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BUD, BUDDY PLATFORM LTD
nipper
post Posted: Jul 16 2021, 11:38 AM
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In Reply To: nipper's post @ Jun 7 2021, 03:18 PM

desperate days, desperate measures (back trading .... at $0.024 which is 44% below last April sells)

Equity Capital Raisings, Debt Restructure and Company Updates

SUMMARY
 Equity capital raising bookbuild completed and firm commitments received from institutional, professional and sophisticated investors for a placement to raise A$6.5 million (before costs)
 Buddy to undertake entitlement offer to existing shareholders to raise up to an additional A$10 million (before costs)
 Buddy is undertaking a debt restructure whereby (amongst other matters):
o .... it has agreed with its primary manufacturer, Eastfield, to pay US$2.75 million in full and final settlement of amounts owing in respect to a line of credit facility and historical accounts payables (such amounts totalling ~US$5.77 million, being US$3.02 million of debt forgiveness) ; payment will be funded via proceeds from the placement, entitlement offer and/or from PFG
o .... PFG, Buddy's secured lender, has also agreed to (amongst other things) restructure its existing term debt facility and, if required, fund part of the payment to Eastfield

Buddy will undertake a one (1) for 7.5 pro rata non renounceable entitlement offer of up to 400,000,000 New Shares at an issue price of A$0.025 (being the same issue price as the Placement)



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"Every long-term security is nothing more than a claim on some expected future stream of cash that will be delivered into the hands of investors over time. For a given stream of expected future cash payments, the higher the price investors pay today for that stream of cash, the lower the long-term return they will achieve on their investment over time." - Dr John Hussman

"If I had even the slightest grasp upon my own faculties, I would not make essays, I would make decisions." ― Michel de Montaigne
 
nipper
post Posted: Jun 7 2021, 03:18 PM
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In a statement to the market on Monday, Buddy Technologies chairman Rick Borenstein noted the resignations of non-executive directors John van Ruth, Alan Robert Sparks and Rosemary Batt.

The company would replace them on an interim basis with head software engineer Paul Russell and senior e-commerce director Jim Nelson as it searches for permanent replacements, Mr Borenstein said.

The management shake up comes after Buddy Technologies in late April suspended its shares as it uncovered inflated revenues mistakenly reported to the companys board and its audit and risk sub-board committee.




and still suspended.






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"Every long-term security is nothing more than a claim on some expected future stream of cash that will be delivered into the hands of investors over time. For a given stream of expected future cash payments, the higher the price investors pay today for that stream of cash, the lower the long-term return they will achieve on their investment over time." - Dr John Hussman

"If I had even the slightest grasp upon my own faculties, I would not make essays, I would make decisions." ― Michel de Montaigne
 
plastic
post Posted: May 11 2021, 01:23 PM
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Suspension now indefinite.

Not a good prognosis.




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What did Uncle Mel do to us?
 
nipper
post Posted: May 5 2021, 07:12 PM
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In Reply To: nipper's post @ May 2 2021, 11:22 AM

or tomorrow
QUOTE
voluntary suspension is to last until the earlier of the Company making an announcement or the commencement of trading on Thursday, 6 May 2021

but .... but ... the company has got a lot to clear up. I do not like its chances.



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"Every long-term security is nothing more than a claim on some expected future stream of cash that will be delivered into the hands of investors over time. For a given stream of expected future cash payments, the higher the price investors pay today for that stream of cash, the lower the long-term return they will achieve on their investment over time." - Dr John Hussman

"If I had even the slightest grasp upon my own faculties, I would not make essays, I would make decisions." ― Michel de Montaigne
 
nipper
post Posted: May 2 2021, 11:22 AM
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the voluntary suspension is to last until the earlier of the Company making an announcement or the commencement of trading on Tuesday, 04 May 2021;

that should clear that up.
.


\\\But is there good news coming? Very much the opposite, if recent Announcements mean anything
QUOTE
The Company refers to the ASX announcement dated 26 March 2021 titled "LIFX Replenishes Amazon, Best Buy; Fuels Record-Breaking March" and wishes to advise that as Buddy's financial team was closing the books on the Q3FY21 financials (January - March 2021), a reporting error in respect to the Company's internal management reports and accounts for the Company's March sales was identified. This error meant that the Company's management accounts for March had incorrectly included intercompany accounts (internal transfers between subsidiaries) and, as a result, the revenue figures for the month of March that were reported to both the Audit & Risk Committee and the Board of Directors were inflated.

