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Access Intelligence Group - Growing up fast (ACC)     

PapalPower - 29 Dec 2005 09:57

Chart.aspx?Provider=EODIntra&Size=283*18Chart.aspx?Provider=Intra&Code=acc&Size=big.chart?symb=uk%3Aacc&compidx=aaaaa%3A

Access Intelligence has five operating subsidiaries:

* The Marketing Guild, based in York, which provides marketing advice
and support to small and medium sized businesses. This is in the form of
newsletters, consultancy, lead generation and member's services.
http://www.marketing-guild.com

* Wired Gov, based in Stockport, provides an online information service
delivering press releases from over 100 government and public sector
bodies. Subscribers can customise the service specifying the agency or
topic they require.
http://www.wired-gov.com

* Backup and Running, based in York, provides an online data storage and
disaster recovery service, which the client can customize to their own
requirements. The service offers significant advantages over other
alternative systems in that it backs up automatically and can provide a
complete backup history for at least three years.
http://www.backupandrunning.co.uk


* Willow Starcom (Ridgeway Technologies), based in Chorley, provides
specialist IT services across a broad range of market sectors that
include data storage, backup and recovery, network design support and
consultancy and hardware and software maintenance support services. It
has growing recurring revenues from these activities of over 1million
per annum.
http://www.willowstarcom.co.uk


* Due North, based in Newcastle-Upon-Tyne, is a developer and provider of
e- commerce solutions, primarily to the public sector and emergency
services. The range of products includes an e-tendering module combined
with an e-auction module.
http://www.due-north.com


Access Intelligence is a group of companies delivering a range of business
critical support services to private and public sector organisations.
The team of Directors, Jeremy Hamer, Brendan Austin, Colin Davies, Ian Savage
and Alwin Thompson, has extensive experience in making successful acquisitions
while simultaneously driving organic growth: in less than two years since
flotation, Access Intelligence has acquired and successfully integrated five
businesses in four different market segments.

The Group Today

Today, Access Intelligence is a technology-based Support Services Business. It
harnesses the power of internet-based Information and Communication Technologies (ICT) to deliver vital information and support services. Specifically these are:

* Digital marketing services and business development support.
* Online and offline data storage back-up and retrieval
* Sourcing and procurement software for both buyers and suppliers in
industry and local government
* Electronic news and current awareness digests of Government initiatives,
policies and finance affecting business, the professions and the public sector

The Business Model

The majority of the Group's income is from repeating revenues delivered through
recurring contracts ranging between one and five years. This model provides
excellent visibility of future revenues and, with effective customer retention,
outstanding gross margins over the longer term.

The Strategy for Growth

The strategy is to acquire businesses which have good management and high growth potential that fit the revenue model while, at the same time, adding value to the Group's existing services.

The businesses acquired will have substantial autonomy to develop within budgets
agreed with the Group Chief Executive and Finance Director, whilst benefiting
from the experience and cross selling opportunities provided by being part of an
expanding group of companies.

At this stage of the Group's development, the Central Group Executive Team,
which is based in York, will be kept to a maximum of four people, including
support staff. The Non-Executive Directors will continue to be involved in
sourcing and evaluating potential acquisitions and monitoring the performance of
the Group.

PapalPower - 29 Dec 2005 09:58 - 2 of 184

ACC prelim results are due around the 24th Feb, they should confirm that finally ACC is delivering what it has promised to do, and from there on there should be very exciting growth, and a re-rating of the price.

PapalPower - 29 Dec 2005 10:09 - 3 of 184

Below was a commmentary from Bill Johnston while he was still at watshot.com, Bill has since moved on (as Bill has an eye for stocks that will grow over time not overnight I thinks) but now so has ACC, what was a buy at 10p is for sure a buy at present prices based on a soon to be current year EPS forecast of 0.75p which will very likely be upgraded.




Buy Access Intelligence at 10.75p March 2005

Suggests Bill Johnston of Watshot.com

Access Intelligence (ACC) reported its full-year figure on 24 February.

Knocking around on AIM since 2003 (it used to be called Readymarket) the company had originally raised about 1 million pounds, the last 200,000 pounds of which came in at 37p - and had issued just under 16 million shares to the vendors of the company known as Access Intelligence, giving the vendors of the latter 55% of the enlarged equity, and eliciting the change of name.

