Mobilityone Share Discussion Threads

[jbravo2] 27/10/2022 15:55

Dig away Lloydy. Look forward to your report

[lloydypool] 27/10/2022 15:41

"1Shop reported revenues of RM13,007 (equivalent to c. £2,449) and generated a loss before tax of RM6,024 (equivalent to c. £1,134). "

"M1 Malaysia undertakes to provide the necessary technical and business support to 1Shop. In addition, as part of the terms of the Proposed Joint Venture, M1 Malaysia guarantees that 1Shop will achieve revenues of at least RM560.0 million (equivalent to c. £104.5 million) in the financial year ending 31 December 2023 or any other period as mutually agreed (the "Revenue Target")."

From the RNS, MBO subsidiary is M1 Malaysia, who in turn own 1Shop. Somehow, someone has agreed to pay £11m + for 60% of this subsidiary that that had revenue last year of £2.5k. M1 then guarantee it will turn over £104.5m. That is a hell of a guarantee ... I wonder what happens if it doesn't happen?

Clearly this deal is transformative if it is all above board and the share price should be many multiples. However, it doesn't add up to me. Anybody want to dig deeper and help answer the difficult questions or would they prefer to just slate me as naysayer & ride the MBO rollercoaster?

[davydoo] 27/10/2022 15:28

Why would you expect a special dividend to be paid?

[lloydypool] 27/10/2022 15:25

Ghost walker - someuwin has posted the date they are aiming to complete the merger of Super apps and TETE, nothing will be complete re MBO until after then. Also why talk of a special dividend? The RNS also states "the Group intends to apply the expected cash proceeds from the Proposed Disposal and Proposed Joint Venture into the expansion of the Group's existing e-payments business in Malaysia and supporting the general working capital purposes of the Group".

[lloydypool] 27/10/2022 15:21

Anyone found anything online about the actually company "Super Apps". Seems they have done well to sell themselves for $1.1 billion without having any sort of web presence? The Malaysian site I found the other day relating to Super Apps seem completely unrelated but now appears to have disappeared.

Myisco/Mcash do not seem to have been around long either & have about 5 staff on linked in so not sure what proportion of the 1.1 billion valuation is attributed to them

Impressive rise again on MBO share price but it seems strange how little tangible information there is around the other parties connected to this transaction.

[ghost_walker] 27/10/2022 15:11

According to rns, a few weeks before we get taken out. I suspect about mid of December and hopefully 8p special dividend.

[ghost_walker] 27/10/2022 15:09

Kind of MM to delay a buy of 121K an hour late.

[someuwin] 27/10/2022 15:07

With the TETE merger at most eight weeeks away, the excitement (and sp) should keep building here.

"The Merger Exercise between TETE and Super Apps is expected to complete by 31 December 2022."

[jbe81] 27/10/2022 14:56

Impressive volume once again

[ac_trades] 27/10/2022 14:53

Up 218% since 18th Oct and still a long way off it's previous high. Are we expecting any further imminent news updates? Trying to decide if I should add more or sit and see where this goes?

[ac_trades] 27/10/2022 14:38

Great post and very good news for Mobiltyone

[katsy] 27/10/2022 13:30

I believe the big seller is now out. The one who once held 19% that is.

[jbravo2] 27/10/2022 13:22

It’s the volume that is key of course.
With such a small free float the seller can’t be far off cooked and then we’ll see a rush up like last time. With the deal it’s less likely to retrace

[jbravo2] 27/10/2022 13:17

Thanks The Champion
This is gonna fly

[katsy] 27/10/2022 13:10

Can't help feeling with all this technology we're building our own prison.

[ac_trades] 27/10/2022 13:06

I always thought this would come good but it's taken longer than expected!! Expect the upward trend to continue but hold this time. Good luck to all the long term holders on here..

