Sorry for the delayed update on Monday's calendar 2017 results from Big Sofa (BST), the video analytics provider but we wanted to catch up with CEO Simon Lidington which we have now done. The numbers are not that good but we long suffering shareholders knew that anyway.
I hold shares in both Eridge (the re-named and redomiciled New World Oil and Gas (NEW) which was booted off the Casino following the most extraordinary run of events) and in AIM-listed Big Sofa (BST). I was therefore wondering what was going to happen to the convertible loan which Eridge held from the days when it was going to be the vehicle into which the Big Sofa was injected before a few things came to light which eventually saw that fine firm of Beaumont Cornish resign and run for the hills as Nomad in one final two-fingered salute to (then) New World’s shareholders.
At the UK Investor Show there were six Dragon's Den sessions. As a result of each £3,000 of my real money was invested after each dragon picked one of the 5 companies doing an elevator pitch. In session five the Dragons were me (Tom Winnifrith), Brian Kinane of Riverfort, a jovial Irishman who takes teasing well, and Steve Moore. The companies pitching were: Big Sofa, Symphony Environmental, Stranger Holdings and Papua Mining
Simon also gave a massively impressive Dragon's Den pitch which you can watch later. I own shares in Big Sofa (BST) and came away enthused as a result of the show. What do you think?
I dropped Tom a note immediately upon seeing the great looking Ipsos funding deal with Big Sofa Technologies (BST) on Friday morning saying that it looked like good news. He followed up immediately with a demand for a grovelling apology. Being a reasonable sort, I thought I had better do the decent thing and give him as fulsome a one as I can muster from the bottom of the heart.
Shares in Big Sofa (BST) closed at 12.75p last night. Today we were told that market research giant IPSOS had subscribed for £3 million of new shares at 18.5p to take a 20% stake. This is validation and vindication and you should buy aggressively this morning.
Tom Winnifrith and Cynical Bear have been battling it out over AIM-listed Big Sofa (BST) for a fair while. Cynical worries about the company running short of cash, Tom is interested in the growth and points to the fact that Sofa is about to turn profitable (according to the company). In the middle of all this, I have a few shares myself and have been wondering what to do (and so did nothing!)
Cynical bear offers up the bear case HERE. here is the bull case. Sensible investors want to hear both sides of the story. BB Morons only want to read folks with whom they agree. This website is committed to free speech and is not targeting Versarien (VRS) owning morons, who want to hear only one side of the argument, as customers. Back to Big Sofa...
My Woodford piece earlier today highlighted the challenges of taking too much notice of what you hear from the company itself. I think the same can be said in connection with Big Sofa Technologies (BST) following its poor trading update yesterday.
Like London buses you wait for ages and then suddenly they all arrive at once. Big Sofa (BST) has announced two major contract wins with Target Corporation, a leading US retailer, and Zurich North America, the US company of the global insurance group.
Disclaimer: a) We own a large number of shares in Big Sofa (BST). b) There is a bear case. My colleague at ShareProphets puts it in full HERE. I explain why he is wrong in a Bearcast HERE. But why are the shares a buy? Unlike Mr Bear I have spoken at length to the company. So I enlarge on a piece from HotStockRockets on the basis of that chat.
I’m not particularly good at being smug but it would be remiss of me not to give an update following Big Sofa’s (BST) interims on Friday as I was pretty spot on. For completeness, Tom has already covered his thoughts in a Bearcast and a separate article HERE and HERE respectively, but here’s my take on it.
When the international video analytics provider to consumer brands and market research agencies completed a placing a few weeks ago it flagged up that H1 results for calendar 2017 would not be anything to write home about. Let us not kid ourselves: they are piss poor. But that should be no surprise and it is what happens next that matters which is why we think the share price sell-off is wrong.
I have been having some good natured debate with Tom on the pros and cons of Big Sofa Technology (BST) recently and, as ever, he has allowed me to present my bearish version of events in advance of next week’s interims in contrast to his bullish thoughts the most recent of which is HERE.
When this share tip appeared on FivefreeShareTips yesterday the shares were 20.125p to buyur readers got the best deal. Do not miss out on our next tips emailed direct to you: register now HERE. But at 22.5p to buy Big Sofa (BST) still is stunningly cheap. Here is why...
This will make those who said Big Sofa (BST) was set to do a placing happy. Except that they stated that it was because the business was doing badly. The reality is that it is going gangbusters and needs working capital to take on extra business. Thus last Thursday four phone calls to four fund managers meant that - with NEDS lead by Adam Reynolds chipping in £210,000 - £1.5 million was raised at 18.5p in just ten minutes.