Access, a mere three-years old then, had been formed with the object of providing small businesses with practical advice and support. To this end it had acquired The Marketing Guild, trading for 15 years, and engaged in provision of subscription based, practical marketing advice. There were 700 subscribers. Then Backup and Running joined the little fold - as its name implies providing disaster recovery software mainly to the same market, and on the same, subscription, model. Wired Gov, with 5,000 customers paying for instant access via its website to press releases from government and public sector organisations, joined the group, sealing off the present portfolio.

The Marketing Guild operates in a traditional mode, the call centre obtaining appointments for the sale of its specialist services, and - in the main - members paying by monthly direct debit for hard copy material and access to a helpline as well as consultancy and training. Wired Gov uses the internet to distribute its tailored material to over 10,000 interested parties. Backup and Running should be better known (and may become so) offering as it does a web-based system for the backing up and storing of data at a price which even individuals should find attractive.

The business was not exactly "virtual" - in the twelve months to November 2002 sales were over 500,000 pounds - but the investment case seemed to rest on the opportunities which management action buttressed by a now open channel to the capital market would engender, for the said sales had served only to produce a near 200,000 pounds operating loss. And a falling share price elicited a statement to the effect that the board was engaged in seeking material funds in order to pursue acquisitions.

As I said the company reported on 24 February. Turnover to November was 543,000 pounds and the pre-tax loss was 341,000 pounds. Subscription-based businesses have to shoulder the considerable financial burden of sales creation up front and luxuriate (they hope) in the steady flow of revenue thereafter (which costs little to sustain). As inferred, the share price which had been misting up in the stratosphere has descended and now stands at 10.75p. But that values Access Intelligence at 6 million pounds, more than enough you might think. But it is worth fine-tuning that raw information.

The first thing to note is that the company got its funds, 3 million pounds in fact at 10p per share, and that those monies account for half of the market capitalisation. But along with the funds came one Jeremy Hamer, as Chairman and shareholder. Businessman Hamer's recent, stock market, credentials are excellent, his having been involved in Glisten (GLI) and Inter Link Foods (ITF) both first class investments ably spotted.

Of course it is the same scenario again - a company. a sector, shares, cash and a shopping list. But this time the cast list carries more conviction, for Mr. Hamer has turned in fine performances in supporting roles and will not be intending to dry up when he takes centre-stage. The shares are a buy.

PapalPower - 29 Dec 2005 10:39 - 4 of 184

Should say I am not making fun of Bill, fully respect his opinions and he is a great guy to follow with his tips, just that watshot.com I think was not suited to his talent, for Bill in my opinion its a watswarmandwillbehotinthefuture.com as he to me is a more mid to longer term kind of guy and sees value in stocks in the years ahead.

PapalPower - 29 Dec 2005 12:11 - 5 of 184

Added the companies web sites to the header.

Web Sites of Access Intelligence Group companies :

http://www.wired-gov.com

http://www.backupandrunning.co.uk

http://www.willowstarcom.co.uk

http://www.due-north.com

http://www.marketing-guild.com

PapalPower - 30 Dec 2005 00:33 - 6 of 184

Decent performance today and Macd is starting to point in the positive direction, so I think given results due end of Feb which will be very bullish, we should see a positive run from ACC into them.

PapalPower - 30 Dec 2005 12:18 - 7 of 184

A quiet day and a few buys, no sells.

Keep an eye on this one in the run up to results late in Feb, and for the results watch out for Due-North, this could be a very important one for high growth for ACC.

PapalPower - 31 Dec 2005 10:55 - 8 of 184

Extract from the http://www.armshare.com summary for ACC;


"A confident AGM statement confirmed current profitability. In July interim figures to May 2005 were tabled showing sales nearing 100,000 ahead of the comparable May 2004 period, and setting goodwill amortisation aside, the magic transition - from red ink to black - was accomplished - just. Another acquisition has just been completed, Due North, a company with a strong foothold in the market of public sector and emergency services' e-tendering requirements, and whose experience gained thereby has enabled a wider e-commerce and e-auction brief to be addressed. Due North cost 1 million in cash and the issue of 4.7 million shares. 600,000 more may be forthcoming to its vendors if, for the year to November 2006, Due North makes an operating profit of more than 350,000, and 750,000 more if the following year the total exceeds 450,000. The additional consideration, if it comes, will be in the form of ordinary shares unless the beneficiaries elect to receive 20% in cash.

