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Dowgate Capital - Capitalising on the booming AIM market (DGT)     

overgrowth - 09 Feb 2005 20:52

Dowgate Capital (DGT) are sitting in the middle of a goldmine!

This company through their sole trading arm City Financial Associates are looking to take full advantage of the "booming" AIM market this year. Dowgate provide NOMAD (NOMinated ADvisor) services to AIM companies and also have full Corporate Broker status which means that they can fund placements on behalf of the companies they represent.

On first sight, the fact that Dowgate exist in the often veiled financial services sector makes you think twice about investing in company such as this because it would be impossible to understand what they were doing - however, think again!

DGT bring new companies to the AIM (Alternative Investment Market). For each new company "floated" on AIM, they take arrangement fees when acting as NOMAD. After the company is launched then for a nice steady earner DGT get another healthy chunk of cash every year for looking after them (note that all AIM companies must have a nominated adviser - thereby securing a ready source of recurring income).

Because DGT also act as a Corporate broker they can get a very healthy percentage for arranging placement of shares with insititutions before a new company floats. In addition, because placements come outside the sphere of yearly NOMAD work, they can also gain healthy percentages of placements which companies may need to make throughout the year when they need a quick injection of cash to speed growth.

Current NOMADships: 28 companies represented (gives recurring income of approx 480,000 per year)

Current on-going Brokerage agreements: 19 companies (income depends on placements)

For flotations, depending on the size of a company, fees charged will be anything from 50,000 to 100,000+ For placements (the real earner), DGT get anything from 3% to around 12% of the TOTAL AMOUNT RAISED - For example a new company raising 3M though a placement will earn DGT anything from 90,000 to 360,000 ! These figures are indicative as actual deals all differ due to circumstances and DGT sometimes take payment in shares - they still have a tasty chunk of Setstone shares and when this Russian exploration company comes back to AIM, predictions are that the share price will rocket. Note that the amount that this little company can earn in fees is huge and every new deal that comes through we know will contribute another healthy chunk into the bottom line. The good news with every new floatation means that it's another chunk of recurring revenue which could go on for years, with DGT having to do very little. New clients gained in 2005 are:

Mediazest (NOMAD & broker) Elite Strategies (NOMAD) Process Handling (NOMAD) Poland Investment Fund (NOMAD) Nanotech Energy (NOMAD & broker) Archimedia Ventures (NOMAD & broker) Red Leopard Holdings (NOMAD) Alba Mineral Resources (NOMAD & broker) Intandem Films (NOMAD & broker) Motive Television (NOMAD) IncaGold (NOMAD) Sportswinbet (NOMAD & Broker) Infoscreen Networks (NOMAD & Broker) Mark Kingsley (NOMAD & Broker) Croatia Ventures (NOMAD & Broker) Pantheon Leisure (NOMAD) Firenze Ventures (Ofex Advisor) FlightStore Group (NOMAD & Broker) Euro Capital Projects (NOMAD) Pearl Street Holdings (NOMAD) Worldwide Natural Resources (Ofex Advisor) Dovedale Ventures (Ofex Advisor) Other 2005 work completed:Neptune-Calculus VCT offer for subs of up to 12 million Advisory work for TGM on London Bus disposal for 20.4M Advisory work for Creightons on property disposal Advisory work for Hampton Trust on company restructuring Advisory work for Interbulk Investments on acquisition of Inbulk Advisory work for Fundamental-e Investments on two disposals Advisory work for Designer Vision re: Design Rights against Centurion Electronics

Click Here for fundamentals and profit projections.
Chart.aspx?Provider=Intra&Code=DGT&Size=Chart.aspx?Provider=EODIntra&Code=DGT&Si

stockdog - 09 Sep 2005 16:02 - 1519 of 2787

rawsthornebj - I have to admit to being perplexed by the chart at present - how come we are going so low - it's much more like an entirely speculative stock with no known sales that has had the wind knocked out of it after getting overblown. I can't think of what bad news there has been around for long enough to explain it without being reported in some form.

