Borrowing and Investing in 2022
As we make our way into the New Year and return to work, I thought I should send an Opportunities Update email to those of who subscribe to this newsletter.
As we make our way into the New Year and return to work, I thought I
should send an Opportunities Update email to those of who subscribe to
this newsletter.
The Christmas New Year period has confirmed the strength of the economy
in spite of the forced lockdown. People have spent money here rather
than offshore which has to some extent offset the lack of tourism
income.
This experience reflects the bounce-back from the disruption caused by
the Covis19 pandemic. And a recent OECD Economic Outlook notes “As New Zealand prepares to re-open, its economy is overheating” and “growth here should have reached 4.7% in 2021”.
Meanwhile the weather has been great; I’ve been in our office in
Auckland for the past week or so; shops are open; and the economy now
looks to almost be back to pre-pandemic levels.
All indications are this will continue.
Obtaining finance
Before I give you an update on the investment Opportunities we have
available now, I should mention for those of you looking for debt
finance, according to our clients seeking loans for property and
business, it seems bank lending is becoming far more difficult from what
we have enjoyed over recent years.
Many of you will have already taken advantage of our debt broking
services, but those of you who would like to know more, a start could be
to visit our website here for raising money for property and here for business.
So if you’re interested in obtaining any form of debt finance, reply to this email accordingly, or call me on +64 21 902 901.
Investment opportunities
Moving on, I thought I should remind you of some of the equity
investment opportunities we are currently offering. Others we still have
available - or have completed - you can see on our website here.
vWork
A new offer we have available is vWork, a
job scheduling and management software that assists businesses to match
jobs on hand with the personnel it has available. It’s expanding
customer base has already seen a 27% revenue growth this year in its
Australian business through new customer acquisition.
Meanwhile the New Zealand operation has achieved income of $3 million
with exceptionally low revenue churn. This is now growing through both
customer acquisition and expansion within its existing customer base.
Clients include names such as Noel Leeming and New World for grocery home delivery.
The business already has a strong base of B2B customers in industries
such as transport and delivery, agriculture and infrastructure. Recent
wins include agriculture giant Nutrien, global tire company GRI, and building products company Dindas.
Led here by Roy Moody (former Phitek CEO)
and joined by two other former Phitek senior executives, vWork has
customers in 8 countries and plans for revenues of $25 million by 2025.
The new capital being raised via TBK Capital will be focused on
increasing its sales force and marketing activity. And working on the
success vWork has demonstrated in Australia, they will also be making
this Offer available there via our friends Wholesale investor.
An IM describing the Offer is now being produced. In the meantime if
you’d like to know more, reply to this email and I’ll send you the pdf
of a Power Point presentation describing the business.
Pictor
Last mentioned in my December Newsletter,
I’ve now received the following update from the Howard Moore - who by
the way, has recently been appointed CEO of the company due the
resignation, for personal reasons, of the previous CEO, Dr
Schlumpberger. A recent email from Howard says:
“2022 will be a big year for Pictor. Just prior to Christmas, the
business relocated within its existing building and fitted out with new
facilities. The spacious area is much more conducive for good working
conditions and of the standard appropriate for Pictor’s R&D and
Manufacturing.
“Following a very successful clinical trial for their COVID-19
antibody test at two laboratory sites in California and Florida, a
contract is now being concluded with Mobility Health, a company based in
Mason, Ohio. This will be the first company to fully utilise the
Pictor COVID-19 antibody test.
“Meanwhile, the validation trials for Pictor’s M. bovis test will
commence in New Zealand and Australia. Given the anticipated excellent
results expected – due to the very good results already achieved in
their laboratory – MPI are about to start negotiations with Pictor to
supply their test to replace the current one which has poor
sensitivity. Commercial use could occur as early as April.”
Pictor settled the purchase of Lucidity at the end of 2021 and are now working on the Pictor IPO for March for the ASX.
Will be a significant premium to the present valuation. The company has
hired a new CFO and are now in the process of writing the prospectus
for the ASX.
So far the Company has raised $4.3 million through the current Offer
out now which remains open. The matters mentioned above will continue
the need for Pictor to raise more capital and gives existing and new
shareholders the opportunity to participate in this funding round. Email
or call me for more information.
Metrino PRT
Our last newsletter on this Offer went out 4 days before Christmas Day,
so was a bit rushed and understandably not that well-read. Here it is onour website.
Investment in Metrino Global Projects Ltd provides the opportunity to
make a cornerstone investment in new technology for which there is
global demand. The technology was designed and developed in Europe by
the Managing Director of the company who now lives in New Zealand.
The company has a guaranteed first market for their PRT transportation
system in the EU. Other cities lining up including Dublin, Istanbul and
Las Vegas. Further marketing in the U.S. and EU - and next level
funding raise - will be attained through this initial TBK capital
raising. This will provide the company with a physical presence in
these markets and allow it to meet the necessary legal, accounting and
finance processing costs.
The business structure has been established as a New Zealand company
with three of the key stakeholders residing here. The purpose of this
capital raising is to market the system in North America and Europe. The
next level of funding will be raised in the U.S. where a minimum of
US$5 million (NZ$7.14 million) will be sought. This is already in the
pipeline and is budgeted to meet all operating expenses going forward.
The Offer is in the form of a Convertible Note and is being offered by
Metrino Global Projects Ltd, which owns all the international
intellectual property and rights to commercialise the business.
Investor security is improved with the convertible note. During the term
of the Note it lies ahead of the founders’ position and all other
ordinary shareholders. Interest is paid on the Notes for up to four
years, with the option to convert to shares in the parent company when
the full value of the business is determined.
This is definitely worth a read as the business structure is similar to successful “Royalty Based”
businesses with increasing income. This results in no further
“capitalisation” from New Zealand investors being required to increase
and expand its incoming revenues.
Reply to this email for a copy of the IM describing the Offer then email or call me for further discussion.
Looking to raise money?
Reminder: TBK Capital can be your source for raising loans. So if you’re
in any form of business, or own or looking to buy property, and having
difficulty raising money from your bank, it’s worthwhile contacting me
by replying to this email or phoning me on 021 902 901.
In the meantime have a great 2022.
.............................................................................................................................................................................................................
The above investment is not an offer of financial products that
requires disclosure under the Financial Markets Conduct Act 2013 (Act)
and is available only to wholesale investors as defined by that Act. It
is intended for distribution only to selected people to whom, under the
relevant laws, it can be lawfully distributed. It cannot be distributed
in any other jurisdiction, or to any other people. It is not an offer or
solicitations in any jurisdiction in which such offers or solicitations
are not authorised, or in which the person making such offers or
solicitations are not qualified to do so, or to any person to whom it is
unlawful to make such offers or solicitations. Any representation to
the contrary would be unlawful. No action has been taken by any person
that would permit a public offering in any jurisdiction where action for
that purpose would be required.
Cheers
John Paine B.Sc., Dip BIA
TBK Capital Limited
Level 10,120 Albert Street
Auckland 1010, New Zealand
Phone +64 9 307 3257
Mobile +64 21 902 901
Email john.paine@tbkcapital.co.nz