Pelatro Share Discussion Threads

[rgmgo] 13/6/2019 11:28

Threeputt, Jon will likely get back with his read, but I have been looking at this issue. Note 22 to the preliminary results release has some more info. It appears that PTRO has provisioned $298K for Danateq contingent consideration this year and $1,141K next year. The $298K is likely a probability weighted calcuation, something like $2mn x low probability of crystalisation and zero x a significantly higher probability. If that reading is correct, you can't be definitive until the relevant period has elapsed, but it seems quite likely, but not certain, that zero deferred consideration will be payable this year. A similar view will have been taken wrt 2020, but presumably there will be a higher time value which partly explains the higher provision. I'd also add that zero deferred consideration could reflect one of 2 things, Danateq falling short of expectations or Pelatro writing some very specific terms which exclude some synergies ie sales of PTRO products to Daneteq customers. I see some similarities with Scisys' acquisition of Annova. The acquisition seems to have bedded in very well, and Scisys shares have performed strongly, but deferred consideration payable has been very substantially below possible peak levels, partly because the criteria were tightly written.

[threeputt] 13/6/2019 10:47

Jon, could you back that up with some facts please, what makes you believe this is not payable ? it's the one element that is stopping me from reinvesting. Thanks

• a further $2.0 million payable should the Danateq Assets generate revenue of $2.25 million in the first twelve-month period following completion, with an additional $1.0 million payable should the Danateq Assets generate in excess of $4.5 million during the same period;

[jonbaker1] 13/6/2019 10:37

Have studied all the comments from company on payment to Danateq. Looks like no payment will fall due for the first twelve-month period.

[gleach23] 12/6/2019 16:48

Also picked some up sub 70p. Didn't expect such an opportunity.

[jonbaker1] 12/6/2019 16:32

Best time to top up...

[hiraniha] 12/6/2019 13:45

Cheers.I topped up a few moments ago.

[threeputt] 12/6/2019 13:22

hiraniha, maybe getting ahead of a due payment to Danetq, they acquired jul 18 so could be a payment due soon, do they have enough cash ($1.8m at end dec 18) or will they pay in shares or will they place ?

• a further $2.0 million payable should the Danateq Assets generate revenue of $2.25 million in the first twelve-month period following completion, with an additional $1.0 million payable should the Danateq Assets generate in excess of $4.5 million during the same period; and

• $1.0 million payable should the Danateq Assets generate revenue of $2.9 million in the second twelve-month period following Completion, with an additional $1.0 million payable should the Danateq Assets generate in excess of $5.8 million during the same period.

[hiraniha] 12/6/2019 12:16

Anyone know why the slide today?

[westofengland] 04/6/2019 13:27

Its a great stock and just needs the catalyst of either a contract win, the 25th June AGM and/or results-one or more of which will happen over the next 3 weeks.

[stuart37] 04/6/2019 11:02

Topped up this morning - MM's have suckered the sellers in my opinion.........

[gleach23] 04/6/2019 10:42

Topped up yesterday afternoon...looks like I slightly mis-timed it.

Should get a trading update on 25th June with the AGM.

[mfhmfh] 04/6/2019 10:28

top-up opportunity coming up IMHO.

[basem1] 04/6/2019 10:13

Quite a fall here looking interesting again ?

[rivaldo] 28/5/2019 12:22

PTRO had $2.2m cash and rising at the last count, so the 2019 Danateq payment shouldn't be a problem.

If Danateq achieve their targets then all the better. Seems fine to me.

[gr1982] 24/5/2019 11:09

Has anyone else seen this?

I'm referring to what he's highlighted from the final results. Seems a bit fishy management talk. Any thoughts?
Does anyone have any guesstimate as to how much cash pelatro have?
thanks

[rivaldo] 22/5/2019 14:22

Artemis VCT say this today in their results:

"It is now just over a year since we invested in Pelatro and the company has delivered on the expectations set out at the time. Indeed, a growing number of telecoms companies are adopting Pelatro's software and the acquisition of Danateq has bedded down well."

They also say they actually sold some PTRO as it represented too high a weighting for them given its relatively "early stage of development", so this may explain why the share price fell back from the highs.

[gconvery] 20/5/2019 12:59

Finally it ticks up!!

[mikeh30] 19/5/2019 08:50

Mmc71 - thanks I am fully aware of their business model. It was an observation of a possibility as UK telcos are now being forced to do something that will need big data. Of course they are netting all the small fish first but I bet they have looked at that article and those regulations with a wry smile

[mmc71] 19/5/2019 06:40

@mikeh30 Pelatro are many years away from talking to telcos the size of Vodafone/BT/Telefonica.

Their strategy is to target minnows and small fish and gradually target next level up telcos.

[mikeh30] 15/5/2019 07:31

Phone and internet users to get end-of-contract alerts https://www.bbc.co.uk/news/technology-48268427Possibly an advance into big UK markets as telcos will be forced to use big data to inform customers

[sharesoc] 22/4/2019 15:13

Pelatro are exhibiting at Mello2019 which may be worth attending
ShareSoc have a special discount for our full members to the Mello2019 show! So, if you are planning on going to the Mello event it may be worth joining us as a full member too here:
You can save up to £60 on the £149 ticket if you join ShareSoc!

[nico115] 17/4/2019 09:34

Agreed,one seller giving buyers another opp before new highsGood to see the CFO buy 25k showing confidence in the business Ultimately we should climb to 125p over the next few weeks/months

[rivaldo] 17/4/2019 09:11

It seems any overhang has now cleared - hopefully back to the mid-90p's and then new highs coming soon.

[mikeh30] 15/4/2019 09:55

Also looks like a new product available from their mviva solutions:"mViva Emergency Credit Solution"

[mikeh30] 15/4/2019 09:53

There ya go. Killik notification. 1.25m shares 3.84%