Good morning folks,
I only belatedly noticed this horrible RNS from Taptica International (LON:TAP). It says that Uber has filed a complainst against two Taptica companies, along with dozens of other companies, alleging “fraudulent concealment, negligence and unfair competition”.
While there may be limits to any potential damage, given the US-centric nature of the complaint, this adds a risk that is difficult to quantify to a share which already lay outside my investable universe.
I would remind readers that Taptica insiders sold 10.6% of the company at 140p, when the P/E multiple was 5x.
Taptica International (LON:TAP)
Share price: 99p (+19%)No. of shares: 127.6 millionMarket cap: £126 millionUpdate re Uber lawsuit and Proposed Share Buy Back
This sounds like it’s in response to angry calls from shareholders, looking for more clarity. Why not provide this detail with the original RNS?
What it says: In 2014, Taptica was retained by another company, “Fetch”, to run a campaign for Uber.
The revenue to Taptica from this campaign is not “a material portion of Taptica’s revenue”. So perhaps the associated liability is not too large? (I am not…
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