Noting that Spectur is doing the rounds through some brokerage company at the moment. I haven't had a chance to take one of the calls but voicemail indicates there may some sort of cap raise on offer.
I’ve pondered this for a little while. Micro/nano cap companies and taking the approach of putting in $50k - $100k at a price less than 1x sales (or 1x profits even, lol why not) and curious if that would ever be a big enough stake to take a board seat and influence the company to head in a direction that could benefit shareholders.
That is assuming the skills, knowledge and patience to do so. It’s not all about money.
Kind of like coming in as microscopic private equity. Buying a chunk of the business then helping scale so I end up with a $2bil dividend like twiggy at FMG.
Spectur could be small enough.
Thoughts?
Out of interest, I was camping in Kakadu in the NT the other week and noticed a couple of Spectur units on remote roads. I think someone here had a knock on the aesthetics of the units. I can you that they look pretty much just like a small light pole. Quite discreet. I just noticed the sticker on the unit with the company logo on it otherwise I would’ve driven right past without noticing the thing at all. Maybe the close up photos on the website makes them look strange but in reality they’re quite nonchalant.
07-May-2020: 5:37PM CST: Just to add to @saltybeef's #Substantial Holders straw for SP3 (Spectur), which went like this:
That's saying something, because the median market capitalisation of the positions held within EGP's Concentrated Value Fund (CVF) was only $61.8m on April 30th - and 41.8% of the fund was invested in companies with market caps of up to $50m - as shown on the lower half of page 6 of their latest monthly report, sent out this week. It might sound like Tony has a very high risk appetite with that sort of portfolio but I would actually suggest the opposite is true. He does an enormous amount of DD on companies before investing in them, and he always demands a significant margin of safety. He still gets the occasional land mine (like KPT) when something unexpected comes out of left field (like more than half of KI getting burned out by bushfires), but the vast majority of his investments do pay off handsomely for him - eventually. Knowing that (because I follow Tony Hansen and his fund), I had to check just how big Spectur (SP3) was. Commsec says... $5.22m. Fair enough then!
I think a $5m company is probably too small for ANY fund manager, and probably too small for most retail investors as well. Liquidity IS an issue for them. There was only one trade today in SP3 shares, and the total value of that trade was just under $308. On Friday (1-Apr-2020), the total value of SP3 shares traded was $930 (being 15,000 shares @ 6.2c each). To be fair, they usually trade quite a bit more than that, but there are certainly days where the volume is pretty negligible. I'd never heard of them, and I would say I've heard of most Australian listed companies (except for a good percentage of the vast swathe of mining and energy exploration companies who have never made a dollar for their shareholders).
Commsec says: Spectur Limited (SP3) currently operates in the Australian security surveillance industry, with a specific focus on solar-powered security camera systems. Their core products are solar powered deterrence and surveillance systems and associated cloud-based platforms. These systems incorporate cameras, lighting, audible warnings and a hardware IoT platform, remotely accessed and connected via 3G/4G technology to a cloudbased platform.
Sounds like they could have the makings of a decent company if they start executing well - and a few things go their way. I've added them to my watchlist.