Prelude Trust Share Discussion Threads

[hvs] 18/6/2007 20:40

All looks very good. seems like VP Sales and Marketing is doing a very good job.

[orange1] 18/6/2007 12:36

Following the launch of ZBD's epop at the FMI show in Chicago in May, zbd has reported that it has a huge number of leads to follow up on with some of the largest retailers in the U.S. and Canada, and some major regional chains.



"We have a huge number of leads (from FMI) from a lot of retailers in the U.S. and Canada. They like the clarity of the design, the toughness of individual displays and the return on investment. It got them really excited. We will work with them, initially, on a departmental level and then work out to the rest of the store. From an IT perspective, our surveys show that the staff loves us. It's a technology that can clearly and tangibly deliver a return in 12 months," he notes.

David Rogers, ZBD's vice president of sales and marketing, cites the example of reduced waste that epop makes possible by automating sales prices for items approaching their expiration date. Retailers can offer a 25% discount on those items at 10 a.m., then a 50% discount at noon, and an additional discount later in the day to sell products that would otherwise have to be discarded. The same attention to detail is made possible for special sales events and seasonal opportunities with messages promoting "Family Favorites," "Party Time," and "Great for the Grill."

[fse] 15/6/2007 23:46

>Tim Tom... are you able to expand on that ?
No secret but I am trying to get ZBD introduced to some Canadian Clients, cant say who but its a large chain. Our feeling here is that they have the product and the expertise and the ability to manufacture on a sliding scale. I feel they are missing the boat with regards to presentations and understanding corporate speak, unless they bring in some dynamic help they could just be window dressing.

[timtom2] 15/6/2007 22:08

That problem sounds common to another company where at least one of the top ZBD management used to work. It casued that other compoany a lot of grief too.

[fse] 15/6/2007 21:33

I am hoping that Esprit can keep a rein on things and release some of the value built up in this trust by allowing the trust to move to mature investments and not introduce any more early stage investments.
From the results this statement ......!

"The existing portfolio is developing and, for example, the
combined revenues of these investments grew by over 300% last year, confirming
our belief that real value is being created."

FWIW I do believe this is the case but most of us that have been invested here for years now are fed up with the total underperformance of the share price I suppose you could argue that the value is there but at some point it needs to be realised.

As far as ZBD goes its interesting to note that Robert Hooke whilst departing from Prelude remains a director of ZBD and from what I can tell is actively involved.
I am not at all convinced that ZBD management are addressing the marketing issue , certainly not as far as North America is concerned. This is a common UK company weakness and they need to start thinking outside of the box and get with the program. At the moment they appear to have a jump on the competition but if they dont strike now that will soon be lost.
A lot of positives but one heck of a lot to do .......

[hvs] 15/6/2007 20:20

FSE,

Thank you for your posts.

I am sure management will address the marketing issue especially as Espirit
have the skills now to help them.

[fse] 15/6/2007 19:29

Just to explain a previous remark. There is no link up between ZBD and NCR at present it's just that the guy I was talking to is a previous senior exec with NCR. NCR have their own digital displays which he showed me, he was very much in the know about digital displays and the competition and why this has not caught on before.
He plans to approach ZBD with the idea of representing them in North America.
My point is that he was that impressed with what ZBD are doing.... "BUT".... they need to get with the program with marketing and sales ...

The product is there but sales and marketing infrastructure could do with some help. The trickle of interest then could turn into a flood.
Several companies are seriously considering them.

[hvs] 15/6/2007 15:34

Hi rivaldo,

Nice to see a bit of blue. Must be due to all your digging.

[rivaldo] 15/6/2007 15:21

Blue again - 3 days out of 4 now I believe. Is someone paying attention out there?

Only another 30p to go till the price equates to NAV.

[rivaldo] 14/6/2007 21:27

Hi Blott. Who knows? As I said in the last post PDT are dependent on outside events to a large extent. If nowt happens the share price could simply stagnate around the current price or move up a few notches. But I would hope as follows...

Minimum scenario - hopefully with the more dynamic management now in place the gap to NAV will be filled (remember there's no discount for tax), in which case the share price would rise to 145p or thereabouts.

Maximum scenario - if in the next 12 to 24 months ZBD, Polatis, DisplayLink, Oxford Immunotec etc get bought out, float etc we could be looking at at an NAV/share price of anywhere from 250p to 400p imo.

The latter scenario could take a lot longer of course! But then if ZBD takes off as FSE is telling us then the sky's the limit.

[blott] 14/6/2007 20:51

Rivaldo - I am doing my own research on PDT, but given that you're well ingrained in the portfolio, I would be interested to understand your expectations for share price over the next year.

[rivaldo] 14/6/2007 20:16

Thx FSE. Let us know what info you can on ZBD - NCR eh?! So what would little ol' ZBD be doing with NCR then?

