STTCOMP MSM, FA Long (ASX: MSM CORPORATION INTERNATIONAL LTD:...

STTCOMP MSM, FA Long

(ASX: MSM CORPORATION INTERNATIONAL LTD: MSM)
SP: 23.5c
MC: $101.46M
Cash: $0.7M + Raised $10.5M Aug 2017
Shares: 429,744,721 (Diluted – This includes 121M heads and options past strike price escrowed until Jan 18 & 34M options past strike price) Actual shares currently on issue = 273,728,337
Top 20 – 45% (Sept 2016 Annual Report)

Interesting Aussie Tech Co who will launch their Megastar Millionaire Talent Show mobile based App on 30 Sept 2017. They are promising a massive publicity campaign using the host, Usher and the $1 Million Cash prize for the winner as the big selling points. Several ‘social media influencers’ with large followings have also been recruited. The app has been tested for over a year and has all kinds of links with social media to further drive publicity.

Great team behind the app:
Former Pandora founding investor Doug Barry, who has developed entities with more than US$5 billion in shareholder value across some of the world’s most successful tech and media ventures;

Pandora co-founder Jon Kraft;

Former Electronic Arts and Zynga executive Jennifer Herman;

Sophie McGill, who worked with Southern Star and parent company Endemol on delivering brand extensions for well-known shows includingBig Brother and Deal or No Deal;

Former Netflix Data Scientist Antonio Molins, who has held roles as a Senior Data Scientist at Netflix and a quantitative role at banking giant Goldman Sachs;

Former Google data scientist Roman Sharkey was also swooped up by MSM recently as Chief Data Scientist and

Rogers & Cowan (PR) will be marketing in the US and the UK – they are credited with achieving 1B impressions and 50M downloads in 30 days post the launch of Angry Birds 2

Path to revenue – the company has ditched the pay to play principal and is banking on advertising and licensing the app to other companies to bring home the bacon.

Has great possibility as a hype play if the app and the competition take off. It’s pretty obvious that the scale of the target youth market addicted to their smartphones with a taste for talent shows is truly mind-boggling (See American Idol etc etc). There has been one other app with similarities called ‘Smule’ which was recently valued at US$600M.

Thought I’d chance my first tip on this one!