Well, we have a NDA in place with a European Industrial Group that can't be mentioned.
The NDA remains in place as long as there is a commercial agreement in place with the "European Industrial Group"...
We also know the group invested in CropX.
We also know that in a recent interview Mr Rosenberg states "Unfortunately we can't mention the name of the company, but I am sure it will be mentioned eventually"
Well, the only way it can be mentioned eventually is if Bosch (oh no, I mentioned the name!!) acquires starcom systems...
It might not mean anything at all, but it does beg the question, why did Mr Rosenberg state he's sure the name of the company will be mentioned eventually when we know the NDA remains in place until such time there is a commercial agreement
From a financial point of view, it doesn't make sense to be selling a logistical solution to customers that can go directly to the source and buy it....Also if Bosch invested in CropX, why not buy the company selling the sensors to Cropx...
Given the low market cap, an offer x 10 the current price would still be peanuts.
Recent acquisitions by Bosch have been allowed to operate as independent companies .. something that would suit Starcom Systems
The NDA agreement with the European Group effectively stays in place as long as there is commercial co-operation between the two companies.
So anyone expecting the name to be mentioned will be saddened to know this.
However fear not - At the end of the day, if the group wants to badge up the product as one of their own, then that is fine by me... Just market it, and sell it and give us the money.. Also note, there will be other products they are working on too with Starcom..
So, being a patient investor, I am happy to see the slow progress... UN Contract would be icing on the cake...
The agreement provides for an initial order to be delivered by January 2018 and, subject to satisfactory performance, further orders are expected to be placed between April and August 2018. The aggregate potential order value of the agreement is bound by commercial confidentiality but would be significant in relation to historic revenues for 2017.
Nice to see the share price rise continuing as more and more people wake up to the potential.
Sure, the company has had teething problems... which company hasn't?
The Ukraine conflict didn't help, but I can't help but feel the company is beginning to make some serious inroads again, the only difference being, this time round it's with blue chip companies.
Very impressed with this CropX partnership.... Who is to say, Cropx doesn't expand into other areas apart from Agriculture? For example golf courses? basically anywhere where the ground requires an abundance of water or where water levels need to be controlled accurately... Hell, even cricket fields or base ball arenas...
As they expand (which they are), it ultimately helps Starcom too.
Really disappointed with this update and looking at the SP drop, so is the market in general.
Although the change in outlook is not related to trading per se, which still gives me hope for the future, these additional 'unexpected' costs don't do the company any favours from an investor perspective.
Could be a good top up point for those with a longer term view.......
"Wireless remote tracking and monitoring products company Starcom Plc announces the launch ofWatchlock Pro, an advanced version of its Watchlock product, its autonomous battery powered locking solution with security applications for remote locations and tracking mobile assets, which was awarded Physical Security Product of the Year Award at IFSEC 2012... This upgrade addresses key aspects of monitoring coverage and, notably, battery life, which should expand the applicability and marketability of this key product."
"LSE:STAR:Starcom has surged by as much as 150% to an eight-month-high after the remote tracking expert signed a potentially lucrative deal with the largest Porsche dealership in Germany.It's taken over a year of relationship-building and testing, ..."
Starcom is clearly now getting sales traction for its products - with perhaps watchlock leading the way - a guatamalean distributor contract worth on average $0.6m per year, plus yesterdays announcement of another south american distributor worth perhaps $2.5m per year.
At present margins this might quadruple the operating profit - the market has taken notice - SP is up 10% since yesterday.
Starcom (AIM: STAR), which specialises in the development of wireless solutions for the remote tracking, monitoring and protection of a variety of assets and people, is pleased to announce the official worldwide launch of the award-winning WatchLock high security padlock and electronic alarm system.
The Company has chosen the UK to be the first market for the launch, with the USA to commence in April and other territories to follow throughout the year. Starcom's team has completed a two day training workshop with the UK salesforce of Assa Abloy. A further positive development will be that Assa Abloy will now market the WatchLock under each of the Assa Abloy, Mul-T-lock and Yale brands, rather than just under the Mul-T-Lock brand, as has been the case to date.
Initial trials of the Watchlock commenced at the end of 2012 and were above management's expectations, resulting in over 20,000 units sold in 2013. Most of these units were sold directly through the Company rather than through Mul-T-Lock. The Directors of Starcom expect that the full implementation of the formal partnership with Assa Abloy, following the above mentioned training workshop, will have a positive impact on WatchLock sales going forward.
Avi Hartmann, CEO of Starcom, commented: "We believe that with the full support of Assa Abloy's world leading brands behind us we will see an increase in sales for our award-winning WatchLock. For a small company, entering a market of this size can only be achieved with a strong partner, and we know we have the best in Assa Abloy."
Micha Kimchi, CEO of Mul-T-Lock, commented: "The WatchLock is the winner of the 2012 IFSEC Innovation Award, and is a unique offering which combines top mechanical padlock security with an innovative GPS tracking and cellular communication device. It has been adopted by Assa Abloy EMEA as a high impact product, which we will be offering to all our high security brands in the UK market."
"Starting today, following the advanced training to the Mul-T-Lock, Yale and Abloy UK salesforces, all of our brands are set and ready to capture every opportunity in the market, though the locksmith and professional end-user channels."
Starcom (AIM: STAR), which specialises in the development of wireless solutions for the remote tracking, monitoring and protection of a variety of assets and people, is pleased to announce a non-exclusive distribution agreement with MAM Objects S.L, a telecommunications distributor with operations in South America which is also the exclusive distributor for a major global telecommunications company in the territory. The agreement, related to the distribution of the WatchLock, will see Starcom's award-winning device marketed and distributed throughout Central and South America with initial deployment in Ecuador and Colombia.
Starcom's CEO Avi Hartmann said:
"It is pleasing to see Starcom's global roll-out of its WatchLock device continue to gather momentum. Following the distribution agreement in the Ukraine earlier in the year, this agreement will see the WatchLock marketed in the fast developing Latin American market which we hope will result in significant sales of the product in the region. We continue to employ our strategy of working with distribution partners, as it offers us wide access to markets at a low cost point. Starcom looks forward to developing its Latin American presence, and expanding its market penetration into even more geographies in the future."
By Bryce Elder
Starcom suffers fall in shares after profits hit by slow sales
Shares in Starcom, the Israeli maker of car tracking devices, fell after the Aim-quoted company reported a pre-tax loss of $89,000 for the six months to June 30 against a profit of $868,000 a year earlier and said profits for the full year would be lower than forecast, writes Kate Burgess.
Its half-year performance was attributed to slower sales of intelligent locks and monitoring devices, as well as higher marketing and R&D costs. The company also paid off a loan with the proceeds of its February flotation, and booked the expense of options granted to executives.
Michael Rosenberg, chairman, said the first two months of the year were affected by the IPO process, but the company had now received its
first big order for smart padlocks.
In these markets, poor results are punished and although the second half is usually the more buoyant / significant, there's no disguising the negative outcome here hasn't gone down well, as exemplified by the sp response.
Might well take awhile to regain its poise, given the 'slower rate of growth envisaged', so I'm off to find more appealing alternatives rather than hang around, fwiw but good luck to the more patient than me - sasa.
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