MGT Capital Investments Inc (MGT, Financial) filed Quarterly Report for the period ended 2011-03-31.
Mgt Capital Investments Inc. has a market cap of $8.7 million; its shares were traded at around $0.2225 with and P/S ratio of 16.1.
On January 31, 2011, the Company entered into a Sale and Purchase Agreement (the “Purchase Agreement”) with Committed Capital Nominees Limited (“Committed”). Pursuant to the Purchase Agreement, Committed agreed to purchase from the Company and the Company agreed to sell to Committed (i) all 9,607,843 shares of Moneygate which MGT owned, for consideration of £0.096 ($0.154); and (ii) novated the benefit of a Facility Agreement dated November 18, 2010, between the Company and Moneygate, for consideration of £250 ($401), recording a gain on sale of £50 ($81). The Purchase Agreement was conditional upon the U.K. Financial Services Authority having given its written consent to the change of control of Moneygate. The change of control was approved on March 10, 2011, the £50 ($80) held in escrow was received by the Company on March 22, 2011. The remaining consideration of £200 ($321) was received by the Company on March 29, 2011.
Operating losses in the parent holding company for the three months ended March 31, 2011, are $329 (2010: $919). The largest items of operating expense are salaries and wages, $74 (2010: $270), legal and professional fees, $124 (2010: $457) and travel costs, $29 (2010: $22).
In the three months ended March 31, 2011, revenue of $6 (2010: ) had been recognized through MedicCO2LON sales. Cost of revenue for the period was $4 (2010: ).
In Fiscal 2009 we purchased 49% of the share capital of Moneygate Group Limited (“Moneygate”), a U.K. based firm of Independent Financial Advisors. On acquisition we provided loan facilities of £250 ($398) for working capital and £2,000 ($3,186) for acquisitions. In the fiscal year ended December 31, 2009, the Company advanced to Moneygate a £250 ($398) working capital facility and £100 ($159) as part of the acquisition facility, all of which was all outstanding at the year end. In the fiscal year ended December 31, 2010 we allowed a portion of the acquisition facility to be used for working capital as acquisitions were delayed and Moneygate required cash to fund its operations.
In 2007 and 2008 we invested $3,000 in Series C preferred shares of XShares, an investment advisor that creates, issues and supports exchange traded funds with a particular healthcare specialty. In the fiscal year ended December 31, 2009 the Company invested $2,000 in XShares convertible notes with a principal of $2,100. As of December 31, 2009 the equity investment and the convertible notes had been fully impaired. On March 31, 2010 we disposed of all of our equity holdings in XShares for $1 and the convertible notes for $1 resulting in a total gain on sale of $2.
Read the The complete Report
Mgt Capital Investments Inc. has a market cap of $8.7 million; its shares were traded at around $0.2225 with and P/S ratio of 16.1.
Highlight of Business Operations:
At March 31, 2011 the Company had cash and cash equivalents of $7,833 compared to $8,434 as of December 31, 2010. The decrease is mainly attributable to cash used in operating activities ($2,864), offset by cash received in investing activities ($1,871).On January 31, 2011, the Company entered into a Sale and Purchase Agreement (the “Purchase Agreement”) with Committed Capital Nominees Limited (“Committed”). Pursuant to the Purchase Agreement, Committed agreed to purchase from the Company and the Company agreed to sell to Committed (i) all 9,607,843 shares of Moneygate which MGT owned, for consideration of £0.096 ($0.154); and (ii) novated the benefit of a Facility Agreement dated November 18, 2010, between the Company and Moneygate, for consideration of £250 ($401), recording a gain on sale of £50 ($81). The Purchase Agreement was conditional upon the U.K. Financial Services Authority having given its written consent to the change of control of Moneygate. The change of control was approved on March 10, 2011, the £50 ($80) held in escrow was received by the Company on March 22, 2011. The remaining consideration of £200 ($321) was received by the Company on March 29, 2011.
Operating losses in the parent holding company for the three months ended March 31, 2011, are $329 (2010: $919). The largest items of operating expense are salaries and wages, $74 (2010: $270), legal and professional fees, $124 (2010: $457) and travel costs, $29 (2010: $22).
In the three months ended March 31, 2011, revenue of $6 (2010: ) had been recognized through MedicCO2LON sales. Cost of revenue for the period was $4 (2010: ).
In Fiscal 2009 we purchased 49% of the share capital of Moneygate Group Limited (“Moneygate”), a U.K. based firm of Independent Financial Advisors. On acquisition we provided loan facilities of £250 ($398) for working capital and £2,000 ($3,186) for acquisitions. In the fiscal year ended December 31, 2009, the Company advanced to Moneygate a £250 ($398) working capital facility and £100 ($159) as part of the acquisition facility, all of which was all outstanding at the year end. In the fiscal year ended December 31, 2010 we allowed a portion of the acquisition facility to be used for working capital as acquisitions were delayed and Moneygate required cash to fund its operations.
In 2007 and 2008 we invested $3,000 in Series C preferred shares of XShares, an investment advisor that creates, issues and supports exchange traded funds with a particular healthcare specialty. In the fiscal year ended December 31, 2009 the Company invested $2,000 in XShares convertible notes with a principal of $2,100. As of December 31, 2009 the equity investment and the convertible notes had been fully impaired. On March 31, 2010 we disposed of all of our equity holdings in XShares for $1 and the convertible notes for $1 resulting in a total gain on sale of $2.
Read the The complete Report