Due North, which made over 200,000 in the nine months to May 2005 and had 100,000 in cash, has introduced its services to 40% of police authorities, 7% of local authorities and 11% of fire brigades. The intention is that fellow-subsidiary elect, Wired Gov, the online public sector information system, will cooperate closely with it to seek synergistic gains. There will be 650,000 in the bank after completion of the latest exercise.

The December pre-close update re the final results to November 2005 reported that the outcome will be in line with market expectations; the two July acquisitions are fully integrated and performing to expectation; net cash at the period end was 600,000; the pipeline of potential acquisitions remains buoyant; and the board looks forward to significant growth in the current year.

Research Standing

Of course it is the same scenario again - a company, a sector, shares, cash and a shopping list. But this time the cast list carries more conviction, for Mr. Hamer has turned in fine performances in supporting roles and will not be intending to dry up when he takes centre-stage.

The broker's note issued following the interims to May 2005 highlights the step change which is presently under way at the company, with sales of 2 million for 2004/5 and 4.5 million for 2005/6 producing EPS of 0.28p and 0.75p respectively, whilst still having the capacity to make bolt-on acquisitions without needing to raise new equity.

The shares are a buy."

PapalPower - 02 Jan 2006 10:15 - 9 of 184

I asked "fingers xxd" at AFN to give ACC the once over, to which he did and I have thanked him for it. The key event coming up late Feb is the results, and what should be upgrades to forecasts based on good progress. That is an event which should give the upwards push to ACC.

From "fingers" is below


"ACC - 6.75p .. viewing its 'all-data' chart, I see that the price 'fell off a cliff', during late 2004, and such a fall is usually due to a major problem with the company, or the company doing something which the market is not very happy about, and checking on the reason for the fall, I see that it was due to a 'major share placing'.big.chart?symb=uk%3Aacc&compidx=aaaaa%3AAs a general guide .. such sharp falls are usually overdone, which often produces a bounce, which again is usually overdone .. the 'low & the high' produced, will then usually determine the 'basement price range' until such time as the 'problem' has been rectified, at which point the price can then start its road to recovery .. if the 'basement range' is relatively tight, and if the price has spent 12 mths or more within that range, its subsequent recovery can often be quite dramatic, with a very sharp uptrend developing.
Zooming into the sharp fall of ACC, it shows that the price did not see an 'initial bounce', instead its fall was halted by the 10.00p level, which at these low prices, is a very strong 'psychological level', and it succesfully held the price for 3 mths, before its support eventually failed.big.chart?symb=uk%3Aacc&compidx=aaaaa%3A
Its subsequent fall to 6.00p in May and the following strong bounce to 12.00p, is the type of range from which I would take guidance, and at these low levels, I would extend that slightly to incorporate the 2.50p intervals that I am obsessed with .. so I reckon its basement range 'selling floor' will be at 5.00p, with its 'buying ceiling' at 12.50p .. so overall, if I am right, that is quite a large potential range, which would therefore offer trading opportunities .. however, that is its 'outer limits', and I would expect the price to be more confined than that .. probably rising in 'stages'.
I have already mentioned the strong 10.00p 'psychological' level above, and the 5.00p level below is another strong 'psychological' level. In between is the 7.50p 'mid point', which I believe will also have a strong influence on any price movement.
The 3 mth chart below shows that the price has been restricted throughout, between 5.00p - 7.50p, and I would expect it to remain within this lower range, until it has built up sufficient strength to move up to its next 'stage' .. 'buys' appearing above 7.50p would then be the first signal that it is attempting to make its move, and confirmation would be given once the prices 'closes' above. big.chart?symb=uk%3Aacc&compidx=aaaaa%3A
I would then expect the price to remain within a range of around 7.50p - 10.00p, until once again it has built up the strength to move on up to the 10.00p - 12.50p 'stage' above.
Once its 'problems' have been rectified and the market is beginning to view it favourably again, the price can then make the strong 12.50p 'basement range' breakout, which could then see the price doubling in a relatively short period .. but this breakout move could be many months away.
Oh dear, I have written a book again .. sorry .. hopefully bits of it will make some sense .. as usual, just a few unbiased thoughts of a non-holder for what they are worth.big.chart?symb=uk%3Aacc&compidx=aaaaa%3A"

PapalPower - 06 Jan 2006 01:32 - 10 of 184

The thing to consider here is the director buying, it marked what they think is a very cheap price going forward, and so its proven to be by the Dec trading update. They have had no chance to buy anymore since then, but I would be certain they are going to buy more as soon as the closed period for prelim results is out of the way.

