Thanks for the post, chuk. It's all starting to come together in terms of bringing this product to a world market. The possibilities and opportunities are huge, and I have confidence in Mark and the team to deliver, particularly given the expectation for an April start in the UK and the preparation for this move that has obviously happened. Mark has a habit that some have pointed out of "under-promising and over-delivering". Phrases from the last report: “Months of planning, due diligence and research has gone into this exciting move intothis major English-language market.”..... MGM Wireless executives and potential distributors have been negotiating the UK launch for manymonths. This announcement caps off a successful visit to bricks and mortar retailers in November...... “At this stage it is too early to say with absolute confidence what our sales expectations are,” MrFortunatow said. “However, our first year Australian and New Zealand sales have exceededexpectations and we have been impressed by the enthusiasm and support expressed by UK retailersand distributors.” Imho these kinds of words demonstrate the kind of careful planning and execution that I for one have come to expect from Mark and his team. This announcement stands in the MGM tradition of "This is is what we've done so far - we are ready to dance" rather than "This is what we are going to do if only we can find a dance partner" kind of announcements one often reads from ASX companies. In short, I have every confidence this will go ahead as communicated to us and as planned.
All that being said, your sp predictions are a bit scary - in a good way! Many of us here have "averaged up" as the business has been more and more de-risked. Like many here I am overweight in MWR in my portfolio, with an average price a bit higher (?) than when I started. I'm comfortable with that, though, or I wouldn't have bought the shares. The main concern is that with such an illiquid stock it only takes a couple of big holders to start a sell panic. But I think I can sleep at night without worrying about that.
Next step is solid sales figures for January sales and back to school period in Aust and NZ. I think that would build confidence in the UK roll out in the minds of many investors. Could be a cracking end of Feb half yearly if the ducks in Aust and NZ are all in a row at that time.
Been thinking about the effects of Brexit, too. On the one hand it's a pity that UK is not still in the EU, as demonstrating EU data reg compliance in one country would presumably remove that barrier to the rest of the EU. On the other hand, it just may be a bit easier doing business in the UK - just a thought bubble - others may have some insight into this which could contribute to the conversation.
MWR Price at posting:
$3.40 Sentiment: Buy Disclosure: Held