where to now?, page-2

Hi Seanbuccs,

I agree re this stock being at the bottom of the floor right now. Only way is up now IMO. A really basic summary for you:

The company became MOT 9 months ago and bought a couple of Mobile focused businesses; mConnect and 2Morro Mobile. The company was previously basically a shell until they acquired a company called CBox (media company) to bring the company out of suspension. At a high the share price was 16 cents, just after the announcement of a deal with Berkshire Hathaway from CBox and the completion of the mConnect acquisition.

All 3 were profitable businesses before being brought into the public company fold. unfortunately all 3 companies have lost money since being taken over, although this point is debatable currently due to the way the company was structured by the CEO. The public company stripped the revenue out of the subsidiaries to fund itself as Motopia Limited itself is not a profit making entity. Some of the costs in the public company such as the directors fees were way too high and consequently the money to fund these excessive overheads came from the 3 main subsidiaries.

Now where we are is that the CEO has resigned (which is a good thing) as he all he was interested in was cutting costs and knew nothing of how to grow the individual businesses and create revenue for MOT.

I believe what Will happen now is control of the entities will go back to the people that made them successful in the first place I.E. 'the business owners' and costs will be stripped from the public company including Directors fees etc.

There are some great products ready to launch at Motopia; such as 'mOne' a mobile marketing management platform; Lemon + Lime which is a ready made App solution targeted at festivals and event management companies as well as Universities and colleges. Another product ready to go is a global app store based on gifting and sharing and utilising social media.

Hopefully the business can now get these products to market with the CEO now gone and realise the potential of the products and industry they are in.

IMO, DYOR
Mobi1