May 1, 2021 at 12:18 pm #11646buffetRegistered Boarder
PWs have already been allocated. Now what next? One thing to note, all these LLPs subscribed to PWs were formed in August/sept 2014. This seems to be well orchestrated drama. I am just wondering, how thick skinned/cunning Needy is? But, he shall remember, no one escapes karma. He will have his own judgement day.
Looking no light at the end of tunnel. Waiting since 8 years.
Everyday I wish, affle/ tradedesk like company will take over BCG. Looking at credebility of SKR, takeover also seems impossible.23+May 1, 2021 at 2:55 pm #11647
Another two months we will see light at the end of the tunnel as Qtly results time around June 25TH along with release of pledge shares, Intervening period sanction of LOC resulting into acquiring of new company, Etc.It has to reach its fair value & will reach. Most Golden period end Dec 2022. Pls wait for it. Cheers !!!May 3, 2021 at 1:30 pm #11648
Going as per trend, It seems its on a downward spiral. 4.85,3.20 on the way. Nothing to worry, What goes down will come up accordingly. Pls note all stocks play zig zag and with time again gain.Keep Patience.Cheers!!!1+May 3, 2021 at 8:49 pm #11649VALUEBUYER001Registered Boarder
Kris Ji I differ with you. BCG may not come below 51+May 3, 2021 at 9:26 pm #11650
Valueji. Most of the time, I am right, Like when oak was to exit, It went down to levels 3 & less. Hope this time you are proved right as usual.Still I will stick to my version.1+May 3, 2021 at 10:13 pm #11651
Replying to #11642
@raviblk, thanks for the appreciation and sorry for the late reply.
(At first when some people attacked me, I was little disappointed but now if I see those messages, I can’t stop laughing. It’s so silly and dumb. I like and admire Jeff Green of TTD (in adtech industry), Jeff Bezos, Warren Buffett, Howard Marks, Azim Premji, Ratan Tata, Mukesh Ambani etc, so will I become all these people because I support and defend them some times?)
See the problem is there are few people who are causing enmity between investors unnecessarily. They think that you become a “genuine” shareholder only if you trash talk about the CEO/Company/management. I can’t do that and will never do that. My criticisms will be based on what the CEO does and they won’t be based on my emotions. These people have succeeded in stopping regular discussions in the forum, you can see these days no one is interested to write anything. If you write your opinions on any topic, some people will come and attack you. They link everything to the recent PW. I can’t handle this B.S, that’s why I’m not writing regularly in the forum. I’ve told the Admin also that I’ll write only when there are conference calls. Writing regularly is simply a waste of time for me. I do days of research to give proper information about something but what do I get for that? People call me paid agent or they’ll say that I’m part of the management etc. If I talk about TTD or Magnite or other companies, these people will say that I’m talking way too forward things which is suspicious etc. Still I don’t understand how talking about “real” peers of BCG is way too forward.
Regarding discussions on other companies, at first I was very interested but after seeing the discussions in the past few months, I’ve changed my mind. My analysis and research will be based on reasoning and not based on emotions. Just because the price is not increasing, we can’t stop looking at fundamentals but some people don’t understand that. Just check the discussions happening in this forum from past 4 months (after PW announcement), whatever I write, people come and attack me or undermine my posts and they have tried to turn people against me. The reason I wanted to start discussing about other companies was because, as you know, collective knowledge will be greater than individual knowledge. For example, I may not know anything about Company XZY but others will know about it, so we can discuss the pros and cons about that company and later think about investing in that. 99% of the forum members are all very mature and they understand the situation properly but there’ll be that 1% immature people who ruin everything. Its like “A single drop of poison can infect an entire well”. We can’t argue with those people.
Those people say (and are convinced) that DAUM, India debt didn’t cause any negative sentiment and they are not important etc but the same people will criticize the CEO if he doesn’t close those issues. If those things don’t matter at all, I can’t understand why they have problems if the issues are pending or not. Then they’ll say share price was controlled by the CEO all these years and there are no market factors but if I ask why other companies’ share prices have decreased they’ll say market factors as the reason. So for every other company there are market factors but for BCG there’s only manipulation of prices. And if I ask them evidence for the CEO’s alleged role in manipulation of prices, they won’t share any but they expect us to believe them blindly.
It’s better for me to concentrate on my investments instead of dealing with these people. I’ll continue to believe in market dynamics and will give more importance to that than giving importance to some conspiracy theories. When the price is falling, people will look at only negatives. They don’t see the hard work done by the CEO and the management team. They don’t see the 300+crs paid to banks till now but they see only the Axis issue. They don’t study the real peers of BCG and think that Affle is the only peer. They don’t understand the basics of auditing process and they want forensic audit.