The background picture for PDT looks astonishingly rosy with ZBD, Polatis, DisplayLink, Siconnect etc. It would be nice to have some sort of landmark event like a fundraising at a healthy premium to the current valuation to attract attention, but obviously that's not in PDT's interest.

In the short-term then, the only way to close the still huge gap to NAV will be if PI bargain hunters and institutions buying after PDT's post-results investment meetings take an interest.

More good stuff from Polatis who are seemingly flying at present:



"Polatis To Demonstrate Next Generation Switching Technology At NXTcomm 2007

Wavelength Selective Switch and Compact Latching Switch to set industry benchmarks for performance

Billerica, MA., Cambridge, UK – June 14, 2007 – Polatis Inc., the leading manufacturer of optical switches for the telecoms industry, today announced that it would give live demonstrations of two next generation optical switching technologies at NXTcomm 2007, taking place from June 19th – 21st at McCormick Place, Chicago.

"Polatis is responding to needs expressed by our customers, in growth markets such as DWDM, ROADM, and FTTH," said Dr. Aaron Bent, VP Sales and Marketing at Polatis. "The advanced technologies that we are showing at NXTcomm build on the existing portfolio of Polatis products and our reputation for outstanding performance and reliability."

Polatis will unveil its Wavelength Selective Switch (WSS), an ultra low-loss switching technology, aimed at reducing network cost and enabling new architectures in next generation DWDM networks. The Polatis WSS technology differs from many switches designed for ROADMs, as it does not rely on MEMS. It can individually attenuate or block any wavelength and can pass or drop any wavelength with only 3 dB of optical insertion loss. The WSS technology is highly scalable and can be used to create 1x9, 1x4 and 1x20 fiber drops, for access, regional and ultra-long haul applications. Polatis will demonstrate its 1x9 WSS at NXTcomm.

"The WSS is a critical piece of the rapidly evolving and growing ROADM market. We are working with carriers now to demonstrate how significantly a sub-3 dB WSS can change the economics of building a DWDM network," states Dr. Bent.

Polatis will also introduce its Compact Latching Switch (CLS) technology, a matrix switch technology capable of maintaining connected paths without electrical power. The CLS allows an operator to access the fiber network with analyzers, and peer up or downstream, tapping a portion of the power, or fully switching a given link. The CLS can also be used to restore a fiber path in the event of a failure. Polatis will demonstrate its 80x80x4 configuration, a switch ideal for advanced network monitoring, intrusion detection, deep packet inspection, or any application where a large number of fibers must be accessed in a remote and automated fashion. This configuration will permit up to 4 access points into an 80 traffic fiber network.

"Our CLS latching switch is the first of its kind. It provides an operator with a new level of versatility in accessing his fiber plant for diagnostic or interrogative applications. The latching capability means guaranteed availability, even in the event of power failure", Dr. Bent concluded.

Live product demonstrations of these new technologies, and other Polatis products, will take place at NXTComm, Chicago in the Polatis booth (5755), Monday June 18 through Thursday June 21."

[fse] 14/6/2007 19:44

I have not been posting much recently due to possible conflict of interests.
I can say though that I met with a senior exec from NCR discussing North American applications for ZBD.
One of the big concerns is that ZBD whilst they appear to have a great product which not only provides information but helps market product ..... they dont have the clout or the know how to make this all happen for them.
This has been a problem for so many UK tech companies.
Fingers crossed this time though that ZBD will break the mold and take some advice. Robert Hook is still working with ZBD so we are hopeful that his considerable expertise will be put to good use.

Should investors be excited about ZBD ?
In a nutshell from what I have seen this is groundbreaking stuff, the displays which I have seen are crystal clear nothing like the old lcd predecessors.
Electronic tags have been around for a very long time now and thus far have met with little success.
The difference is that a ZBD display can highlight and sell a product in addition to providing basic information, cost savings in inventory control and further cost savings in changing price and product information.
The combination of positives may very well this time around herald in the future of electronic labelling.
If they are successful then the investment in ZBD alone is going to make PDT valuation rather absurd....

[rivaldo] 14/6/2007 07:31

Two successsive up days - can PDT make it a hat-trick?

Some excitement over DisplayLink as well as Polatis etc - a 6 page positive Samsung review here. It's interesting that the only caveat is the performance under Windows Vista, but just a month ago DisplayLink announced enabling under Vista. Problem solved presumably!



"Conclusion

The SyncMaster 940UX is a PC monitor with a USB interface and it really worked via USB in our tests. It cannot replace the traditional D-Sub and DVI interfaces because the software emulation of the graphics card cannot replace the true hardware and because Windows didn't react normally to our trying to boot up with the USB monitor only (the OS probably found no display to output to until the virtual graphics card's driver was loaded).

