But plenty of repeat profitable orders and ongoing product development.

Mastermailer Holdings plc

Mastermailer Holdings is a specialist supplier of secure stationery, providing
A4-laser printer-compatible mailers, primarily for use in the UK pay advice
market. The Company has developed and patented a unique glue which enables its
mailers to be permanently sealed without the use of high-pressure sealing
machines, thus making the Mastermailer attractive to small and medium-sized
businesses having relatively small, though regular, print runs.

Founded by directors Stephen and Claudia Black, the Company has recorded
profits in the last two financial years (to 30 June) and the current year is
progressing ahead of expectations. With the proceeds of the GBP850k placing,
the Company expects to reduce debt and expand sales, with the intention of
expanding into Europe, and ultimately North America and Asia.

Mastermailer is also currently exploring new uses for the Mastermailer and
developing new products; of the latter, the Company expects to have positive
news before the end of the current financial year.

Dawnay, Day Corporate Finance is Mastermailer's corporate advisor and Dawnay,
Day Corporate Broking is Mastermailer's corporate broker.

Placing Document

http://www.plusmarketsgroup.com/cgi-bin/reports.cgi?action=DisplayReport&report=mastermaileroffer.pdf

Web Site

http://www.mastermailer.co.uk/

Plus Market Link

http://www.plusmarketsgroup.com/details.shtml?ISIN=GB00B1CLZ357

Video Showing The Product

http://www.mastermailer.co.uk/video.asp

Customers

SAGE compatible shouldnt be overlooked Im sure its one of the biggest plus points the salesmen of the company use.

Im sure theres hundreds perhaphs thousands of potential new customers......

Customers

Carval
Cintra
Merit
Intuit
Pegasus
Tas
Rutherford Webb
Star
Sage (Compatible)
Cybis
Intex
Iris
Pyramid
Opera
Mitrefinch
Superpay
Paperworks
Safe Comp
Topaz
Pascal
Isys

Plus

Print Management Companies
General Printers
Stationery Buyers
Payroll Bureau's

NB, 60 Million Mailers already sold. Glued paper sheets for wage packets mail shots etc, provide repetitive revenues.

DYOR.

UK Analyst article...

Mastermailer - Buy
Background - PLUS market architect, Simon Brickles, has long promised the arrival of quality, profitable growth companies to the junior trading facility. He gambled that with a series of regulatory changes, improvements to the trading mechanism and the arrival of further market makers, more companies would choose PLUS over its market competitors. He was right. More market makers, a steadily increasing interest from VCT's, fund mangers and a markedly improved reputation in the City, has attracted a growing number of quality companies to PLUS. The latest to file an application is Mastermailer, a group with a range of products aimed at the stationary market. With a placing to raise around 750,000 now underway, Mastermailer plans to join the growing ranks of PLUS traded companies over the next few weeks. With a solid profitable track record coupled with the potential for overseas expansion looming large, this latest offering from Dawnay, Day Corporation Finance might well press all the right buttons.

Operations - Mastermailer Holdings was established almost 5 years ago as a holding vehicle for the acquisition of Mastermailer Stationery, which is now its wholly owned operating subsidiary. The groups main product is the Mastermailer, a laser printer compatible mailer which combines an A4 sized letterhead with an envelope on one self-seal form. The adhesive used on the Mastermailer can be activated to improve sealing efficiency and reliability by exposure to heat while printing using a laser printer.

Principally operating from offices in the West Midlands, where it conducts all its operations in cooperation with the third party-owned production facility in South Wales, the company now has its sights set firmly on foreign climes. Decidedly unexotic however, is the location of production, which takes place at the Mastermailer plant in Caerphilly, Wales. Mastermailer Stationery sells Mastermailers to three distinct groups of customers - software companies, print management companies and individual companies and businesses, and currently has circa 500 customers. Over the last five years Mastermailers have attracted increasingly substantial sales and orders. To date over 56.5 million mailers have been sold.

