[Abhishek]

Agreed Investor_2022, it’s very well summarized response from BCG reflecting a significant improvement in corporate governance, investors relationship, process and communication, also hunger to increase their market share. Personally I feel no stopping until 150 but I am completely sold to Logan”s theory of intrinsic value, value recognition vs realization that current developments and approach are going to help BCG to achieve their intrinsic value which is much higher than 150.

[bhalothia9]

When SKR himself want higher valuation for BCG, nobody can stop him.

[BBPopuri]

Hi friends,
The value of BCG share may be realised on Exbonus date. I guess circuit rules of the exchanges may be different on Exbonus price realisation. Logically exbonus should settle around 80% of cumbonus price for 1:4 bonus. Bit In case of BCG exbonus could be higher than cum bonus price and how high depends on the demand on that day. People who are waiting to enter will have an opportunity that day.
I don’t think none of this forum members or the long term investors will sell on Exbonus. Many new investors are waiting for an entry in BCG. Circuit limit may be high on that day. Hence I am certain, ex bonus price is going to be higher than cumbonus price. BCG might create a record on that day and people who don’t know about BCG till that time will come to know about it. All media and social media might come out with breaking news Which we all know now itself. Bye bye friends, let us wait for that day.

[BBPopuri]

By the way any of the forum members are familiar with the exchange rules on circuit limits on Exbonus.
Google couldn’t help me in this regard.
If there is no such rule as of now and One need to fix it by the exchanges or SEBI, I see two possibilities
First one allow the market to discover the price. That’s what I expect the rule in vogue now and my previous post was based on this.
Other logical approach is as follows;
Let’s say CB is the cumbonus price ( closing price a day before the Exbonus date.)
For 1:4 bonus
Exbonus price = 0.8 times CB with +-5% circuit limits.
So the Exbonus range = 0.76 CB to 0.84 CB.

Members familiar with rules Please share your views.🙏

[Calm_Investor]

Great news! We are approved to be a certified Google MCM. https://t.co/RiMy09wuRw
Via: Twitter

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1. 

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[Follower of Logan Sir.]

Folks, Forget Company twitter handle, More Authenticity is the disclosure of the same news on BSE Exchange. No looking back on this stock.The D Day Aug 5Th is not far off wherein we will also come to know the name of the company acquired. All in all. Great things will keep on happening for this stock in times to come. Cheers !!!

[drjaysee]

Dear Friends,

Below is the link for Digital Ad Tech Business – overview. This may be useful for some of the investors to understand about the business in general but nothing specific about BCG. Pls ignore if this looks not important…

https://www.wpp.com/-/media/project/wpp/files/investors/2010/digital_advertising_technology_101.pdf?la=en

[drjaysee]

Dear Friends,

Please find attached BCG – business Overview and latest developments which have been compiled from the discussions/inputs by the experts at brightcominvestors.com & BSE. This may be useful for some of the long-term & new investors. I am proud to inform you all that I have gained huge knowledge from this document which helped me a lot to accumulate a significant qty of BCG since last year July 2020. Special thanks to all experts who have contributed their valuable technical expertise.

Attachments:

1. BCG_Overview-latest-Developments_Updated-23-July-2021.pdf

[odysee]

Thank you @drjaysee. What an excellent summarisation and presentation of data and facts pertaining to BCG.
A special thanks to @Logan who provided so much material after painstaking study and research that was put up on this forum for us to absorb that helped solidify our resolve and conviction to stay invested over these many past years.
Many other members have provided valuable inputs, and I would like to acknowledge their immense contribution to ‘the cause’ ,without having to name them individually.
Thank you, Admin, for nurturing and keeping this flock together.

[piedpiper]

Woah, such a great article. Never found a more passionate group than this. Thanks to everyone for everything.

[chris]

Pledge down to zero on StockEdge, can anybody confirm please.

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[imposiblznuthin]

Can anyone list all the peer companies like BCG? I know Affle India is one. Which are the others?

[Logan]

@imposiblznuthin, in India we have only 2 that are listed – Affle and Vertoz.

Outside India there are many companies (mostly in the US). Google, Facebook, Amazon, AOL (part of Verizon), The Trade Desk, Magnite Inc, Pubmatic, Perion Network, Criteo, Marin Software, Liveramp, Tremor International, Viant Technology, Acuity Ads.

