re: Ann: Agreement Signed with American Intra...
ok so they way I see it, this is a very big deal! I dont think the market understands how big this is yet....but i am now getting a better idea about the strategic vision they have been going on about. College sports in the US is absolutely massive and definitely the right space to be involved in.
it also make perfect sense now why they acquired offer mobi last year. Through vertical integration they will be able to quickly generate advertising revenue /monetise the platform and sell offer based advertising on the mobile platform. This would have been a massive task if they had to build a business from scratch! Offer mobi is proving to be a excellent acquisition, generating profit from day 1 and i assume they will feed them with massive amount of business when this thing goes live later this year.
teaming up with the ACIS and building a free plateform like this for the students is very very smart move and is a game changer for the company.
naturally there is going to be significant traffic on the platform - if students need to use as a information source. By adding the social elements it will create the 'stickiness' that will keep students logging on regularly...if this thing goes viral then its is unthinkable how big this could really be.
the students represent a demographic that leading businesses and those surrounding the local colleges are going to want to advertise too...i think because these students represent their target market they will not think twice to advertise...eg the local health food store, gym, bars/rest/fast food, sports equipment retailers, Nike, Microsoft etc etc
infact i believe that advertising clients will be willing to pay more because of the exclusivity and the demographic of users they will advertise too..
Im very impressed with this transaction..I noticed that there are hardly any sellers now...this thing could really fly if it attracts the right attention.
MKB Price at posting:
5.2¢ Sentiment: ST Buy Disclosure: Held