STTCOMP CVT, FA Long Covata Limited (CVT) is a global leader in...

STTCOMP CVT, FA Long

Covata Limited (CVT) is a global leader in data-centric security solutions. Enabling secure file sharing without compromising simple usability.

Covata Limited (ASX: CVT)
SP: 21.5c
MC: $113.0 Million
Cash/Cash Equivalents as at March 31st June 2016: (AUD) $7.7Million* – please see below

Catalysts include:

CVT recently held an extraordinary general meeting in mid-July where shareholder approval
was granted for the issue of 57.7Million Shares to high-net worth, insto investors (in the US and Asia-Pac), that raised an additional (AUD) $13.2Million (on top of the existing Cash Balance of $7.7Million) at $0.23 per share. Notably CVT’s closing share price on Friday was 21.5c. * The net cash proceeds to the company will be used for working capital to execute key partnerships with Fortune Global 500 companies, including its 10-year contract with Cisco and the rollout of Safe Share within its UK Government pipeline.

29^th July CVT updated the market that it had been successful in being “awarded Tier 2 Top Secret Classification on G Cloud 8, significantly advancing the Company’s position in the UK government marketplace” This major success for CVT imo is a ‘Company Maker’, please see below for how the CEO Mr Trent Telford describes what this means for CVT in his opinion…..

https://www.covata.com/covata-recei...ac-sophisticated-and-institutional-investors/
Trent Telford, Covata CEO said, “Safe Share’s Gov + Premium Tier 2 Top Secret status has truly set the bar for data security. Covata is now the unparalleled market leader in secure file sharing across the whole of UK Government. In the wake of Brexit and regional uncertainty, the need for data security is at an all-time high. Covata is now positioned with the potential to collect substantially increased revenue from the sale of this premiere product. The sector represents a very large Total Addressable Market (TAM) and we are now attacking this from a unique competitive position. This ©2016 Covata Limited or its affiliates achievement provides major validation for our decision to focus resources on strengthening our product position and pipeline in the Government sector, as outlined in the last quarterly business update. In my opinion this award, coupled with commercial success, will change how external parties view the potential strategic value of this division of our company.”

Already this announcement has received significant media exposure. Not only does this help to raise awareness across a wide range of media outlets, but it also helps CVT to capitalise on its recent success. Below is a couple of snap shots of the varied media outlets that covered this announcement. https://www.covata.com/in-the-news/






https://www.covata.com/covata-to-ho...date-conference-call-on-monday-august-1-2016/

The last Catalyst that I have included is the forthcoming conference call on Monday, August 1, 2016 at 6:00 p.m. Eastern time in the United States or Tuesday, August 2, 2016 at 8:00 a.m. Australian Eastern Standard time/Sydney local time. The key topics will include the June 30, 2016 quarterly 4C, progress and review of each of the three market channels, short form presentation from the KaaS Business Head, the recent capital placement strategy and the outlook for first half of fiscal year 2017. An accompanying presentation will be released to the market prior to the call.

I would not be surprised to see an increase in trading volumes for CVT in the coming weeks, on the back of all of the developments and updates listed above. These potential trading volumes could well place upward pressure on the Company’s share price.

This is not a buy or sell recommendation and as always please DYOR

Cheers
GF