[odysee]

I have a question @Logan, if you would be kind enough to respond.
For an analyst in India, or a research house feeding a fund manager, would it be relatively more difficult to understand the balance sheet and profit and loss account of BCG which has multiple overseas subsidiaries that account for the bulk of turnover/revenue and profits, as opposed to a study of a peer company like TTD or Pubmatic?
Or would a study and understanding of the business, per se, be equally challenging irrespective of the entities named.
Many thanks in advance.

[bhalothia9]

@Logan. Thanks for your inputs from time to time.
I have one confusion on which if you could please share your opinion.
As per latest related party transactions update in BSE, Brightcom have invested 99980 Rs in LIL Projects Private Limited, India. However, it’s has received a loan of around 50 Cr from this subsidiary. As I understood Lil projects was recently incorporated, so how this Subsidiary managed to give loan of 50 Cr to Parent ?
Thanks.

[Logan]

@odysee, in my opinion, both are challenging.

Regarding the business, as you know, at the consolidated level it looks like one company is spending 400crs+ for capex but since BCG has many subsidiaries, they all need investments of their own. 400crs is spent by different subsidiaries and the amount will be different for different subs. It’ll be difficult to understand many things for someone who is not following the company regularly. Analysts can contact the company and get all the information easily but it’ll be difficult for potential investors to understand properly right away.

If analysts don’t contact the management then even they’ll find it difficult to understand few things. As per SEBI rules, the company will put many items as “other” or as loans and advances etc. But there’s no proper details of few items in the annual reports. Compared to the last many years, last year’s annual report was way better (regarding business related details) but regarding numbers/financial related they haven’t given proper details. People won’t understand what are other assets or what are loans and advances. We have requested many times but they haven’t taken us seriously. It’ll be easier for everyone if they give proper details in the notes section of the annual report. If people understand that the advances are given to publishers to buy their media then they’ll not be sceptical on the numbers. It’ll take just 2-3 pages to give proper details. They should make the annual report as informative as possible.

While comparing with peers, in the adtech industry, it’ll be challenging because we don’t get a proper Apple to Apple comparison. For example, TTD and Magnite are in the same industry but their business models are completely different. One is at A and the other is at Z. One thing that is common is the receivables problem in the industry. Companies get paid after 3-4 months. TTD and Magnite have higher payables too which is actually beneficial to them as they’ll have more cash on hand. BCG’s case is different, it pays within a month which is a good thing but it puts pressure on the cash flows. I don’t know whether analysts will consider all these before coming to any conclusion. For them it’s just a call away but for us, we have to spend more time to understand properly.

[Logan]

@bhalothia9, the investment that BCG has made is the initial investment made to acquire/start those companies and not investments made every year. I don’t know much about LIL projects. It’s better to ask the CEO or the CFO in the conference call. I can understand loans recieved from OMS or other companies but about LIL it’s very difficult to guess.

[Logan]

Google advertising revenue rises 69% from last year

[odysee]

Thank you very much @Logan for your very lucid and thought provoking response.
The 2019-20 Annual Accounts were surprisingly more heartening and professionally prepared and presented as you have pointed out, but relative to preceding years’ accounts only. The pleas ,for better and more meaningful disclosure, made during a number of conference calls have yet to be fully addressed. I find this a bit surprising, considering the momentum that has picked up lately in presenting the newly energised debt-free BCG as a consistently performing new-age international ad-tech company, with publicly articulated ambitions for growth through acquisitions as well organically.
Mr Reddy has made no secret of his desire to see the company commanding due recognition by the market, and deservedly so, despite the troubled past few years of coping with legacy issues as well as some deficiency in proper communication and timely handling of pending problems.
But given the nature of the industry, and the widely varying business models as you have pointed out, it would be imperative for BCG to present a balance sheet and a set of Accounts, that would be far more informative (without compromising on business ‘secrets’ and confidentiality) to enable a wider public and institutional participation.
Balance Sheets are the not easiest of things to read and comprehend at the best of times, even by professionals, and in a not fully understood, varying business model industry, it would be of critical importance for the BCG management to act on this now.
With fund raising on, acquisition on the cards, a possible consolidation and partial dilution of that consolidated lot of subsidiaries ( read listing on an international stock exchange) etc, the ambitions and prospects are exciting if executed with care and transparency.

[Follower of Logan Sir.]

It seems yesterdays selling is from a retail investor having a chunk of 76 Lakh shares,has sold 3/4 of the quantity & will again re-enter. Smart Money moving out to come in again more or less at 40 odd levels. I think he is from our forum. In the mean time count down has started. D day Aug 5th will disclose all & Sundry. Wait for it. Cheers.

[Author]

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