Two days ago there was resistance as we dipped below .44p (the spike down below the black candle) and today, similarly the MMs tried to take it lower but have been defeated by buyers coming in so we again stay at 0.44p for the third day. This is a bounce off the long-term trend line from the troughs of mid-march and early May to today's extreme low and there is moderately good volume with buying at a 2.4:1 ratio to sells.

But why isn't the SP rising? What's keeping it down? Is it MM games or is there a large protected sell going through the system yet to be reported - although it's got to be reported by end of day or upon completion of 80% of the deal whichever is earlier, I thought.

0.44p seems to BE the low point and makes sense that it SHOULD be the low point and there is no reason why we should go lower, so I would suggest it IS the low point. I put my money where my mouth is 2 days ago buying more at .465p which is much where we still are today. I'm continuing to hold all mine (in excess of Eric's virility threshold) at an average price of 0.464p.

On fundamentals, to reach a net profit of 500k for the year, I estimate we have evidence of 405k to date in H2 and need a further 547k in new retainers, fees and commissions. Seems achievable. That net profit, with 619m shares in issue and a conservative PE of 12, suggests an SP of .97p - more than double where we are now.

Come on Tony - help us out here!

sd

Paulo2 - 12 Sep 2005 08:38 - 1520 of 2787

Nice start. I f we can stay blue all day then we should be in for a bit of a bullish run.

Madison - 12 Sep 2005 15:38 - 1521 of 2787

One six million buy well above the offer should help!

Cheers, Madison

stockdog - 12 Sep 2005 20:45 - 1522 of 2787

I hope that's a director spending his H1 bonus!

Madison - 12 Sep 2005 21:48 - 1523 of 2787

If it was a director, prepared to pay .6 p, when it was possible to buy in the .4s only a day or so back, then there should be a good reason for it.

More likely someone just listening to your recent post and responding appropriately: "Need ... a nice big new broker client placing 5m + to thoroughly break back up to a more realistic range." (!)

Let's hope for more buying tommorow (if brokers will permit!). I was thinking this was cheap at .7 recently so .6 was still a bargain in my book.

Cheers, Madison


markusantonius - 12 Sep 2005 22:16 - 1524 of 2787

I hate MM's but the recent slide was predictable! Hopefully the GHW guys have gone for good now? Good to see it rise today though plus the spread is narrowing which is usually a sign of positive things to come.

Agree that the sp should be higher soon based on current forecasts and fundamentals, at least. Hey, Eric - you said "at least 1.3p after the results!", sir? We need more floats - in a nutshell, don't we?

stockdog - 12 Sep 2005 22:52 - 1525 of 2787

m-a - why would you say the recent slide was predictable?

markusantonius - 12 Sep 2005 22:57 - 1526 of 2787

Because I re-bought at 0.80p !!!!!!!!!!!!!!!!!!!!!!!

stockdog - 12 Sep 2005 22:59 - 1527 of 2787

stands to reason, dunnit!

markusantonius - 12 Sep 2005 23:00 - 1528 of 2787

............and also because the vast majority of posters seemed to anticipate a steady rise in the run up to TR's announcement (which arrived early) and even if the results (without the overly generous expenses dished out to the directors!!) had been better, I still think a correction soon afterwards was a near certainty.

Saying all this, we should see a penny by Xmas, all things being equal. Do you agree?

ptholden - 12 Sep 2005 23:11 - 1529 of 2787

Have been away for a few days so nice to see a strong recovery in the SP folloiwng the recent unwarranted fall. Quite like the look of that 6M buy, clealry someone has their head screwed on the right way round! Will be pleased when we get back to 0.80p so Markus can stop dripping!

pth

markusantonius - 12 Sep 2005 23:24 - 1530 of 2787

Only dripping coz of your kra@p tips, PTH - it's very expensive knowing you, mate! :o(

ptholden - 12 Sep 2005 23:25 - 1531 of 2787

Perhaps you should have bought at 0.40p as originally suggested you muppet! Andysmith listened and made a profit!!