Business Development - Mastermailer Stationery has an approximate 5% market share of the pay advice market. Its plans are to further penetrate the UK market for pay advices. With its patent protection, the board is optimistic of increasing high margin sales both in the UK and abroad. Mastermailer Stationery achieved sales growth of 40 % in the financial year to 30th June 2006, so by all accounts its ambitions are well-founded. Other applications for the Mastermailer are being explored to give the product a broader appeal, by utilising differing software applications applicable to products such as invoices, statements, letter headings and other types of forms. Mastermailer Stationery believes that there is an opening for the Mastermailer to the substantial markets for mail shots, anonymous mailings, special offers and reminder mailers.

Mastermailer Stationery has to date traded almost exclusively within the United Kingdom, although a small amount of trading has been carried out in the United States and New Zealand. The intention for the company is to establish a European sales operation as soon as possible after Admission. The board plans to take immediate steps to identify, and later in 2006 appoint, a new team (including a European Sales Manager) and to attend a major trade show in Frankfurt to bolster its international plans. The board is also planning to set up an operation in the USA in the autumn of 2007. Mastermailer Stationery will continue its research and development programme, not only to improve its existing range but also to introduce new complementary products into the markets in which it operates or has access to. It anticipates that one such product could come on line during the financial year to 2007.

Management - Headed up by founder and chief executive Stephen Black, the group was formed via a management buy-out from A1 Paper plc of the envelope division in 2001. With one of the most enviable records in the industry, Black is arguably the most qualified to run this fast growing group, bringing some 33 years of experience in stationery products, having held senior positions in various companies. Christopher Sandison is the group's finance director. He brings a wide range of experience having acted as chairman of Bio-Kil Chemicals plc, where he helped arrange a stock market float of the business and further assisted in a transaction where the company was acquired by Laporte. Claudia Black was also involved in the management buy-out from A1 and is on board in an executive capacity. Making up the numbers is non-executive chairman Peter Woods, a familiar name among AIM enthusiasts, where he is chairman of Image Scan, Transense Technologies and unlisted Regent on the River.

Conclusion - The financial case is a compelling one, which probably explains the rumoured involvement of both Close Brothers and Insingers in the placing. The group reported losses of 819,765 in 2004 on sales of 714,716. A year later, Black and Black had turned Mastermailer's performance around to a post tax profit of 159,713 on revenues of 793,923. The year ending 30th June 2006 saw post tax profits of 290,117 on sales of 1.038 million. Momentum is clearly now on Mastermailer's side. Net liabilities as of the most recent year end stood at 216,838. Debt is set to be repaid via the fundraising, which will also provide the necessary means to facilitate the group's expansion into Europe and the United States. Assuming the 4.5 million post fundraising valuation is right, the shares will effectively trade on 15 times last year's earnings. With the growth in revenues and profits that is now being recorded, together with the ambitious overseas expansion plans; this is a business that is well worth backing. At last, A Plus float to buy.

Contact Details - Dawnay, Day Corporate Finance - 020 7509 4570

Interesting stuff, GF. However, let's be clear on one thing: when they talk about having sold 56 million Mailers, they mean the stationery and not the printers. Otherwise every man, woman and child in the British Isles owns one of these payroll printers.

Here's a thought: do they actually sell many of those machines we see in the factory views and the video (to which I can't get the sound, so I may have missed something), or do they take in data from company payrolls and produce the prints on-site, thereby providing an out-sourced payroll service?

Hi St,

sorry mate not to be back quicker to you, at the racing in cheltenham this week one of the only hols I get every year.

Now then how many have they sold?, its difficult to understand the product even when watching the video.

I hope to get more confirmation on this, and I will report back.

Fact is though its on a low very low P/Earnings multiple with very high margins and high EPS growth for next year.

ST, No outsourced pay roll service .

The video should have sound.

I think you are spot on regarding the mastermailer sales.

Fantastic margins though.

