Legendary Inv. Share Discussion Threads

[professor pettigrew] 25/10/2016 10:58

I'm going for the next bit of news to be that Zaf has negotiated our stake in VS up from 7.1% to 10%.

That'll set the share price alight.

[professor pettigrew] 25/10/2016 10:51

Many thanks for that Brian. Obviously when VS announce additional trusts, which I reckon must be almost a "nailed-on", they will then come back with a further upwards valuation.

Somehow, we'll get that 1p party going!

[brian boru] 25/10/2016 09:29

as expected here is beauforts note;

Company news

Legendary Investments (LEG.L, 0.21p) – Speculative Buy
Legendary Investments, the proactive investment company that focuses on making early stage investments in and assisting companies which exhibit the potential to generate significant return, yesterday announced that its 7.1% owned investee company, Virtualstock Holdings Ltd (‘VS’) has been appointed by the Shelford Group to deploy its technology platform, The Edge, to engage with NHS trusts’ suppliers. The Shelford Group is an academic healthcare organisation comprised of 10 leading NHS multi-specialty trusts, employs over 100,000 people with a turnover more than £10bn, making up over 13% of acute trusts' turnover across England. The Shelford Group will deploy VS's cloud-based module catalogue management solution, part of The Edge, for a faster, cost-effective and consistent e-Catalogue solution ensuring procurement is efficient and effective, providing a solution to what Lord Carter described as one of the major issues affecting the NHS. VS first launched in the health sector last year at Guy's and St Thomas' NHS Foundation Trust (a member of the Shelford Group). VS was cited in The Carter Report as exemplary of best practice in employing digital technology to deliver significant cost reductions, through supply chain optimisation and procurement process efficiencies with Guy's and St Thomas. VS is in ongoing talks with other hospitals with an aim to roll out the platform across all trusts throughout England. Legendary Investments’ Executive Chairman, Zafar Karim commented “In a few short years, Virtualstock has gone from winning its landmark contract with Tesco to being adopted by other leading retailers. Momentum in this sector continues to grow. Significantly, Virtualstock's sector agnostic nature enabled it to win its first NHS client just over a year ago, and now, its systems have been cited as "exemplary" and are to be deployed in the NHS by the Shelford Group further afield. Legendary's strategy of searching for deep value, its patient opportunism and its proactive investment strategy is now starting to pay off.”

Our view: They have done it! Virtualstock’s successful trial of its ‘The Edge’ platform with Guy’s and St Thomas’ Foundation, the UK’s largest trust hospital, has now paved its way to full roll-out across all of the Shelford Group. Healthcare is a giant opportunity. Indeed, in an independent report for the Department of Health that was published on 5th February 2016, Lord Carter suggested that savings totalling £5bn annually could be made if waste and unwarranted price and product variation across acute trusts are resolved. A sample of 22 trusts exposed that they used 30,000 suppliers, 20,000 different product brands and more than 400,000 manufacturer products. Procurement-led efficiency initiatives specified by Lord Carter will aim to deliver savings of up to £1bn per year (out of £5bn) by 2020. Lord Carter's report concluded that catalogue management, enabling control, compliance and reduced product and price variation, continues to be serious issue for the NHS. The Shelford Group will be the first group of trusts to collaborate in the adoption of a single catalogue management solution to address the key recommendations in Lord Carter's report. The potential full deployment of The Edge platform, which includes order management, will give all stakeholders end-to-end visibility of the supply chain, order status and procurement performance. This enables the discovery of new, recommended suppliers while guaranteeing best practise creating Virtualstock’s revenues recurring and its customers ever more sticky. Not just the healthcare sector, being relatively unknown outside the UK, Virtualstock already has a track record of ensnared a good number of the nation’s hardest household-name retail taskmasters – nothing less than the likes of Tesco (Virtualstock revenues have expanded several-fold on the originally contracted rate over the past two years), Argos, Office Depot and Maplin for example, providing the tools to optimise supply chain operations, while delivering significant cost savings. This is a client list that peers many times the size of Virtualstock would die for! Full year 2016 result announced on 8 September illustrated Virtualstock stood out as Legendary’s exceptional investment. Nick Jenkin’s, the founder of moonpig.com decision to invest in the Company, based on a £58m valuation, allowed Legendary to record a net gain on the Group’s fair value of investments of £2,391,000 (2015: net loss of £235,000). Beaufort’s analysis (see note of 16th May 2016) apportioned the bulk of the portfolio value to Legendary’s 7.1% holding of Virtualstock at £12.5m. Legendary continues to trade at a discount to Beaufort’s estimated ‘sum-of-parts’. With relatively near-term potential to create significant additional investor value, Beaufort repeats its Speculative Buy recommendation on the shares and confirms a target price to 0.5p/share.

Beaufort Securities acts as corporate broker to Legendary Investments Plc

[professor pettigrew] 25/10/2016 09:10

Morning all. Not surprised to see the pullback this morning, profit taking etc., but I have yesterday's RNS firmly imprinted in my mind now. Knowing what is to come makes LEG an even bigger bargain when some choose to sell.

Good point re Beaufort Brian. Obviously yesterday's news will have an impact on the future valuation of VS, this eventually will be reflected here.

[brian boru] 25/10/2016 09:02

I'd imagine that beaufort will comment today - after all they are the broker who put such a high value on Leg's stake in VS - could even upgrade their valuation in light of the NHS contract success???

[tini5] 24/10/2016 23:03

Bit gutted I sold a chunk no more than a couple of weeks ago. Still have a good holding and definitely trying to free up cash now for LEG. Good jump today but still more ground to recover, hoping I can get back in before we hit .4. Guess I'll need to be quick!

