I'm adding SPCK to the list of potentential homeruns:
A couple of days back they reported year end annual net income of .03/.04 share, .02 diluted, which is over $1.5 million on revs of $6+ million. Margins are up and revenues are growing at 40% with big name clients. The stock is trading at a paltry PE of about 5, at 10 cents. Perhaps because of the convertible, which wasn't causing dilution (only 5% of shares in the last year) because they were paying it off in cash from operations. Now we get this good news this morning. The outlook is good too. No legal issues. No preferreds. Over 700K in operating cash flow. See prior posts:
Superclick Agrees to Terms and Date of Final Payment of Convertible Debenture
Thursday January 22, 9:00 am ET
MONTREAL--(MARKET WIRE)--Jan 22, 2009 -- Superclick, Inc. (OTC BB:SPCK.OB - News), a technology leader in IP infrastructure management solutions to the hospitality industry, today announced that it has paid off its convertible debenture with Chicago Venture Partners L.P. in full.
Superclick and Chicago Venture Partners have agreed to terms of final payment under which Superclick will make a lump-sum payment of $720,000 in cash in exchange for a full and final release of its $800,000 obligation with Chicago Venture Partners. The planned date of the payment is January 23, 2009.
Jean Perrotti, Superclick's Chief Financial Officer, said that, "We are pleased to have been able to leverage our strong cash flow and receivables, enabling us to come to agreeable terms with Chicago Venture Partners to pay off our convertible debenture with a 10% discount and with no further dilution to our shareholders. Chicago Venture Partners was a great partner for us over the past three years and we appreciate their willingness to accommodate our cash flow and operating requirements in servicing this debt over that period. The fact that we were able to eliminate this debt in the current economic environment is a strong validation of our business and value proposition to our customers. We announced record financial results earlier this week and continue to be positive about our outlook in 2009."
John Fife, managing partner of Chicago Venture Partners, said that, "Superclick has been a reliable and good partner for our fund. The company's growth in the past three years of our investment has been impressive and we are pleased to have been able to provide the capital to ensure these results."
About Chicago Venture Partners L.P.
Founded in 1998, Chicago Venture Partners L.P. is a private equity investment firm specializing in buyouts, late stage growth equity investments and PIPES. It manages approximately $60 million and has led private investment transactions in more than a dozen companies across several industries.
About Superclick, Inc.
Superclick, Inc. (OTC BB:SPCK.OB - News), through its wholly owned, Montreal-based subsidiary Superclick Networks, Inc., develops, manufactures, markets and supports the Superclick Internet Management System (SIMS™), Monitoring and Management Application (MAMA™) and Media Distribution System (MDS™) in worldwide hospitality, conference center and event, multi-tenant unit (MTU) and university markets. Current clients include MTU residences and Candlewood Suites®, Crowne Plaza®, Fairmont Hotels and Resorts®, Four Seasons Hotels and Resorts®, Four Points by Sheraton®, InterContinental Hotels Group PLC®, Hilton®, Holiday Inn®, Holiday Inn Express®, Hampton Inn®, Mandarin Oriental Hotel Group®, Marriott®, Novotel®, Radisson®, Sheraton®, Westin® and Wyndham® hotels in Canada, the Caribbean and the United States.
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