If you have time download the prospectus, should put you in the picture better.

Private PM on its way.

If anybody else wants one let me know.

Cheers GF.

By the way the market cap on Uk analyst is wrong. Its in the circa of just under 4 million so if the company does 400 grand after tax for the year we are looking at perhaphs a rolling P/E of 10 for the year and sub 10 going forward into the next financial year..

Rather cheap I would say.

Whats awakened me to these again besides --------- post yesterday re- to results is the well renowned US fund manager Peter Lynch and more specificaly his book 'One Up On Wall Street'.

Im reading it again for the third time (its a fantastic read) and anyone who knows the history of this chap will know that he goes for dull and boring stocks, one were repetitive revenues and cash are king.

He names Electronic Date Processing (US) as one of the stocks that made him a fortune or his fund holders a tasty return and more or less says that the company just processes pay slips for other companys, well thousand upon thousand of them actually or million upon million pay packets, very dull boring and repetitive but very profitable.

I believe Master Mailer receive repeat order after repeat order for the glued paper A4 sheets and other formats.

Plus this from the last news from the company..

'The Directors consider Mastermailer Stationery has an opportunity to participate in a new venture
involving a possible new product which is being developed by *Data Security Limited. The Directors
understand Data Security Limited is currently undertaking research and development into a new PIN
number delivery system. A prototype of the product has been produced and seen by Stephen Black and
is currently undergoing further testing for large-scale manufacture at a viable cost.'

It all looks very promising at the moment.

* not the same company Lynch refers to in his book.

Sage compatible..

http://www.mastermailer.co.uk/sag-personalised.asp

Thanks GF - have purchased a few just now at 128p. I like the look of how this is shaping up; low PE was also a big factor for me.

Hi ST glad to br back home tomorrrow.

Ill be in touch.

Need a few hours sleep.

Glad you are in.

Could be a very strong growth company.

Regards GF.

Cheers mate! Hope you have been cleaning up at Cheltenham.

Best wishes,
ST

Looks like it could be results week.

In fact they should be this week.

A strong solid set of results..

Mastermailer Holdings PLC select Overview Profile Contacts Reports & Accounts Offerings News Market Data Charts

News
Mastermailer Holdings PLC - Interim Results


MASTERMAILER HOLDINGS PLC

INTERIM RESULTS FOR THE SIX MONTHS ENDED
31 DECEMBER 2006


Mastermailer Holdings PLC ("Mastermailer" or "the Company"), which sells and
distributes the unique single-sheet, laser-compatible, self-seal mailer,
announces its interim results for the half year ended 31 December 2006.

* Turnover up 37% to - GBP 632,325 (2005: GBP 460,525)

* Pre-tax profit up 40% to - GBP 162,910 (2005: GBP 116,345)



CHAIRMAN'S STATEMENT

FINANCIAL RESULTS

I am pleased to report that Mastermailer has continued its rapid growth of
sales and profits to a record level in the half year to 31 December 2006.
Sales have risen by 37% to GBP 632,325 and profits by 40% to GBP 162,910. This
is in line with the company's projections and margins continue at historical
levels.

EXPANSION OF SALES OVERSEAS

The company attended an international trade show (Paperworld 2007) in Frankfurt
in January 2007. This elicited considerable interest in Mastermailer products
from print management companies, envelope distributors, business stationery
suppliers and commercial printers from all over the world. The company has now
begun the process of developing sales relationships with appropriate third
parties to produce results in line with its business plan i.e. growth in Europe
in this calendar year followed by America and elsewhere in 2008.

CURRENT TRADING

The business continues to trade in line with its projections maintaining its
margins and sales and profit growth.


FUTURE PROSPECTS

Despite the fact that the completion of the recent IPO created a major
diversion for management, the time required did not deflect the company from
its primary purpose of increasing sales, profit and shareholder value. The
Board is confident that the benefits from growing sales relationships, together
with product opportunities under development, will see the company continuing
its rapid expansion and growth in earnings.


