Safecharge Share Discussion Threads

[trentendboy] 01/7/2014 06:05

Could be a great dividend play. Thanks for the reminder.

Have a large position but will need to look again at buying more

[43rick] 30/6/2014 20:19

The Times article at the start of April included

"SafeCharge has raised £75 million to fund expansion into Asia and North America, where it is looking for companies with local knowledge and large numbers of customers into which it can plug its technology. It is pledging to pay half of its adjusted profit, expected to be about £23 million this year, in dividends, which will please Mr Sagi, who retains a majority stake."

So as there have now been two trading updates since the start of April indicating that revenues have been above expectations, is it reasonable to suppose that the adjusted profit for 2014 is likely to be above £30 million?

If half of this were paid as dividends then that would be a divi of around 5%.

I should point out that the Admission Document wording was

"It is the current intention of the Board to adopt a pay out ratio of up to half of the EBITDA of the Company in the form of a dividend. The Board intends to declare a final dividend for the financial year ended 31 December 2014 and thereafter to declare both an interim and final dividend (as appropriate)"

[trentendboy] 30/6/2014 14:48

Excellent. Expecting more and to break two pounds when this gets picked up by the mainstream

[captainhindsight] 30/6/2014 08:27

RNS Number : 8579K

SafeCharge International Group Ltd

30 June 2014

SafeCharge International Group Limited

("SafeCharge" or the "Company")

Trading Update

SafeCharge (AIM: SCH), the international provider of payments services, risk management and IT solutions for online businesses, today provides the following Trading Update.

In the trading update released on the 16 May the Company announced that the momentum generated throughout 2013 had continued into 2014 and that Q1 2014 revenues were substantially ahead of Q4 2013 and better than expectations for the quarter.

The Directors are now pleased to announce that the strong start to 2014 has continued and that as a result, both revenues and EBITDA for the full year to 31 December 2014 are expected to be materially ahead of market expectations.

The Board looks forward to updating shareholders on the Group's progress at the time of its interim results in September.

-Ends-

[opodio] 18/6/2014 20:10

Valuation even at the float price is a bit rich isnt it?

[trentendboy] 18/6/2014 20:05

Nice little industry award win.

Whilst not particularly newsworthy it is something that gives SCH visibility and reputation.

A good marketing tool for them.

Might explain the recent rise.

The words attached are encouraging. Sustainable growth is mentioned.

Need to get a handle on margins and how they compare with OPAY and whether they have the scalable infrastructure built

[trentendboy] 17/6/2014 12:21

The rise continues - might get to £2 quicker than I thought.

[trentendboy] 17/6/2014 12:21

Indeed - what is important about SCH and potentially attractive is the strong Asian presence. This is where a lot of growth will come from.

To grab a share of this market would be very atractive to any large US firm looking to move into Asia in a bigger way.

[trentendboy] 17/6/2014 08:48

Rising again after an early dip. I suspect there is a large buyer and they are struggling to find stock.

The other possibility is that this is an insider leak ahead of good results and those people in the know are buying ahead of the results for a quick kill or just to load up ahead of the significant growth story.

Can see £2 falling fairly quickly given this is below radar for almost all investors at the moment. Institutions will also keep out until they have more data to grind and some first results on which to base estimates.

[captainhindsight] 17/6/2014 08:46

From Times market report today:
SafeCharge International, the payments technology business still 63 per cent-owned by Teddy Sagi, the colourful Israeli billionaire who brought Playtech to the market, added 6½p to 187½p. Traders reported that selling by two hedge funds that bought in at flotation, GLG Partners and Toscafund, to cover losses from AO World's tepid float, had now finished. They expected SafeCharge to push on further from here.

[brindleez] 13/6/2014 19:58

Agreed it's been performing nicely. Don't know why but it's nice to own a share that's actually rising for a change ;-)

[trentendboy] 12/6/2014 22:02

Quiet thread but a nice little 2.3 percent today.

Can't say I have not been highlighting the opportunity

[trentendboy] 11/6/2014 21:12

In fact with over 700,000 traded today someone is taking a stake earlier than I expected.

That is some serious cash if all buys

[trentendboy] 11/6/2014 21:09

Slowly slowly, record highs and creeping up ahead of, I expect news and a decent set of results. Only then will institutions take a closer look.

Still think this is a good opportunity despite Nod's correct views on the nature of the PTEC leader who owns a good chunk of these

[trentendboy] 10/6/2014 11:20

Indeed.

Slowly slowly creeping up.

Results will be needed to see a rerating - off the radar of most.

OPAY recovered nicely although stuttering a little today

[nod] 31/5/2014 04:27

I was just having a browse through the SafeCharge web site. I just realised that of course they need to store credit cards for millions of people. "enable merchants to securely migrate and store all credit card numbers in SafeCharge's vault."I've never been keen on having my credit card details stored by companies. I do with PayPal but get a bit worried when large companies like eBay are broken into. I always have a few hundred in my Paypal account.These companies hold customer money on account like a bank does. They transfer money in and out like a bank. So they are like a bank really. The owner of this bank went to jail for fraud and made his money out of porno. Good credentials for the owner of a bank.Sagi allegedly said betting and pornography are the way to make money out of the Internet. Where does SCH fit? Both areas potentially.

[nod] 31/5/2014 03:39

PTEC became a great investment as it prepared for the main market and then moved in 2012. An investment in January 2012 has risen three fold. By contrast, If you had bought PTEC in December 2009 and sold December 2011 you would have lost 60%There was a big difference in performance once PTEC moved to the main market and Sagi had to restrain himself.

[trentendboy] 22/5/2014 09:06

Do not disagree. Might mean we are able to get in early ahead of the city money.

PTEC has still been a great investment with divis reinvested. If this does as well it will be a good investment.

[nod] 21/5/2014 19:44

With Sagi having total control and owning 66% of the shares I expect the City will mostly stay away as they did with PTEC. The shares will probably be volatile while it is on AIM and he can get away with poor reporting and extracting assets. As I wrote a few weeks ago:PTEC was very up and down before it came to the main exchange early 2012 and then Sagi's shenanigans had to cease. From memory 2011 was a pretty bad year for PTEC shareholders. I think the main reason Sagi is now making an orderly exit from PTEC is that he can't milk it now. He still gets heaps in dividends though.

[trentendboy] 21/5/2014 19:08

With an EBTIA of 6.8 million half of which will be paid as a dividend I think you are wrong there.

The policy of paying out such large divis will attract more institutions and canny investors

Gvc have done well with such a policy

[druinsky] 21/5/2014 18:08

i think it will report a loss

[trentendboy] 21/5/2014 14:52

Market cap half that of Opay.

Holding both and you never know Opay might want to buy this upstart

[trentendboy] 21/5/2014 14:31

But smaller and growing quicker so fine for a higher rating

[dewtrader] 21/5/2014 14:17

Yes, OPAY has had an upgrade today, target £6 from Numis.
SCH should be 80-90p i make it