[smackeraim] 27/10/2022 13:03

https://blog.kms-solutions.asia/what-is-super-app-and-why-it-is-taking-over

[mattjos] 27/10/2022 12:59

thanks for sharing The Champ. Good article
Actually, quite mind boggling with regards what is unfolding before us. I have upgraded what I believe is fair value for the shares & that is absolutely not under 50p but, well over.

[the champion] 27/10/2022 12:48

Definitive agreement !

[the champion] 27/10/2022 12:48

Definitive agreement !

[the champion] 27/10/2022 12:48

hxxps://spacinsider.com/2022/10/19/technology-and-telecommunications-tete-to-combine-with-super-apps-in-1-1bn-deal/


Tech & Telecommunications Acquisition Corp. (NASDAQ:TETE) has entered into a definitive agreement to combine with fintech Super Apps at a valuation of $1.1 billion.

Kuala Lumpur, Malaysia-based Super App has agreed to acquire a 60% stake in OneShop Retail from MobilityOne (LSE:MBO.UK) immediately prior to the deal’s close, resulting a combined ecommerce and card payment company.

The combined company is expected to be renamed TETE Technologies and is expected to trade on the Nasdaq under the symbol “TETE” once the deal is completed in the first half of 2023.

Transaction Overview
Tech & Telecom has a $115 million trust and has not yet supplemented this with a PIPE, and the parties have not released their merger documents. The SPAC’s profile page will be updated once additional information is available.

Super Apps shareholders are to receive Tech & Telecom shares equal to an aggregate value of $1.1 billion minus its closing net indebtedness $235 million. The remaining $865 million-worth of shares will be subject to earn-out conditions.

Quick Takes: This is a deal with a lot of moving parts, and still lacks a large amount of information at this stage.

In addition to the move by Super Apps to take over a chunk of OneShop Retail, the company has also agreed to a collaboration with payments app Myisco, which will takes effect at close. The Myisco app is an e-wallet similar to Venmo or the Cash App and is itself owned by ANGKASA, which is a national federation of cooperatives in Malaysia.

ANGKASA is a broad-based network comprised of 14,657 cooperatives in Malaysia with an individual membership of about 7 million people. It reportedly had about RM152.1 billion ($32.2 billion) in assets as of June 2021 and RM41.5 billion ($8.8 billion) in annual revenues in 2020.

As a part of the Myisco collaboration, ANGKASA moving forward will use OneShop Retail’s systems to process all bill payments and credit lending as well as customer debit, credit and check payments throughout its broad network. OneShop Retail technology will also be used to process ANGKASA’s payroll.

Based on this and other potential collaborations, Super Apps believes it will generate $348 million in revenue in 2023E. MobilityOne will retain OneShop Retail’s intellectual property but will give OneShop Retail a long-term license for the IP backing these systems.

MobilityOne itself reported £255.7 million ($287.6 million) in overall revenues 2021 across its 10 subsidiaries, of which OneShop Retail is just one. To this point, the OneShop Retail branch appears to have primarily focused on merchant retail sales systems in Malaysia.

The company’s earnings do not break down its revenue by geography, but it noted it generated about £2 million in profit subject to Malaysian corporate taxes, which was presumably made up by OneShop Retail and the group’s six other subsidiaries focused on the country.

As such, for a deal that is already complicated on the face of it, there are still many more questions that investors will surely be interested to see answered in forthcoming materials. Being integrated into such a large network from the start is certainly an enticing opportunity, but it appears that several entities are in a position to take a cut of the action.

The market has also been wary of Southeast Asia-based fintechs with the five Singapore-based de-SPACs trading at an average price of $2.42. This cohort is led by perhaps the region’s largest fintech in Grab (NASDAQ:GRAB), which was at one point the largest SPAC deal in history.

Grab now trades at 5.8x its current revenue. The parties to this transaction meanwhile have not released a proposed enterprise value, but the price tag in terms of its aggregate share consideration to Super Apps equals about 3.2x its 2023E revenue.