PETER WOODS
Chairman
29 March 2007

CONSOLIDATED PROFIT AND LOSS ACCOUNT

Six months Six months Year
ended ended ended
31 December 2006 31 December 2005 30 June 2006
(unaudited) (unaudited) (audited)
GBP GBP GBP

TURNOVER 632,325 460,525 1,038,033

Cost of sales (339,505) (246,616) (560,021)

GROSS PROFIT 292,820 213,909 478,012

Administrative expenses (121,539) (86,563) (148,514)

OPERATING PROFIT 171,281 127,346 329,498

Interest payable (8,371) (11,001) (47,966)

PROFIT ON ORDINARY ACTIVITIES
BEFORE TAXATION 162,910 116,345 281,532

TAX ON PROFIT ON ORDINARY
ACTIVITIES (34,570) - 8,585

PROFIT ON ORDINARY ACTIVITIES
AFTER TAXATION 128,340 116,345 290,117

PROFIT PER SHARE 5.4p 5.0p 12.3p



CONSOLIDATED BALANCE SHEET

Six months Year
ended ended
31 December 2006 30 June 2006
(unaudited) (audited)
GBP GBP



FIXED ASSETS

Intangible fixed assets 427,086 439,917

Tangible fixed assets 9,288 10,614
_______ _______
436,374 450,531

CURRENT ASSETS

Stocks 36,855 30,072

Debtors 539,201 381,752

Cash at bank and in hand 597,086 29
_________ ________
1,173,142 411,853

CREDITORS: amounts falling due
within one year (1,225,451) (881,655)

NET CURRENT LIABILITIES (52,309) (469,802)

TOTAL ASSETS LESS CURRENT LIABILITIES 384,065 (19,271)

CREDITORS: amounts falling due
after more than one year (13,567) (197,567)

NET ASSETS/(LIABILITIES) 370,498 (216,838)


CAPITAL AND RESERVES

Called up share capital 320,000 235,000

Share premium account 1,148,221 774,225

Profit and loss account (1,097,723) (1,226,063)

SHAREHOLDERS' FUNDS - All equity 370,498 (216,838)



CONSOLIDATED CASH FLOW STATEMENT

Six months Six months Year
ended ended ended
31 December 2006 31 December 2005 30 June 2006
(unaudited) (unaudited) (audited)
GBP GBP GBP


Net cash flow from
operating activities 195,408 72,134 83,500

Returns on investments and
servicing of Finance (8,371) (11,001) (47,966)

Capital expenditure and
financial Investment - - (2,089)

CASH INFLOW BEFORE FINANCING 187,037 61,133 33,445

Financing 408,978 (20,100) (40,200)

INCREASE / (DECREASE) IN
CASH IN THE YEAR 596,015 41,033 (6,755)



RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET FUNDS/DEBT

Six months Six months Year
ended ended ended
31 December 2006 31 December 2005 30 June 2006
(unaudited) (unaudited) (audited)
GBP GBP GBP


Increase/(decrease) in cash
in the year 596,015 41,033 (6,755)

Cash outflow/(inflow) from
Decrease/(increase) in debt
and lease Financing 50,018 (20,100) 40,200

MOVEMENT IN NET DEBT IN
THE YEAR 646,033 20,933 33,445

Net debt at the start of
the period (353,656) (387,101) (387,101)

NET DEBT AT THE END OF THE YEAR (292,377) (366,168) (353,656)



NOTES TO THE FINANCIAL INFORMATION

Basis of Preparation

The results for the half years ended 31 December 2006 and 2005 are unaudited
and do not constitute statutory accounts within the meaning of section 240 of
the companies act 1985.

The financial information for the year ended 30 June 2006 has been extracted
from the statutory accounts for that year which have been filed with the
registrar of companies and on which the auditors have given an unqualified
audit opinion.

The accounting policies used in the preparation of the audited financial
statements at 30 June 2006 have been used in the preparation of this interim
report.