What are possible applications for the 940UX? First of all, it is for people who need to have multiple monitors on their desk but cannot use ordinary models due to technical or cost-related reasons (e.g. if you need to install a lot of graphics cards to have the desired amount of video outputs). The SyncMaster 940UX can be easily connected to any computer with a USB 2.0 port whether it is a notebook, an office computer with an integrated graphics card, or even a more exotic piece of computer hardware.

A special application the 940UX is most appropriate for is the organization of information systems in trade halls, at exhibitions, etc. The USB cord can be quite long (we tested the monitor with a 5-meter cord from a no-name manufacturer and had no problems with it), making it possible to connect half a dozen monitors to a single system case with a modest configuration. If you have to quickly set up a temporary exposition, you can even connect multiple monitors to an ordinary notebook and each monitor will be working individually, in its native resolution, and with perfect image quality.

Here is a photo from CeBIT where this model was first showcased: a row of monitors is connected to a single USB port.

Our tests showed that the CPU load was not too high. Our single-core processor easily coped with a pair of USB monitors. Considering that junior models of dual-core CPUs are as cheap as $60-70 today, the CPU load is not an issue.

On the downside of the USB connection is the total lack of any 3D acceleration (by the way, we wonder how this monitor is going to work under Windows Vista whose interface requires 3D acceleration). However, the target audience of the SyncMaster 940UX consists of people who want a multi-monitor configuration for little money or within technical limitations. Such people are not supposed to be interested in latest 3D games. And when it comes to work only, the SyncMaster 940UX is going to fully satisfy them."

[hvs] 13/6/2007 15:55

Thank you Orange 1

[orange1] 13/6/2007 15:50

This from the presentation on the website:

Proprietary low loss all optical switches for defence instrumentation, video distribution and telecoms

Shareholding 16.7%. Amount invested 4.3m, fair value 5.1m

Progress during year:
2006/7 order book $5.8m, up from $4.4m in previous year. Growing
number of blue chip customers in defence, instrumentation and video
distribution, accompanied by positive developments in telecoms
business. Plans proceeding for second production location in Poland.

[hvs] 13/6/2007 14:50

Hi riv,

Looking very good at Polatis.

Looks like the IPO price will be juicy indeed. Hopefully early next year.

[hvs] 13/6/2007 14:50

Hi riv,

Looking very good at Polatis.

Looks like the IPO price will be juicy indeed. Hopefully early next year.

[rivaldo] 13/6/2007 13:38

Now this looks really good....Polatis are going great guns. A new production facility opening in just 2 or 3 months, "growing customer demand" tripling in 2007 etc...



"Polatis Chooses Poland For Production Plant

Strong market demand for optical switch products fuels need for third facility

Billerica, MA., Cambridge, UK – June 13, 2007 – Polatis Inc., the world's leading manufacturer of optical switches, today announced it is to open a new production facility in Poland, further increasing its manufacturing and development to support growing customer demand for its optical switch technology.

The new Poland facility, which is due to be operational by early Autumn 2007, will augment the production capacity of its other facilities, whose total demand is expected to triple this calendar year. The new facility will concentrate on manufacture of standard products for telecom and instrumentation markets, while Cambridge and Boston will focus on specialized defense products and new technology development.

The Poland facility will feature state-of-the-art manufacturing, test and qualification capabilities, and will eventually support 100 people. The new production team have recently completed a year's training at the company's Cambridge facility.

"This is an exciting period of growth for our company and the new facility in Poland illustrates the increasing demand for our high performance products in the marketplace," said Dave Lewis, CEO of Polatis. "We selected Poland as an ideal location for expansion due to its combination of a highly talented workforce and excellent cost advantages.

"The new facility will enable us to ramp up production and scale our operations to meet both near-term customer needs, and large volume programs where we are in trials now, such as those in FTTH, and backbone network operations."

The announcement comes as the company prepares for its participation at NXTcomm, Chicago, an industry event uniting service providers with the world's leading technology companies. Live product demonstrations of the next generation of optical switch technology will take place in the Polatis booth (5755), Tuesday June 19 through Thursday June 21."

[rivaldo] 13/6/2007 12:52

More blue - buyers rushing in too (well, 3 of them).

[timtom2] 11/6/2007 14:56

6 within 2 years does sound better with an average of 1 every 4 months or approx 2 by the end of 2007 - then again may be all six April 2009. Right now I would settle for one before the end of the summer and nothing else until 2008 - just to show some return to the Trust and make a talking point.

[rivaldo] 11/6/2007 14:48

Orange1 :o)) Excellent spot...just shows you what new management can do. Let's hope they're as good at presenting to institutions on the roadshow.

I like the sound of "looking for exits in 6 of the 12 pre-2005 companies in the next 1 to 2 years" - this sounds most encouraging to me and is relatively short-term. I'd take this to mean a timeframe starting from now and ending in 2 years? After all, you could hardly say "in the next 0-2 years" could you?

It's also interesting that they assert 48% of the year's further and new investments are "later stage".

I'll look at the individual company slides later, but it's great to see some relevant company-specific info at last.