Thread by @shiftingshares

I have added to my position in @bidstack.

#BIDS has an attractive asymmetric risk/reward for several reasons:

• Capital raise of £10.9m at 2p
• Finally starting to monetise and grow
• Everybody hates it so no hype in the price

Some further thoughts below:

1/ Bidstack is a technology stock which places non-intrusive (native) ads into games.

Historic slow progress from the co has seen the stock written off because of its previous extreme overvalution in 2019 (40p+).

Bidstack overpromised and underdelivered and reality set in.

2/ This unlove meant that interest in the expected placing was minimal.

Raising £10.9m at 2p dilutes existing SHs heavily.

However, refinancing means that 50%+ of the market cap is cash giving the company an EV of <£10m.

This comes at a time when the co is now monetising.

3/ Some evidence of this can be seen in the recent RNS.

Advertisers can now place ads programmatically in the 'in-menu' format.

It means #BIDS has now created a new revenue stream that works round the clock 24/7.

This is a first for the business.

4/ Bidstack claims in its annual report to have been educating the market, conducting 'brand uplift' studies.

These have demonstrated the results effectively but ultimately the company needs to translate these results into revenues.

Here are some of the participants:

5/ There is a risk that the company fails to grow its revenues.

My belief is that the company will need a future cash injection so there is time time to see how the company grows.

I think upside is +100% if BIDS shows traction.

However, I could be wrong and often am. DYOR.