I’m in deep too (from the AGX RTO).
The problem we have now is a lack of leadership. The Board members don’t seem to have the skills needed to take this business forward. Their “turnaround strategy” was simply getting the previous CEO & COO to resign in February to cut costs and then they stopped paying bills. That’s brilliant. 4C’s don’t require debt disclosure so shareholders kept in the dark. They should’ve added a Calombaris move to top it off! (ie something to do with underpaying staff).
I’ve always thought the CCP tech is sound. However, they have struggled to sell the ‘as-a-service’ deal to food businesses. So the company needs to change its business model quickly and re-target. As we’ve discussed in HC threads, there’s plenty of markets (even in B2C) for temperature monitoring. I’d buy them for my BBQ and fridges at home but not under the 24mth the as-a-service model. Too expensive. So perhaps the company should rethink and produce a low cost model for new markets.
But selling through the website is dumb without a big marketing budget and demonstrates the Board lack of understanding. The company should have a look at what CIO did; ie a white label to large corporations. And bloody hell, if the Board still doesn’t get it, have a look at BUD any see how fast they’re running from their IoT monitoring platform and turning to the B2C with a new product.
The contract development revenue is a good opportunity. But it tough to attract new business. The FGF & Penta investments were supposed to be strategic (ie resulting in seamless development / partnering opportunities) but they have delivered nothing. So how does CT1 sell its contract development skills to the broader market? Well if the Board members can’t deliver deals through their connections, that comes down to spending money on marketing. You can do it online but only if you’re at the top of Google search results. And that costs.
Bottomline I think a hold strategy is best.
No point selling now and losing heaps.
Yak.
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