A nice & positive initial post for you... welcome! I am not sure how long you have lurked on these forums... a five post history could mean many things when it comes to HC.
However, I am sorry to hear of your losses incurred to date with 9SP, I have also (obviously) incurred losses on 9SP - one realized (BoA) and what I am sitting on now (post VISA)... which is to say it is a minimum stake which could no longer buy me a decent (or even a moderate) pair of sneakers.
In regards to 9SP specifically, yes, it is still a longshot to success... I have held on because of that... plus I am loathe to realise the loss I have incurred (again). I figure what is spent is spent and if they eventually succeed, I can celebrate then.
They need to be able to manage to preserve existing cash or obtain CR funding to exist until such times as they start actually generating additional sales (converting leads), then they need to retain customers (BoA will be coming due for renewal shortly) then they need to start a cycle of cash flow positive operation. Even the partnership with VISA will require renewal in the not too distant future.
The reality is that, to date, they haven't done any of what they need to do well enough, the market was informed in hype, rather than substance and what they have given has been overly ambiguous (because of market sensitivity is possible) and without enough consistency for a holder to be able to actually gauge progress / development. The messaging of the product offering is poor (especially considering how much they have spent on it) and clearly, the product is aimed to financial institutions as a bolt on rather than retail forward... as finding a current review on the product offerings is nigh on impossible.
The walkaway mystery buyer is a hard one to let go of... 400k is a months operating capital, and the fact that management paid this (not the other party) screams of desperation...
a $6 million market cap company with ~$5million needed to fund the company for a year (minimum) or two... doesn't bode well... plus the discount premium that would be required to incentivise the buy... I can't see how they could sell it
They needed IMO 3-4 more BoA's back after BoA signed... considering cash burn has been maintained (mostly)... I still think that number to be true (lets assume OCBC loss is offset enough by Virgin UK)... they have the leads - they have had around the same number of leads for the last two quarters.... now, lets see them convert.
9SP Price at posting:
0.4¢ Sentiment: Hold Disclosure: Held
