Short Term Trading Weekend Lounge: 2 - 4 Sept, page-251

STTCOMP VLT, FA Long
Online/SaaS in the Environment, Health and Safety (EHS) sector.
Shares – 565,226,065 + contingent share rights (75,000,000)
MCap ~ $22.6m at 0.040 (Not including contingent share rights)
Cash ~ $3.5m
Debt ~ $700k
Top 25 own ~ 57%

Issued pursuant to the Vendor Offer. Contingent Share Rights 75,000,000
14,342,547 shares escrowed till 1st July 2017
203,560,941 shares escrowed till 1st July 2018

Perf. Options - Exercise Price - Vesting Condition
12,000,000 - 0.040 - Company achieving audited revenue of $4 million in a financial year
2,000,000 - 0.060 - Company achieving audited revenue of $6 million in a financial year
1,000,000 - 0.100 - Company achieving audited revenue of $10 million in a financial year
Existing Unlisted Options on issue at the date of the Prospectus (Ex 0.250 before 6 Dec 2016) 13,000,000

Total Options upon listing, 60,300,000


Vault Intelligence. The Vault technology suite provides cloud-based and mobile EHS software across a diverse range of industries. Its software streamlines a company’s EHS processes, and is highly scalable. The software is available across all devices and is accessible through its apps.

Vault raised at 0.020 and stagged on open (1st July 16) and has had a run already getting up to 0.053 and now has had its consolidation on low volume. A good start for any new listing. An interesting tech with substantial revenue. Close to being cash flow positive. Some key points for the company are as follows;
• $650k in cash receipts for June quarter alone.
● Sales Revenue increased to record levels, rising 19% to $2.74m for FY16.
● Customer base includes 370 corporate clients operating in 22 industry sectors.
● The Company recently added 38 new customers and introduced the system to a number of new sectors during the year including one roll out which covered 214 retail stores.
● An adjusted loss after non-cash items of $125,488 post substantial investment in the development and launch of mobile business apps. FY16
● Expanded the business into new sectors including Health Care, Education, Logistics, Media and Security, bringing the Vault technology suite to end-users covering more than 600,000 employees in 22 different industries.
• Customers include Coca-Cola Amatil, Mercedes-Benz, Toll Group, Auckland Council, McCain and others.

Two really key points for me are.
● Maintained customer retention at more than 98%.
● Developed and launched a new mobile platform — Vault Business — which the Company expects to drive the next leg of growth. This will in my opinion lead to a larger take up by customers as simplifying the headache of EHS to where it can be organised on an app is outstanding.