Subex was closing off all the debt, was improving its business, corporate governance all these years but the price was always going down. The company maybe has paid more than 600crs debt all these years but the price decreased all the time. Then suddenly its going up now. So who can explain this? There are no promoters in Subex so who controlled the price? Same with many other companies. It’s common for companies to trade at 2-5PE for some years if the market sentiment/perception is negative (after 2018 small cap crash and before corona rally, many good companies were trading at 1-5PE). Before DAUM, BCG was also trading at similar PE multiples but it was DAUM that caused the prices to fall. When the company is named Lycos and if you lose Lycos then what perception will that bring? Negative or Positive? If Daum case hadn’t happened, BCG would’ve traded at 2-5PE. The main reason people give only one reason for everything is because its very easy to do that. Understanding many factors takes time and effort and people are not ready to do that. Now PW is approved but still the price is going down and to this also they’ll start a conspiracy theory, just wait for few days.May 4, 2021 at 3:01 am #11652
And adding to the previous post, the important thing is that no investor (at least in this forum) has stopped anyone from giving any complaint against the company/CEO/Promoters. Some people will come and write many things here but they won’t give any complaints against the company. My guess is that they are doing it only to seek attention and to cause unnecessary disruption. In the last quarter alone the company received 20 different complaints from investors and these people didn’t wait for anyone to give those complaints.
(The interesting fact is that some people target only me and they don’t bother if others write something similar to what I write)
Why haven’t they given any complaint till now? This is a very simple and common question. They come up with all the conspiracy theories but they can’t give one simple complaint. If they find something wrong in the company then as shareholders they have the right to give complaints to SEBI, instead of doing that they’ll threaten and blackmail shareholders like me saying that they’ll hack into my system etc. It’s been 4 months since PW plan was announced, but no one has shared any useful evidence with us regarding manipulation. Should we trust them blindly without any evidence? If someone asks why the compliant, should we say that because price is not going up?May 4, 2021 at 3:10 am #11653
To the people who continue to believe in market factors/dynamics,
BCG is in a special situation where the stock is not following the fundamentals. This happens sometimes with many companies. There are many reasons for companies not to follow fundamentals but to say that it’s only because of manipulation of prices by promoters looks crazy to me. If we check the broader market (not just AFFLE or TANLA), we’ll come across many companies trading way below their intrinsic value (though that number has decreased after the corona rally). As written in the previous posts, before the corona rally and after the 2018 small/mid cap crash, many good companies were trading at very cheap valuations for almost 2 years. If DAUM hadn’t happened or if BCG had paid off India debt sooner then it would’ve traded at 2-3PE.
Just like everything else, in markets also, there’s a best before period. If I buy a sweet today and the best before date is 30th May then the sweet will have the best taste till 10th May and from 11th to 20th, it’ll have somewhat good taste and from 21st to 30th the taste won’t be that good but you can just eat it. After the best before date also you can eat it (best before date is different from expiry date) but it will be horrible or it may not be suitable to eat and may turn into poison.
This example suits BCG’s case, taking DAUM example, if the company had closed it in 2016-18, then the impact would’ve been very positive, 2018-20 it would’ve been somewhat good and from 2021, we can’t say how the impact will be. Either it’ll be very good or maybe somewhat good or somewhat okay or there won’t be any impact at all.
So, did the CEO make mistake in delaying this? It all depends on how you see the DAUM episode. Personally, I don’t see any value in getting back Lycos (business wise). I think there was great value in it during 2010-14 period. If BCG wanted to get back/keep Lycos in 2016-18 period, then it should’ve paid $34M to DAUM, valuing Lycos at $54M (according to the court’s order). BCG had already paid $20M (140-150crs) to DAUM in the first payment. Is it good to pay 250-260crs (close to 400crs valuation) to get back Lycos after 6-8 years of the deal? Obviously no right? BCG valued Lycos at $36M (270crs) in 2010 and even that value should have come down after 6-8 years. So, that $36M was not a good valuation in 2018 and obviously it will be even less than that in 2021.
The valuation would’ve increased if Lycos was adding new age tech assets or if it was investing in some new age technology but as far as I know, it hasn’t added anything and in fact it has sold some assets (Gamesville). I think there was some value in patents that Lycos had, but who knows, DAUM might have sold even those patents. So if nothing is added and some assets are sold, logically, BCG shouldn’t pay anything to DAUM and that $20M is sufficient enough. But in the real world we can’t make that argument, so BCG should pay as less as possible to get back Lycos.
And the other important thing to remember is, Lycos brought great value to BCG (according to the CEO, it was because of Lycos that BCG’s business went up 2 or 3 times) so BCG should pay some respectable amount to DAUM and close this chapter and look at new areas to invest in like AI, ML or other growing fields (or buyback its own shares which will add great value).
Looking at all these, business wise, the CEO took a good decision in delaying DAUM settlement but that didn’t work out well valuation wise. So unfortunately it was us, the shareholders who were impacted the most. Some people say that the CEO should’ve paid the $34M to DAUM and some people like me say that’s a waste of money. So it all depends on how we see things, no one is right or wrong here. Everything depends on price and value. Paying more price than value is not a good idea but we should also consider best before period.May 4, 2021 at 9:32 am #11654VALUEBUYER001Registered Boarder
Logan sir it is better to close any litigation fast, as it will give a better image to a company. SKR might have saved 50 odd crores, but lost a lot of opportunities to grow fast. Thanks for your detailed write-up. I also request DH to comment and whether taken any steps as told by DH ( to act with proof) after march 31May 4, 2021 at 11:12 am #11655
@valuebuyer001, I don’t think you understood my point. It all depends on your perception. My point was about price and value and timing (best before period). If you are an investor who gives more importance to price and value then paying more money looks stupid but if you give importance to timing more than price and value then delaying the payment looks stupid.