markusantonius - 12 Sep 2005 23:29 - 1532 of 2787

Ah well, at least I can claw it back every time we play golf! When is our next battle btw I could do with making a few quid?

ptholden - 12 Sep 2005 23:33 - 1533 of 2787

No chance Compo! Coming back into form now. Longcliffe next. Will have a chat over the next day or so.

pete

markusantonius - 12 Sep 2005 23:36 - 1534 of 2787

Talking a good game again, Pete! But when it comes down to it, only the chosen few have the skill and temperament to close a match out. Predateur and Eric will both vouch for this. Like the positive thinking though - at least you might give me a game next time!! :o)

Paulo2 - 13 Sep 2005 09:43 - 1535 of 2787

Either you guys are playing golf, or you're all just being incredibly cool.

butane - 13 Sep 2005 09:52 - 1536 of 2787

COMPANY NAME:
Pantheon Leisure Plc

COMPANY ADDRESS:
58-60 Berners Street, London

COMPANY POSTCODE:
W1T 3JS

COUNTRY OF INCORPORATION:
England & Wales

COMPANY BUSINESS OR, IN THE CASE OF AN INVESTING COMPANY, DETAILS OF ITS INVESTMENT STRATEGY TO BE DISCLOSED IN
ACCORDANCE WITH SCHEDULE 2, PARAGRAPH (J) OF THE AIM RULES:
Operation of 5-A-Side football leagues and other sports and leisure activities

DETAILS OF SECURITIES TO BE ADMITTED (i.e. where known, number of shares, nominal value and issue price to which
it seeks admission and the number and type to be held as treasury shares):
100,000,000 Ordinary Shares of 1 pence nominal value at 3 pence per share and 50,000,000 Warrants to subscribe
for Ordinary Shares exercisable at 3 pence per share

CAPITAL TO BE RAISED ON ADMISSION:
750,000

FULL NAMES AND FUNCTIONS OF DIRECTORS AND PROPOSED DIRECTORS:
David Alan Bernstein, Non-executive Chairman
Barbara Moss, Chief Executive Officer
Irvin Fishman, Finance Director
Richard Lawrence Owen, Director
Geoffrey Michael Simmonds, Director

PERSON(S) INTERESTED IN 3% OR MORE OF THE ISSUER'S CAPITAL, EXPRESSED AS A PERCENTAGE OF THE ISSUED SHARE CAPITAL
BEFORE AND AFTER ADMISSION:
TBA

NAMES AND ADDRESSES OF ALL PERSONS TO BE DISCLOSED IN ACCORDANCE WITH SCHEDULE 2, PARAGRAPH (H) OF THE AIM RULES:
TBA

ANTICIPATED ACCOUNTING REFERENCE DATE:
31 December

EXPECTED ADMISSION DATE:
27 September 2005

NAME AND ADDRESS OF NOMINATED ADVISER:
City Financial Associates
Pountney Hill House
6 Laurence Pountney Hill
London
EC4R 0BL

NAME AND ADDRESS OF BROKER:
Seymour Pierce Ellis Limited
Talisman House
Jubilee Walk
Three Bridges
Crawley, West Sussex
RH10 1LQ

DETAILS OF WHERE (POSTAL OR INTERNET ADDRESS) THE ADMISSION DOCUMENT WILL BE AVAILABLE FROM, WITH A STATEMENT
THAT THIS WILL CONTAIN FULL DETAILS ABOUT THE APPLICANT AND THE ADMISSION OF ITS SECURITIES:
City Financial Associates
Pountney Hill House
6 Laurence Pountney Hill
London
EC4R 0BL

DATE OF NOTIFICATION:
13 September 2005

markusantonius - 13 Sep 2005 12:20 - 1537 of 2787

Paulo2, we are just cool (and we play a bit as well - or at least one of us does!). :o)

Hey up again today - need another RNS to sustain it this time, I think.....

rawsthornebj001 - 13 Sep 2005 13:11 - 1538 of 2787

Thanks for the info Butane.
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