The Company's auditors Clement Keys have reviewed these unaudited interim
results. However they have not reviewed the interim financial information for
the six months ended 30 June 2005.

This announcement has been approved for the purposes of the Financial Services
and Markets Act 2000 by Clement Keys, 39/40 Calthorpe Road, Edgbaston,
Birmingham, B15 1TS.



For further information please contact:

Mastermailer:

Stephen Black, Chief Executive Officer 01384 878404
Chris Sandison, Finance Director 01684 593926

Dawnay Day Corporate Finance Limited:

David Rae 020 7509 4570

Mastermailer is posting copies of its interim accounts to shareholders shortly
and copies of this announcement are available for collection from Dawnay, Day
Corporate Finance Limited's offices at 17 Grosvenor Gardens, London, SW1W 0BD
and electronic copies can be obtained from the Company's website
www.mastermailer.co.uk.

The Directors of Mastermailer accept responsibility for this announcement.

not bad, GF. Annualised current PE is therefore about 15.4 times post-tax profits. Things look okay if growth continues at current rate.

What I don't understand is why the company is paying so much tax on its profits. I thought the first 1.5 mil was tax-free.

EPS 5.4p despite a first time full tax charge. ST thats from the Prospectus.

Nice to see they have moved up today on the results and forward P/E should be less than 10.

Would have thought that this one now should be looking at an AIM listing.

I reckon these are trading on a prospective P/E of around 11 to the year end.

2nd half seems to be stronger.

Looking very cheap and we may get an update on product development.

Top notch news for an Ofex company this. Close brotheres increasing their stake and I dont blame them on a stock with a forward P/E of just over 11, way too cheap.....

Mastermailer Holdings PLC - Holding(s) in Company


MASTERMAILER HOLDINGS PLC

NOTIFICATION OF MAJOR INTERESTS IN SHARES


Mastermailer Holdings plc (the "Company") received a notification from Close
Investments Limited in the form set out below regarding the holding of ordinary
shares in the Company.

1. Identity of the issuer or the underlying issuer of existing shares to which
voting rights are attached:

Mastermailer Holdings Plc

2. Reason for the notification

Required notification that holding is more than 5%

3. Full name of person(s) subject to the notification obligation:

Close Investments Limited

4. Full name of shareholder(s):

As above

5. Date of the transaction:

N/A

6. Date on which issuer notified:

5 March 2007

7. Threshold(s) that is/are crossed or reached:

5%

8. Notified details:

A: Voting rights attached to shares

Class/type Situation previous Resulting situation after the triggering
of shares to the triggering transaction
transaction

Number Number Number Number Number % of % of
of of of of voting of voting voting voting
SharesVoting Shares rights rights rights rights
rights Direct Direct Indirect direct indirect

Ordinary
Shares N/A N/A 208,000 208,000 6.50%

B: Financial Instruments

Resulting situation after the triggering transaction

Type of financial instrument N/A

Expiration date N/A

Exercise/ Conversion Period/ Date N/A

Number of voting rights that may be acquired if the instrument is exercised/
converted. N/A

% of voting rights N/A

Total (A+B)

Number of voting rights 208,000

% of voting rights 6.50%

9. Chain of controlled undertakings through which the voting rights and/or the
financial instruments are effectively held, if applicable:

Close Investments Limited

Proxy Voting:

10. Name of the proxy holder: N/A

11. Number of voting rights proxy holder will cease to hold: N/A

12. Date on which proxy holder will cease to hold voting rights: N/A

13. Additional information:

Percentage based on shares in issue figure of 3,200,000 as at 5 March 2007

This is the required notification that the holding is more than 5% of the
shares in issue

14. Contact name: Chris Sandison

15. Contact telephone number: 01684 593926
Notes to the Forms

Thanks for the post, GF.

O/T have you seen WGB - doing very nicely at present!

ST, will have a look, many thanks.