[professor pettigrew] 24/10/2016 21:40

It's a pleasure Kemorkid. RTW1 should take the plaudits as he is the one who has done most of the digging.

I think my input has been minor to say the least, but hopefully I've done (and am doing) my bit.

Welcome back nocky44 to the LEG holders club. I think today's news takes a lot of weight off a lot of shoulders, and makes buying LEG much easier now riskwise, knowing that there is a lot more to come.

I now truly do see 1p here with much more newsflow to come, and doubt it will stop there.

Truly exciting days lie ahead.

[nocky44] 24/10/2016 20:38

Hi Prof / RTW1 good to see the rise here today, I picked about 4 million up this morning, not been on the forum for a while got to depressing and was having a negative effect :-) I posted previously that I had moved funds elsewhere but happy to get my hands on some LEG again at a better price than I ever expected with this mornings RNS . I have learnt a lot over the last few months, and was very attached to this share, I sold out at average .21 and did well with COPL (still holding for a few more bags on that one) and have traded HNR recouping what I lost on the fall in LEG price, I hope everyone does well, some good people on here, RTW1 only just saw your private msgs, good research once again. and apologies for late acknowledgment, LEG never been in a better position moving forward, new highs, very likely and as much as Zaf's interview with Zak convinced me to abandon ship I congratulate him on a shrewd investment in VS just wish he had a bit more charisma :-) Virtualstock unicorn status a step closer and a billion dollars post brexit worth a lot more £'s than pre :-)

[kemorkid] 24/10/2016 20:18

Prof you are the man !!
Don't forget the share price has been hammered
In the last months.
We are only starting here .
Must thank rtw primarily and yourself
For keeeping everyone informed and
Enthused.
Well done and thank you

[professor pettigrew] 24/10/2016 20:05

Patience please Kemorkid. Let me vastly increase my holding and my wife's pension pot with LEG first.

Then it can take off!

[sidahass] 24/10/2016 20:03

Yes PP - Good Luck!

[kemorkid] 24/10/2016 19:57

I would like to see another 40 %
Tomorrow !!!!!!

[professor pettigrew] 24/10/2016 19:10

An excellent find Phil - looks as though VS could now find additional openings thanks to this.

[professor pettigrew] 24/10/2016 19:03

Nice one Phil.

We have a ton of this to come sidahass. The fun has only just started.

[sidahass] 24/10/2016 18:10

Well done all holders, I'm sure we have more of this yet to come IMO

[philmiboots] 24/10/2016 17:48

It’s been announced this morning that the Shelford Group* of 10 leading NHS Trusts will deploy Virtualstock’s cloud-based catalogue management solution. This is one of the first multi-site (but not nationally imposed) technology deals done in the NHS to our knowledge, and will certainly create interest in the wider health system.

Last year’s report from Lord Carter on efficiency in the NHS highlighted unwarranted price and product variation across acute trusts: a sample of 22 trusts exposed that they used 30,000 suppliers, 20,000 different product brands and more than 400,000 manufacturer products. There are big savings targets related to procurement and the report identified that effective catalogue management, enabling control, compliance and reduced product and price variation, was one of the key building blocks to drive improvement.

It is not the whole answer of course but this is a significant step, and if Virtualstock does become a de facto catalogue “standard” for NHS hospitals that will simplify matters considerably for the supply side too. This deal is also a triumph for our friend Rob Knott, who left the NHS and joined Virtualstock a year ago – we suspect he could see the potential in this product and in this approach generally!

We said a while back that our biggest hope for NHS procurement lay not with the “centre” but with the excellent leaders we see in quite a few Trusts now, people who are embracing technology as well as understanding key issues such as engagement with clinicians and other stakeholders. Those people aren’t just in the Shelford Group, we should say, but let’s hope all the procurement heads around the network look at initiatives like this and learn from what is working in other Trusts.

It's also big news for Virtualstock - the firm has not really been a big player in the "procurement technology" world from our perspective, having focused mainly on retail and retailer-oriented catalogue management. But perhaps we will see more of them in the B2B world now - and might this also lead to other public sector organisations taking a look at the product? MOD perhaps? Crown Commercial Service?

[professor pettigrew] 24/10/2016 16:46

Me too, but that will be some way off.

Don't forget there's some of us want to add substantially to our holdings. Don't want it roaring just yet!

[canford cl1ffs] 24/10/2016 16:35

up 41%, not too shabby but won't be happy until the 1p party!

[professor pettigrew] 24/10/2016 16:30

Nice little tick-up at the close - decent volume around 125m.

[professor pettigrew] 24/10/2016 16:10

You have to hand it to RTW1. He was buying these around the 0.10p mark and bought all the way up to 0.45p, never sold a single share at the previous peak, and has added all the way back down again.

I've done similar but in a smaller way.

It only takes around 50 or so people with a holding of 20m or more, and the MM's will be completely screwed when all the news is out.

Don't let them have your shares.

[professor pettigrew] 24/10/2016 16:01

Many thanks for posting that Kaerus.

[kaerus] 24/10/2016 15:29

EezyMunny - the accounts are all up to date - the "up to March 2016" figures aren't due until 31st December but last years are all there. It's a small company so the accounts don't have to be as detailed as a Tolstoy work.

It is also worth noting that VirtualStock is comprised of (at least) 3 companies

VIRTUALSTOCK LIMITED
VIRTUALSTOCK RETAIL LIMITED
VIRTUALSTOCK HOLDINGS LIMITED

so make sure you're looking at the right bumf.