Accordingly, the Company formally retracts the following statements in the March Announcement, which were made on the basis of the incorrect management accounts:

1. "March is on track to be the Company's highest revenue month ever, revenue expected to be more than double 2020's best month and expected to be substantially EBITDA positive";
2. "March 2021 is expected to be the highest revenue month ever for LIFX";
3. "March revenues are expected to exceed the combined holiday revenue for November and December 2020"; and
4. "Accordingly, March is also expected to deliver the highest monthly (positive) EBITDA in the Company's history", as these statements were based on the erroneous information detailed above and these milestones were ultimately not achieved.

The Company advises that customer revenue for the March 2021 quarter was A$5.0 million.
and furthermore
QUOTE
The Company refers to the ASX announcement dated 9 February 2021 titled "Buddy Announces H2 FY 2021 Revenue + Earnings Guidance" and wishes to provide the following updates:

1. whilst the Company was in trading halt last week, the Company's supply and operations team was notified by the Company's manufacturers in China that an entire production run's allocation of a critical semiconductor component for the Company's smart lights (which was being held on behalf of Buddy by the supplier), had been sold to a third party without the Company's knowledge - this component, an LED driver chip, is found in every one of the LIFX products and is currently in significantly high demand across the manufacturing landscape ranging from consumer electronics to automotive; and

2. the Company understands that the present situation is unprecedented, and as a result, without that required LED driver chip component, the Company's manufacturing activities have ceased until further notice
.

together, there is a fair bit of material uncertainty around.



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"Every long-term security is nothing more than a claim on some expected future stream of cash that will be delivered into the hands of investors over time. For a given stream of expected future cash payments, the higher the price investors pay today for that stream of cash, the lower the long-term return they will achieve on their investment over time." - Dr John Hussman

"If I had even the slightest grasp upon my own faculties, I would not make essays, I would make decisions." ― Michel de Montaigne
 
plastic
post Posted: Apr 28 2021, 12:24 PM
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No advice on when trading will resume. Even though the purpose of the suspension has been fulfilled.

That's the end of BUD imho.



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What did Uncle Mel do to us?
 


plastic
post Posted: Apr 27 2021, 08:27 PM
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Announcement out. Not good. Suspension remains. Why is the question.



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What did Uncle Mel do to us?
 
plastic
post Posted: Apr 27 2021, 06:00 PM
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Anyone following this company's current suspension will understand my cynicism of all things official, in particular anything market related.

It appears when the rules and regs don't serve a particular purpose, then they just don't matter.



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What did Uncle Mel do to us?
 
nipper
post Posted: Jul 30 2020, 06:45 PM
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ASX MARKET RELEASE 20 May 2020
LIFX Receives A$700k in EU/UK Orders for LIFX White Smart Lights; European TV Campaign Launches
SUMMARY
● LIFX has received purchase orders to support the initial stocking requirements for LIFX White in Europe totalling nearly A$700k
● This is the single largest order for the European market that the Company has ever received, and further supports the growth goals management has for Europe in 2020
● This order will provide initial stock for the U.K., Italy, France, Germany and Spain, is expected to be replenished with subsequent orders in due course, and is incremental to orders regularly received for the Company’s remaining range of lights by European retailers
● LIFX lights to be featured in first ever European television ad campaign by Google and Tink.de starting this week.

ASX MARKET RELEASE 28 July 2020
LIFX Launches New Smart Light with U.S. Retail Partners Amazon;
SUMMARY
● LIFX will launch sales of its new low cost white smart light, the LIFX White, at Amazon (NASDAQ:AMZN) and Best Buy (NYSE:BBY) in the US on Monday
● LIFX White is a new low cost product, and forms a significant strategic component of the Company’s “Big Eight Goals” for 2020
● LIFX White is launching exclusively as a stand alone light with retail partner Amazon and LIFX.com, while it is launching exclusively in a two pack configuration with retail partner Best Buy
● The launch of this new product reinforces the Company relationships with these large retailers which sought a smart light product that could be sold in large scale quantities but that was priced for affordability and whole of home deployments.

