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12:32
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Originally posted by Hudgo:
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Have figured it out. Jimmie’s focus is going to be purely on building the personal and B2B BNPL businesses in Hong Kong and Asia. The insolvency businesses will act as the bread and butter money and runway for a complete pivot to a whole new engine. He is an entrepreneur who has had a lot of success, but now he wants to hit the big time, and the road to doing it through the debt insolvency businesses is too slow, and also it is boring for him because he’s already done that business. Frankly he is likely sick of it, as a creative entrepreneur he is now dreaming much bigger. So as investors we are sitting at the very beginning of this dream, and until there are actually some results from the new BNPL areas I don’t see the share price going anywhere. Although there might be a bit of growth in Chapter Two etc, these will sit on the sidelines of his focus which is to get traction with personal BNPL in Hong Kong. The only bet is whether you think he can do it. There is nothing else you need to look at. The part I like about this bet is that there is support from the current profitable businesses to give legs to the new idea….but the future is not those businesses, it is a whole new idea which to date has had no time to show itself to be anything significant. So it actually makes sense that there is no growth priced into the business, because the current business is not the focus of future growth. It’s a big bet for anyone to make at this very early stage. But I think he can do it, because the success of the new BNPL will be his making, and also his exit out of being a trustee, as at present he is somewhat stuck in this job and industry for all time unless he can make a big success of the new idea. There’s a lot of drive there to build CI1 to be something much different and much bigger then what it currently is. Also taking money directly from the company means he and his family shouldn’t have to sell shares on market, I think he has learnt his lesson in this area that investors absolutely hate the sale of CEO/ director shares, especially in the early stages of a new company on the ASX. So the new story is simple.. it is a BRAND NEW BNPL Hong Kong and Asia business, (with financial aid/supports/ ability to get loans/ connections/ etc, to come from the current insolvency/debt businesses). That is what you are now buying if you buy CI1. All in my opinion.
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rambling not professional advice
(20min delay)