If you give importance to price and value just think of this – Will you pay 150crs more to buy/get back a worthless asset that won’t add anything to the business? It’s nothing but a perfect example of burning cash without any purpose. And you can’t do that just because there’s a litigation. You also have to look at the severity of the litigation. The case is there since 2016 and what harm did it cause to the business?
That’s why I said nobody is right or wrong in this. Personally I don’t see any value in Lycos but I can’t force my opinions on anyone.May 4, 2021 at 7:08 pm #11661
Dear Logan Sir,
Execellent presentation. Sharing a good knowledge and educating other people is the best service to the humanity, which you are doing well. The important thing is the peson doing service should develop the habit to ignore the criticism . Naturally they will be the one who is targetted more by the critiqes . You rightly said “A single drop of poison can infect an entire well”. We can’t argue with those people”. So dont try to reason with them.
Our humble request is you continue to share your wisdom which is immensly helpful to the persons like me. So please don’t stop sharing your knowledge either about BCG or any other stock and continue to write pleaseMay 4, 2021 at 8:32 pm #11662
Raviji, I fully endorse your view.1+May 4, 2021 at 11:09 pm #11663
Thanks @raviblk. Criticisms are always good but the problem is people did not criticize me but they started saying that I’m a paid agent and that I work for the CEO, I try to conceal truth etc. There’s a limit to everything. They always try to force their views on everyone. Some people just to seek attention, will spread fake news about the company. They can’t tolerate if I correct them. They just want to show their frustrations so they don’t hesitate writing nonsense stuff. They can write whatever they want but they have problems if other people share their opinions.
They know that they are misguiding people but they don’t care about that. They expect me to trash talk about the CEO 24/7 and if I don’t do that they write weird things about me. They tell everyone not to give importance to fundamentals but they have remained invested because of the fundamentals. That’s really selfish. These type of childish behaviors makes people to neglect the forum. These days I’m not following the forum regularly and I don’t have any interest to write (especially since Jan). These people attack only me because I don’t agree with them. I don’t understand how they can expect me to believe their conspiracy theories and guesses blindly.May 5, 2021 at 11:04 am #11664odyseeRegistered Boarder
It would be a tragedy if this forum goes the same way as the Moneycontrol board. We have had wonderful and informative exchanges and posts over the last many months, and a lot of additional knowledge and data about the ad-tech industry, as well as BCG’s historical journey,has been acquired by all on this forum.
I strongly believe that the coming on board of a few very negative and disruptive elements in the recent past , has led to avoidable acrimonious exchanges on this forum. The targeting of sincere and knowledgeable members without any substance to back their hostile and crude accusations, has created unnecessary divisions and suspicion of motives, on this once wonderful platform for serious BCG investors.
It would not be out of order for Admin to be a little more discerning and a tad less generous with obvious transgressors of the ‘rules of play’ initially formulated when this forum was first set up.
Both critical as well as positive posts help create a balance and provide a wider perspective of our investment in BCG, but extreme comments and personal attacks out of frustration or otherwise is condemnable.May 5, 2021 at 1:29 pm #11665
It is time for you step in to sort out the uncertainty. You did a great job by providing the platform , different from MMB board. Please continue to maintain this forum as a special one for knowledge sharing and remove the negativity .
Also convince people like Mr.Logan to continue their writings.
ThanksMay 6, 2021 at 3:14 pm #11666jay69Registered Boarder
In the past few days (10-15 days) the publisher count of BCG has risen sharply as seen from Adauth website, may be the company has got some kind of substantial funding (like LOC) which may be propelling the business sharply higher, within the past 1 week the publishers count has increased by more than 1180, the screenshot for both the periods (29th April & 6th May) has been given below.
Attachments:May 6, 2021 at 5:30 pm #11669May 6, 2021 at 8:20 pm #11670chrisRegistered Boarder
This information was on the StockEdge app, does anybody know anything about this ?
Attachments:1+May 6, 2021 at 9:21 pm #11673May 6, 2021 at 9:52 pm #11674radhutheoptimistRegistered Boarder
There is a disclosure at BSE today by BCG stating that they don’t meet the criteria prescribed for Large Corporate as per some SEBI circular. Basically my understanding about the circular is you need to provide details of borrowings and BCG says we don’t have to as we don’t have any debt right now. For me it appears that before getting LOC you need to get clearance from SEBI if there is any existing borrowings. That’s why BCG issued a crisp statement to BSE which doesn’t mean anything to anyone. If you go through what is the SEBI circular you may understand. This is what I understood right now…. and I might be stupid to assume something 😆.4+
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