ASX MARKET RELEASE 298 July 2020
LIFX Displaces Osram in German DIY Stores; New POS Rollout

getting traction; SP up



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"Every long-term security is nothing more than a claim on some expected future stream of cash that will be delivered into the hands of investors over time. For a given stream of expected future cash payments, the higher the price investors pay today for that stream of cash, the lower the long-term return they will achieve on their investment over time." - Dr John Hussman

"If I had even the slightest grasp upon my own faculties, I would not make essays, I would make decisions." ― Michel de Montaigne
 
nipper
post Posted: May 24 2019, 03:34 PM
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QUOTE
For a company that competes head on with Dutch multinational Philips and its Philips Hue bulb, home-grown smart globe maker Lifi Labs (LIFX) has hidden its light under a bushel over its short seven-year life.

Now owned by the Adelaide based ‘cloud’ minnow Buddy Technologies – until recently Buddy Platform — now’s the time for LIFX to shine in the publicly-listed limelight.

Buddy recently completed the acquisition of LIFX by paying its vendors $US26.5m ($37m) cash, plus another $US24.5m of Buddy shares. Buddy partly funded the cash component by raising $18m in a placement, at 8c a share.

Given the LIFX products were developed in Melbourne, it’s a case of buying back the farm but sentimentality only goes so far: after a poorly received March quarter report that sent Buddy shares tumbling, subscribers to the raising are some 30 percent underwater.

Initially funded by crowd funding platform Kickstarter to the tune of $1.3m, LIFX succumbed to the siren call (and venture capital dollars) of Silicon Valley Most of the company’s development team remains in Melbourne.

Having sold two million bulbs to one million households in 100 countries, LIFX runs a close second to market leader Philips in an otherwise fragmented sector.

“In every market LIFX punches well above its weight,” says Buddy CEO David McLauchlan. "It’s a phenomenal company; it’s great to be bringing these guys back to Australia.”

LIFX certainly bulks up Buddy’s top line. In the March quarter, Buddy generated revenue of $1.134m, up 124 percent but proforma turnover would have been $8.75m with the inclusion of LIFX. In calendar 2018 LIFX generated $US38.5m of revenue and lost $US3.4m, but expects to be profitable in the current year.

Buddy’s quarterly statement pointed to calendar 2019 revenue growth of 70-100 percent – and first profits. But punters appeared less enamoured with the company’s cash burn of $3.24m and expected current-quarter burn of $15.2m.

The Trump administration’s decision to impose a 12 percent tariff on most of Buddy’s products also doesn’t help, although rivals are in the same boat.

Buddy also carries debt of $13.4 million via a line of credit, reduced by $9.12m. The remainder will be repaid this year, after which the company enters in a $20m working capital facility with the factoring house Scottish Pacific.

While Buddy has burnt shareholders in the past, there’s no doubt LIFX is surfing the growth of home voice devices such as Amazon’s Alexa and Google Assist (now in one out of every three US homes).

But for these gee-gaws to be of any use, households need the wi-fi connected globes. Helpfully, light sockets globally are pretty similar.

Designed to last 22 years but guaranteed for two years, the LED globes sell for $20 to $30 for the basic units and more than $100 for the deluxe versions, which can include infrared lighting.

“Prices have come down and functionality has gone up,” McLauchlan says.

The acquisitions bring heavy-hitting investors Sequoia Corp, Qualcomm Ventures and Blackbird Ventures to the Buddy register, joining existing Buddy investor and McLauchlan’s erstwhile employer Microsoft Corp (whom we have vaguely heard of).

Post the issue of 337m vendor shares, Buddy bears a $100m market capitalisation with 1.8 billion shares on issue. But with the combined entities losing $12m, the light bulb moment will come when the promised black ink materialises.
Tim Boreham



--------------------
"Every long-term security is nothing more than a claim on some expected future stream of cash that will be delivered into the hands of investors over time. For a given stream of expected future cash payments, the higher the price investors pay today for that stream of cash, the lower the long-term return they will achieve on their investment over time." - Dr John Hussman

"If I had even the slightest grasp upon my own faculties, I would not make essays, I would make decisions." ― Michel de Montaigne
 
 


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