News blog

JSJS Designs

• BY: Andrew Hore |
• POSTED: 22/03/2013 |

Home automation systems supplier JSJS Designs is raising £535,000 at 0.3p a share, which is half the share price prior to the announcement of the fundraising. 

The share price slumped 0.25p to 0.36p, which values the existing share capital at £1.35m.

Maplin has been selling JSJS products via the internet and it has just started to roll out the products in their stores. An initial 20 stores will stock the products and the initial order is worth £80,000. A further 195 stores could potentially sell the product range. Revenues of around £15,000 a year from each store are estimated. Amazon is also selling the product range and it recently started to sell direct. QVC and B&Q also sell the company’s products.

JSJS says new retailers are not keen to take on stocks of its products and this has left it short of working capital and cash to invest in product development.

There was £134,000 in the bank at the end of March 2012. A 3% convertible loan of £464,000 represents an old debt to a supplier. The net cash outflow over the previous six months was £507,000.

The company was introduced to Aim on 27 November 2008 at 2p a share. The shares ended the first day’s trading at 2.375p, which valued JSJS at £4.75m. At the end of 2010, a further £300,000 was raised at 2p a share and a year later £1m was raised at 1p a share.

Download the latest AIM Journal from http://www.hubinvest.com/AIMPDFMarch2013_42.pdf