why all the new issues?, page-4

Just in the interest of staying current across what has been disclosed prior to todays view points..see below Foster Repot 23 March.....("complete the issue. (expect ~US$10 to 15m issue") See this under the "Details" Paragraph below...

Moko Social Media Ltd (MKB.ASX, Mkt Cap $104m, $0.22/sh) – Calm before the storm
EVENT
· We met with Ian Rodwell MD of MKB recently for an update on MKB, prior to him
relocating to the US.

Details

· Nasdaq listing. With respect to Nasdaq listing, formal filing of the documentation
with SEC has been lodged, initial comments are expected this week.
· Once all comments and queries are addressed SEC will initiate public filing, there is
a mandatory 21 day period after which the appointed broker can then market and
complete the issue. (expect ~US$10 to 15m issue)
· Should there be no material delays in responding to the SEC comments we expect
the Nasdaq listing to be completed early May.

· Operationally all is tracking to plan. RECIT app approved and available on iTunes
next week, but only in US as this relates to US colleges only.
· Pilot phase to commence in April which will initially be rolled out to Georgetown
University first followed by the broader pilot phase with 10 colleges in the first
phase, then 20 colleges in the second phase, and will be available to all students.
MOKO has recruited some 80 student interns who will be advocates to market the
app to their peer group to drive uptake.
· Pilot phase will run for 2 months until end of the school year (end May/early June).
The key objective is to iron out any operational issues ensure the advertising
networks connections, interface , end to end processes and usability testing
perform as expected.
· Brands will also advertise during the pilot phase. Data will also be analysed to gain
a better insight as to which functional areas of the app are being used by students.
· Commercial launch is targeted for the beginning of the college semester in
September.
· MKB should be generating revenue from the outset. There are established brands
through the ACIS relationship and an extensive ad networks in the US which we
believe would plug into the app. Encouragingly management indicated they expect
the full inventory of ad slots to be taken up on launch, although the ad rates will be
somewhat be volatile until the regular pattern of usage becomes apparent which
should be within the first quarter of the new school term.
· As a reminder we forecast FY15 revenue of $95m. If RECIT can generate that
quantum of revenue we can expect a significant re-rating, which based on peer
group, growth profile and other verticals could be in the order of 15 times revenue
implying a valuation north of $1b.
· The business is simple adoption and usage drive page views. The greater the page
views, the greater the advertising revenue and rates. We should get a better grasp
on these metrics in the months post launch.
· BlueStreetReview is expected to launch in May. With the US mid-term elections in
November, and the presidential cycle already starting to build steam, advertising $
from PAC and super PAC groups will be looking for the appropriate platforms to
support their agenda.
· While the focus to date from our perspective has been on RECIT, BLueStreetReview
will be commercial in the similar timeframe and has the potential to drive group
revenue

Recommendation
· Stock has been drifting waiting for confirmation dates of the Nasdaq listing, we
believe this presents a buying opportunity as once dates are lo