Short Term Trading Week Starting: 20 November, page-212

STTCOMP KNM, FA LONG
Educational Products (Special Needs Students)

MC 51m
SP 11c
SOI 517m

Apologies in advance for the links - there really is a lot to say about this company, and I don’t want to just cut and paste page of text like some - have a look if you have any interest.

Secondly I know this is STT, but I am tipping not only because I think SP is headed north in near term but long term I think this company has a very unique potential (and frankly it’s a great investment in an Aus company doing some really good work in the world).

KNeoMedia (KNM) is an online education publishing company that delivers world-class game-based learning programs to global educational markets.
see http://www.kneomedia.com/ for a full overview.

Some key points;
-current business model is very efficient and has good economyof scale ($50 per user license p.a., each sale means overheads per license are less and profit margin is exponential)
-alreay at 14,000 licences in current new york district (almost saturated) has the company at posive cash flow
-product is demonstrated
-demand is proven (including resubscriptions)
-no competitors
-CR few weeks ago to raise $4m for strategic growth strategy, so plenty of cash on hand and potential no future CRs needed (ever)
-expansion strategy to new districts in new york, new stats in US, and new countries (Aus, Phillipines) with interest already generated throughout
-management team is absolutely professional and running a very smooth operation, constant shareholder communications, haven’t skipped a beat, and all sales targets have been met or exveeded all year.

For latest investor presos;
https://hotcopper.com.au/documentdownload?id=uOMxKKzFkiWRTLKhOROKAxjvSTYO6wy4yRiZq/l0ke92GA==
and
https://hotcopper.com.au/documentdownload?id=uOMxKKzFkiWRTLKhOROKAxjvSTYO6w6/yxOZq/l0ke92GA==

In summary, very mature management, unique product, attractive business model (cash flow positive), solid growth strategy, low risk, mid to long term enermous exponential upside potential, short term possibly has a bag in it depending how good upcoming announcements are.

Not the typical HC or STT stock, but I encourage checking it out, even if just to suss out something new.

Disclosure, held. Sorry the tip sounds a bit rampy. Sorry for post structure, on phone.