Wynyard Group capital raising?

**whatsup** · 13-05-2016, 10:40 AM

Does anyone have any idea what is going on with WYN ?

**Mista_Trix** · 13-05-2016, 10:53 AM

Originally Posted by whatsup

Does anyone have any idea what is going on with WYN ?

Massive cash burn, slower then expected expansion, frustrated shareholders, larger players in similar markets with deeper pockets... to name a few.

**sb9** · 13-05-2016, 11:31 AM

Originally Posted by whatsup

Does anyone have any idea what is going on with WYN ?

If they miss the target at next announcement, I'm afraid its curtains down!!!

**lastmoa** · 13-05-2016, 02:36 PM

Originally Posted by whatsup

Does anyone have any idea what is going on with WYN ?

Nervous sellers will sell. There's be no recent bad news to justify a drop .... maybe a reflection on some people's negative take from Xero? Dunno. People sell for whatever reason and the low vol's don't give me any insight. The upcoming AGM will be interesting though. I am anticipating some long awaited positive news. Not writing it off like some other posteres here .... some people will jump from tech stock to biotech to tech, etc, and not exercse patience.. imho.
They are in a good niche space and have some credible people behind it. Hold fire. DYOR. 8-)

**blobbles** · 15-05-2016, 08:28 AM

Originally Posted by lastmoa

Nervous sellers will sell. There's be no recent bad news to justify a drop .... maybe a reflection on some people's negative take from Xero? Dunno. People sell for whatever reason and the low vol's don't give me any insight. The upcoming AGM will be interesting though. I am anticipating some long awaited positive news. Not writing it off like some other posteres here .... some people will jump from tech stock to biotech to tech, etc, and not exercse patience.. imho.
They are in a good niche space and have some credible people behind it. Hold fire. DYOR. 8-)

As I understand it, I would be concerned about them not recognising the $27m deal at all. While they came back at the start of the year saying "We won't be able to recognise this in this financial year", I think we all assumed they meant "We might not be able to recognise this at all...". As the deal was a conditional deal on other things falling into place, it sounded a bit iffy. Hence everyone is a little nervous. Revenue guidance will likely be missed this year and without other deals of such significance and none in the past 2 months, it's understandable why people would be exiting. You don't have to be a chartist to not be afraid of losing money when it looks like it does right now!

In saying that, it is very much a share that could bounce hugely on signing of a significant deal, so buying and holding at these levels may not be a stupid idea if you believe management will deliver.

**trader_jackson** · 15-05-2016, 09:03 AM

Originally Posted by trader_jackson

Man anyone who did get out at a $1 really would have been doing pretty well...

3 months on from my post in Feb... Hope those who could, did get out at $1...

**crabs** · 15-05-2016, 11:37 PM

I use to be a big fan of what this company was offering, I brought not long after the IPO.
They use to crow about every large contract they signed then they used the excuse that revenue targets were not meet due to untimely signing of contracts. I thought this was plausible.
The following year they reiterated, several times, that full year revenues will be 40-45m but their crowing of signed contracts was nowhere near matching what they were saying. The 6 monthly only had $14m in revenue yet they reiterated $40-45m was still on the cards. 3 months later they were still not announcing/crowing enough about contracts signed so I sold out.
The full year turned out to be a big miss in revenue with the company blaming it on one huge contract that had not fallen into place.....dodgy if you ask me especially given the cash burn.
They then announced to the market that they had mismanaged shareholders funds so badly they had to take out bridging loan until they had done another cap raise.
This really goes to show that the company, despite being in a growth industry, is being poorly managed.
No company thrives with poor senior management

**Tsuba** · 16-05-2016, 07:33 AM

Actually spoke to one of their software engineers and he said they are a very good company to work with / for and when I asked him what he thought about the future prospects of the company he said there is a LOT of competition out there. Which I suppose is a big hurdle for them. Time will tell.

**crabs** · 16-05-2016, 08:06 AM

Originally Posted by Tsuba

Actually spoke to one of their software engineers and he said they are a very good company to work with / for and when I asked him what he thought about the future prospects of the company he said there is a LOT of competition out there. Which I suppose is a big hurdle for them. Time will tell.

The real question is does one want to be an investor whilst waiting for time to tell in a company that repeatedly reiterates revenue targets only to miss them substantially every year and mismanages shareholders funds so badly they need a bridging loan prior to announcing a cap raise.
Currently WYN are spending $3 for every $1 revenue.
Me thinks WYN senior management are best friends with RAK senior management.