They proposed new terms which would still presumably realise substantial value for those who bought around 20c.
Cant see another buyer interested other than verifone.
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They proposed new terms which would still presumably realise substantial value for those who bought around 20c.
Cant see another buyer interested other than verifone.
the only issue was later OIO approval delay wasn't it, or did I miss something .. ?
This one has been very kind to me over the past 5 months or so with SP volatility up & down which looks likely to continue
I guess now just waiting time for another lower point to shuffle in for another load up
The way I read it the oio approval let them cancel the deal, which they probably wanted to do because of Covid-19
Am back in @ 32.5c with an initial holding ,after my big portfolio selldown on 4th feb, @ 62c.. Covid is a positive for SMP .The catalyst shift to electronic transactions will benefit big time.
Maybe if you ignore the looming deaths of many bricks and mortar retailers and the switch to online purchases. I’m a holder but can’t see how Covid is a positive for spy.
Good point - don't SPY specialise in selling terminals etc into retail ? .. which may be affected in places for as long as C-19 takes to shake out & for growth to occur..
Now they're back to having exposure in both Oz & NZ in these markets, with no real improvement in their Balance Sheet & facing perhaps temporary retail transactions & equipment sales being down, longer term maybe improving retail trading patterns when things reverse upwards again ?
Im not looking at anything short term, be crazy to.Im getting back in at a great price (A32.5c) and am hopeful of another bite at a lower price soon. as i jog around my city i see it starting up again albeit in a small contactless way, as well as the tyre guy, the garage, the baker, the sports shop etc etc. This comcom review worth reading, will Verifone be back?
https://comcom.govt.nz/__data/assets/pdf_file/0016/215611/Verifone-Submission-on-Verifone-New-Zealand-and-Smartpay-Holdings-Limited-Statement-of-Issues-28-April-2020.pdf
Great research note here, its free just register heres a snippet
"Smartpay avoids industries with prepayment risk such as travel agencies. They are very strong in small-medium enterprises in the hospitality industry. Large businesses demand lower prices from their payments provider. The banks focus on them with the hope of offering other financial products (e.g. debt facilities). Tyro now focuses on banking products rather than pure payments, using their banking licence. Smartpay is the only major operator with a complete focus on the payments business. No significant competitors (other than Square) have entered the market because there is a high moat. It takes at least 6 months of work to connect a new switch so switch providers tend to avoid talking to new entrants if they’re small operators.
https://insufficientcapital.com/2020/03/31/insufficient-capital-march-update/
Raising funds at no discount to s/p at T/H, 42c..
“Payments terminals company Smartpay is pitching a raising with a nil discount to investors on Wednesday morning. The company was seeking to raise $10 million via a placement of new shares at 42¢ each, which was in line with its last sale price.
Funds raised were to "strengthen the balance sheet through initial debt reduction and to provide flexibility for post COVID growth in the Australian merchant acquirer market", according to terms sent to potential investors.
CCZ Statton was managing the offer.It was calling for bids by 4pm on Wednesday and the placement was due to be announced on Friday, the term sheet said.Smartpay had a $73 million market capitalisation prior to the raising. Its shares are listed in Australia and New Zealand. It comes as Smartpay seeks to sell its New Zealand assets. The company had a deal with Verifone, however the agreement was terminated and Verifone made a revised offer. Smartpay's board rejected Verifone's new bid, and is now able to offer the business to other potential buyers.” STREET TALK