I certainly think this will be pushing through the 9p and 10p level after results based on them, and the new forecasts for 06 and 07 and that should be back by further director buying I hope. A good few months ahead on ACC I feel.

PapalPower - 08 Jan 2006 12:26 - 11 of 184

As said before, I think Due-North is a real winner for ACC group and I will highlight a few articles about them;


http://tinyurl.com/cpsuk


UK PLC partners with Due North

@UK has partnered with Due North to provide a comprehensive offering for efficient procurement encompassing supplier e-enablement, e-tendering, e-auctions and e-procurement.

Lyn Duncan, Managing Director of @UK PLC commented Although we remain separate entities, there is a perfect fit between what our two companies have to offer. In combination we allow any local authority or other large body to use a complete tool kit of capabilities so as to achieve Best Value across the whole range of needs from small scale goods and services to full EU tendering of major procurements.

Alan Gray Managing Director of Due North said We will be increasing the level of interoperability steadily over the next few months so that for example once an authority has run a competitive tender or e-auction, the winner passes seamlessly into the allowable e-procurement supplier set of the authority, to be activated on the date of application of the new tender. All difficulties previously encountered when a new tender came into force of the old supplier hanging over will be removed. The process of achieving Best Value just became much simpler and easier as a result. We will apply these benefits initially in clients we already share such as Devon County Council and Durham County Council but the strategy is also immediately available to those many clients where one or other of us is active.

Lyn Duncan said Our recent survey in association with The Municipal Journal indicated that as many as 40% of local authorities are not expected to meet the ODPM December 2005 deadline to implement e-procurement. We believe this partnership will make it even easier and quicker for authorities to move forward and gain advantage from a whole range of e-techniques. Because both our services are Application Service Provisions (ASPs) via the Internet, there is minimal IT impact and disruption, and costs are significantly less than authorities responding to our survey anticipated. This move also builds upon our previously announced partnership with Spikes Cavell; an organisation which provides authorities even more information so as to achieve an overall major uplift in its procurement capability. We can now lay claim to a truly uniquely offering which will allow any local authority to revolutionise its procurement.

Date posted: 10 Nov 2005

PapalPower - 08 Jan 2006 13:31 - 12 of 184

http://www.torbay.gov.uk/contracts_register_dec_2005.xls.pdf

21/12/05

Access to contracts via the Internet
https://www.devontenders.gov.uk

The Council has linked with Due North to use software (QT Tender) to enable Torbay Council to maintain data on both tendering and contracts let by the Council. The new system will enable tenders to be published on the DPP* Internet Portal to provide for equal opportunity and transparency to all suppliers, large or small, seeking to obtain Council business: helping to ensure that the Council is getting value for money and that contracts are being let effectively.
The Due North solution will allow the Council to obtain quotes from suppliers in a time frame suited to their business needs and provides the ability to create quotations and tenders online: distributing these documents to registered suppliers on-line. Paper based systems will
be replaced with web-enabled functionality, whilst providing a full audit history and workflow tracking, with the added benefit of speed in both response and creation. Due North addresses the issues of linking the procurer with their suppliers, allowing requests for quotations and tenders to be processed securely on the Internet.

PapalPower - 08 Jan 2006 19:32 - 13 of 184

http://www.devon-cornwall.police.uk/v3/ShowPDF.cfm?PDFName=eTender.pdf

In support of the drive for E procurement, a contract was awarded in April 2004, to Due North, to provide an E-Tendering solution which would be available to all Police Forces and Emergency Services in general. E-Tendering refers specifically to tendering that is based, at least in part, on the use of Internet technology. The http://www.bluelight.gov.uk site is a complete internet based e-tendering solution. This means that no software resides on either the procurers or the suppliers own computers and that all exchanges of documentation are done electronically on-line.

DUE-NORTH eSOURCE SUITE
Developed in Partnership in the Public Sector

Due North have worked together with several public sector bodies in the past few years in the creation of a complete solution designed to meet the electronic sourcing, tendering, auctioning, contact management and procurement planning requirements of the Public Sector. The system can be used in a collective situation as a portal where several bodies share the same suppliers and collaborate in the procurement process, or as a standalone system for larger bodies. Individual modules can be purchased separately or when combined together provide a total eSource solution, which is designed to meet the different needs of any size of procurement team.
Being internet based the entire system can be seamlessly accessed, from the home, the office, or anywhere with internet connectivity. The total eSource solution consists of the following modules also available as standalone options;
eTender:- e-tendering with OJEU Capability
ePlanner:- Contract Publication
eContract: Contract Management
ePortal:- Multiple organisations sharing one procurement portal
eAuctions:- Reverse Auction
eNet:- Procurement intranet




PapalPower - 14 Jan 2006 11:13 - 14 of 184

"Due North has just made its first sale into the private sector alongside its strengthening public sector client base."


