AMU quite rightly appears to be developing a small following, hence I have updated the header with a 'carrot' and the charts.

PTH

UK smallcap opening - Air Music & Media gains on Investors Chronicle tip
AFX


LONDON (AFX) - Buyers came for Air Music & Media, 1.13 ahead at 7.75 pence, after the Investors Chronicle advised readers to 'buy'.

With trading looking strong at the music distributor, and a share price target of 13 pence from broker Seymour Pierce, the shares look oversold, the IC concluded.

I'm of the opinion that AMU will be making another
announcement of an acquisition before Xmas. The
acquisition today looks good value when you take
into account what the company paid for the exclusive
liscense rights for all those well known children's brands.
The last acquisition for Redworth Ltd was for 37m and
which makes today's acquisition very small in comparison.
I'm pleased I have decided to hold onto these shares
they could be worth a lot more within the next two years
if profit forecasts are met and the 'City' gives it a fairer
rating of the company's true worth.

1704 - Agree completely with your posts. Yes the aquisition is smaller than previous aquisitions, so yes another one would follow the trend. I have been looking at AMUs different sites both music and film. What puzzels me is that with the current drive to mp3 and mp4 AMU haven't captured the potential of possible electronic sales through download. Over the past year I have seen the drive of both mp3 and media players, the number of systems increases every month.

So far I have only found Going For A Song Ltd which is looking to be able to process online orders due early 2006.

Would you not agree that a electronic distribution aquisition, investment or out-sorcing deal is now required to maximise sales potential?

Explosive

Good points you raised in your last post. I've been having
problems with my computer which is why my response has
been delayed.

Like you I would like to see AMU moving into the digital age
to fight off potential future competition and exploit new markets.
Also with the different copyrights its own surely it makes sense
to do so.

All the Best

1704 Hi, been real busy today so not much time to check the markets, buys are at 45,149 sells 33,363 and an unknown total of 25,000 (lets hope thats a buy). Volumes not as good as yesterday, Selftrade has bid 5.75 / offer 6.25 / open 6.00.... The share is still 40% down in last 12 months from is position of 10, the company is however stronger and looking better than this time last year as you know.... The momentum must start building soon...

Hope you sort your PC problems out!!

1704 - My buy and sells figures were correct!... Just seen a 1.6m sell gone through at 5.25 bringing the price back down. Have no details of who has sold.

Explosive

Like you very busy week ontop of the PC problems.
Just looked at the 1.6M 'sell' well spoted. Have you
noticed that it is at the same price that Michael
Infante sold 5m last week. Things are becoming
very interesting.

I'm sure things may become clearer tommorrow.
Not sure I will have access to a PC until
Friday.

All the Best

1704 - Really didn't notice the price, well spotted, I'll continue to update the thread with all findings.... Whats the problem with your PC, I currently work for IBM well leave next Friday (start new job) may be able to offer some help.

1704 - The more I look at AMUs balance sheet the more I'm convinced that AMU isn't attracting attention and further investment due to the high proportion of debtors held. 11.28m, just over a third of nets assets, cash in hand and in the bank is 3.58m. Debtors in relation to '05 turnover is just over a whopping fifth, why?

Hi all. Not sure if its been posted but there was some new broker research out on the 6th. Heres the link to it. Its in PDF. If you can't access it I will be happy to mail it to anyone.

Wilbs

http://www.hoodlessbrennan.com/CMS_FileCache/HOODLE004_234_1.pdf

Explosive

Been having problems with the IT Network System used in the office
for the last 2-3 weeks. Therefore, everyone has had problems logging
onto the internet.

The market seems to be quiet today but pleased to see a couple of 100k
'buys' going through. Was wondering whether the 1.6m 'sell' yesterday was
M. Infante again. No RNS yet so maybe not?

Just been looking on the BBC Website I've just seen an interesting
article on the Business Section called 'Download Wars Heat Up'.

The interim results should be announced around the end of November
2005 will be looking foward to seeing what the balance sheet looks
like then.

All the Best

wilbs - Thanks for the info

No worries.

Wilbs

Missed your earlier post today. Thanks very much
for the info. First impressions after quickly browsing
through are that the views of the research seem
to be spot on. Look foward to reading it through in
more detail this evening.

Cheers

No worries 1704

Evening All!

Thanks to Wilbs just discovered another website
for useful info on the small cap sector. Will be
using it from now on. Having studied the report
in more detail I think Hoodless Brennan&Partners
were right to rate AMU as a 'Speculative Buy'.

The report rightly raises the concerns about
the large number of shares issued as one of
the weaknesses.
'In-built dilution of 100m shares to be issued in
2006 in part payment for Music Box Ltd'.
The second to last paragraph also raises
the possibility of future equity raising being
a possibility to fund acquisitions and cut
debts.

However, the report also points out the main
reasons why I am willing to hold onto this
share for the long-term.

'Redworth acquisition will transform AMU'.

'2005 Finals solid performance continues'.

I also fully agree with the points summarised
in the 'Speculative Buy' recommendation.

Would like to hear others comments on this
report.

All the Best

1704 - Not read the report yet. However have been looking at the RNS for Maximun Entertainment Ltd Acquisition posted earlier my myself. Total consideration for company is 379,000 payable by 75,800 cash and 3,790,000 shares valuing shares at 8p each. Current share price offer is 6.25p. On the basis of this acquisition the share price is currently undervalued.... We have also seen trading volumes increase over the past few days.... Need I say anymore.

Explosive

I think the share price has been undervalued for months.
Seymour Pierce earlier in the year put a valuation of
approx 13p/per share. AMU has a lot of things going
for it but luck isn't one of them. Hopefully, for long
suffering share holders better times are ahead?

1704, wilbs - Thats me done, right I'm off for the weekend. Have a goodone both of you and catch you on this thread next week... Fingers crossed AMU will start picking up, its a good share as you know just needs to find a footing and further backing...

have a good one explosive and 1704. Im now off to get the beers in for the norwich game.

Wilbs and Explosive

Appologies just caught up with your last posts. Hope both had
good weekends. Just noticed since my last post that there has
been two RNS. Have not had a chance to look yet. If both of
you are thinking of attending the AGM. I would get on the
blower to Neville Registrars Ltd straight away (0121) 585 1131.
I've a feeling the AGM will be held before the 6th October 2005
but would like some one else to confirm.

All the Best