] 30/3/2019 20:08

Sorry metis replied earlier

[noujay] 30/3/2019 20:07

Yes relating to options

[metis20] 30/3/2019 20:05

CEO sold 250k of his approx 12 million in November and bought back 200k via exercise of options in December.

Dermot Smurfit, CEO of GAN commented:

"As the Company's CEO, a major long-term shareholder and substantial holder of options over additional ordinary shares, I expect to continue to invest in GAN through progressive future exercises of vested share options."







No way I was selling yesterday! Early drop stage-managed?

[lbo] 30/3/2019 18:58

Did one of the Directors not sell shares at the of last November for 51p?

[noujay] 30/3/2019 18:06

Certainly be an interesting few months now. I don't think they'll get taken out at 75p personally as I doubt that the majority holders would be interested in that level of valuation. Seeing the company listed within a market that offers structurally higher market valuations for gaming related companies would likely see them interested in a sale more quickly but a simple 75p a share just as it's getting interesting would seem very light.Anyway what do I know! Just musing.

[molatovkid] 30/3/2019 18:01

You never know, if acquisitive GVC step in, we might get their paper - and as they are at low ebb too, they are ripe for a double through back to £10-11

[trentendboy] 30/3/2019 17:02

I agree with the analysis - getting taken over was always part of the plan imoQuestion is what price75p a share my guess - be a shame as has this down for 1.50 is properly valued

[mip55] 30/3/2019 13:47

Cheers Noujay, interesting reading

[busterdog2] 30/3/2019 12:23

I suppose that big question could have been levelled at countless small companies that went on to become much bigger. I’d put those last two sentences down as specutartive.

[noujay] 30/3/2019 09:38

Here's the Regulus report in full:GAN: FY18 – scale needed, sale attempted GAN has reported revenue up 16% to £10.6m, on gross income growth of 20%. However, this was largely shaped by the almost total exit from 'UK and Channel Islands' licensed clients (a £1.0m swing YoY), with LfL cc growth of c. 34% - driven by US (61% mix; +27%, c. 32% cc) and Italy (37% mix; +39%). EBITDA moved into a loss of £1.5m (vs. £0.5m profit), with capex of £3.4m leading to a £4.9m underlying business cash flow loss. This was funded by a net equity injection of £5.5m (after paying down £2.0m debt; £7.5m or 17% current market cap raised), leaving net cash of £5.5m – or 1x the annualised H2 cash flow burn rate. 2018 has been a very big year for GAN, with the PASPA repeal unlocking significant sports betting platform potential. While this has been partially unlocked in NJ during the period (PPB), with further progress post period end (PPB in PA – betting and casino, and WV - betting; Parx in NJ and PA – betting and casino), almost inevitably, revenue from these partnerships is not yet covering costs (especially given that online in NJ was only really a Q4 event and online gaming is still c. six months away in PA). Progress has also been made in online gaming (e.g. adding Ocean in NJ, Goldbet in Italy) and Simulated (adding Choctaw Mississippi, small underlying growth). This drove RMG + platform growth of 25% to £6.3m (59% mix; 56% underlying growth ex UK, 63% of the business coming from Italy) and Simulated growth of 4% to £4.3m (41% mix; largely US, small Australia contribution) GAN is at a strategic cross-roads: it has more than covered its UK licensee exit with its US pivot (in revenue terms), but now with nearly all of its eggs in the US basket (from a strategic potential perspective), albeit spread across platform (including sportsbetting), casino and Simulated. The big question is whether a small company with limited resources can compete in the US even with a head start, given the level of competitiveness, investment required and uncertainty of both timing and outcome. GAN has perhaps answered this question by putting itself up for sale this morning.

[mip55] 30/3/2019 09:04

From igamingbusiness.comAnalysts at Regulus also picked up on this US focus, saying that GAN is now at a strategic crossroads, having covered its UK licensee exit with a commitment to the US.However, Regulus warned that "with nearly all of its eggs in the US basket (from a strategic potential perspective), albeit spread across platform (including sportsbetting), casino and Simulated", it remains to be seen whether this strategy will pay off.Regulus said: "The big question is whether a small company with limited resources can compete in the US even with a head start, given the level of competitiveness, investment required and uncertainty of both timing and outcome."GAN has perhaps answered this question by putting itself up for sale this morning."

[molatovkid] 30/3/2019 00:31

What a day! For better or worse, I have been here too long to bail now just as things get interesting. Let's hope more interested parties reveal themselves!

[ksavani1] 29/3/2019 22:24

Thanks Noujay.

Good job by those that did not panic sell. Let’s hope for a steady rise through the course of the next month or two.

[trentendboy] 29/3/2019 21:21

All reads well and what I do agree on is that the share price massivelyUndervalues the company and the progress already made