I will be more interested in updates on Due-North progress in particular and how far into the public sector they have got in the update at prelims in Feb.

PapalPower - 16 Jan 2006 16:41 - 15 of 184

A move up today, something must be going on in the background I think,

PapalPower - 23 Jan 2006 00:47 - 16 of 184

Latest broker forecast updated

PapalPower - 30 Jan 2006 01:52 - 17 of 184

Posted recently an AFN was a few months old article from watshot.com, I have copied some of the post over, not the full article that was posted there:

"Back to Access. Having cut costs back tremendously, the company will essentially be profitable this year. I say essentially by way of excluding goodwill amortisation. At the interim stage, sales were a 100,000 ahead of the comparable May 2004 period, and setting goodwill amortisation aside, the magic transition from red to black was just about made. Meanwhile, the acquisition of Due North was completed in July and I think it's fairly safe to assume we will hear an update on that along with the full year numbers, which I gather, will probably be unveiled in February. Now, whilst it may be tempting to flog these in the anticipation of little to no newsflow, I would urge you to think again. I suspect we will get some sort of statement about how the year has gone ahead of the numbers, what's more, I think Access has begun to understand the need to communicate more effectively with the market. Newsflow drives share prices, and with everything seemingly on track, there is little reason to doubt why a revival in communication, wouldn't lift the stock higher.
This is a company with a strong foothold in the market of public sector and emergency services' e-tendering requirements, and whose experience gained has enabled a wider e-commerce and e-auction brief to be addressed. Due North arrived at a cost of 1 million in cash and the issue of 4.7 million shares. 600,000 more may be forthcoming to its vendors if, for the year to November 2006, Due North makes an operating profit of more than 350,000, and 750,000 more if the following year the total exceeds 450,000. The additional consideration, if it comes, will be in the form of ordinary shares unless the beneficiaries elect to receive 20% in cash. This was a tidy little deal, which in my opinion, looks set to improve the operating performance no end. When we factor in Due North, which made over 200,000 in the nine months to May this year and has 100,000 in cash, has introduced its services to 40% of police authorities, 7% of local authorities and 11% of fire brigades; the picture improves yet further.
The intention moving forward, is that fellow-subsidiary, Wired Gov, the online public sector information system, will cooperate closely with Due North to seek synergistic gains. Bill was remarkably bullish on Access, and back then, with a longer term view, I can perhaps understand his enthusiasm. This is a site about making money from small caps trading and as such, Access Intelligence is now ripe for the picking ahead of the results. By February at the latest, I believe the shares will have moved up towards 9p, and as such there is at least a gain of 40% to be bagged here, with the anticipation of newsflow. "Buy".
"

Saintserf - 30 Jan 2006 17:29 - 18 of 184

I'm surprised you're quoting "What'shot". I've had a look at their site and they seem to favour some pretty dodgy shares. They may be very good, conrad witherspoon and luke heron but I keep getting sent stuff to try and subscribe to them a lot. If they're so good why do they need to advertise so much? I sent them a long e-mail a few months ago with a bunch of questions I recieved no reply, this did not instill me with confidence, in contrast to Fat prophets where the guy in charge spent a long time replying to my questions.

PapalPower - 31 Jan 2006 00:04 - 19 of 184

Saintserf I find its the same with any tip site tips, some are good, some are dogs, I think RHPS had one of its worst years last year. I sign up for a few sites, go through all their tips, will probably on average go into 30% of the total tips on any site, for me it just helps picking up on certain companies that I can research into.

PapalPower - 03 Feb 2006 16:52 - 20 of 184

MM's playing with the bid and offer this week, trying to get sells I think. Results are due later this month, and we know from the recent pre close trading update, things are very good ! :)

PapalPower - 05 Feb 2006 13:34 - 21 of 184

I think the chart shows that they are trying to knock out some sellers before we get nearer to results later this month.

Take a look at a one week chart with spread and bid/offer and its clear what they were up to I think, watch this move upwards as results get nearer.
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