Guvera India in state of chaos as streaming firm’s last hope haemorrhages cash
Guvera’s much-vaunted Indian operation – regarded as the lifeline of the company – is in complete disarray with the division haemorrhaging cash, unable to pay its bills and struggling to make its ad-funded model work, Mumbrella can reveal.
The catastrophic position of its Indian business was laid bare in documents from a May board meeting leaked to Mumbrella.
The documents reveal an operation in chaos in virtually every area possible, shedding new light on a company that is struggling to survive.
Well done Steve once again …Keep the pressure up on these guys they have fleeced nearly 200mill from Clients via their greedy accountants and now they are seeking more funds for a lost Cause. One must ask the question why is there so many disgruntled people that are associated or have worked with this mob I can understand the Creditors, Shareholders and unpaid staff being disgruntled but look at the leaks coming out from inside. First there was legal action with Michael De Vere , than there has been more changes in management than I have had hot breakfasts and it appears all are trying to tell us the Public what a sham this company is and the fact they have been not releasing the true position , its not what they are saying its what they are not saying, I am a shareholder and refused to contribute more cash based on their recent Fund raising document which had none of the above information, surely now ASIC should step in and take action to stop what’s going on here .
I still cant believe on one hand the ATO only gets between 6c and 25c in the $ and then on the other hand Guvera receives a refund for R & D of 6 mill..how can that work?…I know for a fact people who contributed more funds recently would have not been aware of what you have just raised…isn’t that False and misleading by not disclosing to them ? Steve keep up the good work these guys being Herft Janz and Loberg need now to be held personable accountable
John – you should put together a class action against Amma Equity, Herft, Nematela and Janz personally with other shareholders.
Also, complain to ASIC: http://www.asic.gov.au/complain
Good luck mate.
@JB Thx I have already made my feelings known to ASIC and others , I just hope other shareholders follow suit, next step is via my lawyer to my Accountant .
The Director was for Commercial Strategy in Australia should be looking at themselves very carefully. What a failure of magnitude scale.
I assume they are now working for another business after stuffing up the commercial strategy. Good luck to that business….
Sad, good people have lost their jobs as a result. Good strategy should work and should be executed by qualified professionals.
Good luck guys
@ Peter, He is now working over at 7West as their Digital Solutions Manager after leaving Guvera 2 months ago.
Oh FFS, just let it die already. It’s just a terrible idea.
Nothing would surprise me now from these peanuts
I think we are not asking the real question here, how come our trusted accountants recommended this garbage, some of them should be held accountable.
@martin, yes they should be , the shareholders should be looking closely at making claims against them ( they the accountants should all have Professional insurance) , especially if there was non disclosure of inducements paid to them to encourage them to enter, also if the sophisticated investor did not apply. The accountants had bonus shares issued to them for referring volume of clients , I would be contacting a lawyer to write a letter . Thee spotlight should be now turned on them .
Some of them?
All of them,
180 million, that’s a lot of coin,
Guvera has been going for eight years and still has s revenue problem?
Oh no we couldn’t make it a subscription based service, that would have been like the others,
But at least it would have given some revenue, duh,
Bloody peanuts!
Complain to ASIC http://www.asic.gov.au/complain
What I found astounding is that they have never disclosed these Active User Numbers. So 6 million registered users, with 89k Active Users? They have completely mislead everyone. They never diclosed these numbers. This basically criminal. Everyone knows that active user numbers is where the value is and basically they have around 200-300k active users max? And I can guarantee you this number will be less if active users who have used the product over 5 months or more are analysed. So if 300k and you give a value of 10USD per user that is a 3 million valuation. And I am being generous. Where does the 1.3 BILLION valuation come from??? And accountants were spruiking this horseshit??
What a joke.
So if there is not a significant investigation into this … Then I do not know.
They never disclosed users because they never had them. I believe this was the game they were playing from the very beginning, and maybe they would be quite happy now if: Guvera dead, Money settled, Noise down.
How can Claes refute any of this? It was mentioned in the article that these facts (and questions/issues) came from a “board report”, which would mean it is an official Guvera document, and something the Guvera Board of Directors should have seen – especially if India was such an important market for Guvera. Hey… isnt Claes on Guvera’s board? And, yet, he claims he never saw the “board report”? And, now he is CEO? Nothing about Guvera shocks me anymore…
Tongue in Cheek Here what the updated Board Minutes of Guvera;s last meeting should say
Chairman : Ok we started with USA , Australia , Mexico , Russia, UK and we have been found out that we haven’t got the active users and we have stuffed those up lets Close them down all in favour say Aye
Response : Aye
Chairman : Ok lets now change the model from music streaming to add funded and branding all I favour say Aye
Response : Aye
Chairman : Ok we didn’t get the money we thought we would get so we are now Broke , but maybe we can keep this afloat by closing all these Offices changing the model and saying India and Indonesia and UAE are our saviours because these people will not pay for content all in favour say Aye
Response From one : But sir we don’t have many active users in these countries and we owe heaps of money and have potential legal action and the media now know as one of your managers leaked the board memo.
Chairman : OOPs that’s not good Ok lets drop India and stick with Indonesia and UAE surely they wont get the detail’s on these all in favour say Aye
Response: but sir I think we are in the exact same S$#t in these countries
Chairman : But have the media found out yet ?
Response ; No but its only a matter of time
Chairman : Good lets stick with this model all in favour say Aye
Response : Aye
Chairman : ok Bar is open my shout
Brilliant
@ Taking The Pis: Magical. A true peek behind the curtain…
Maybe now that Max Hegerman is no longer working for guvera maybe he can explain who twisted his arm to make these comments only a few months ago, and would now spill the beans on reality so as to protect the Investors
http://www.klas.com.au/guveras.....tnerships/
What an absolute bunch of con men.
This all goes back to AMMA equity.
Herft is responsible for this mess. His ego and drive for lining his own pockets amazes me.
The interview on the ABC saw a man avoiding the truth. Watch it, a joke. I am an investor and I am going to take legal action agaist AMMA . A forensic accountant won’t have trouble tracing what has happened. Jail time on the cards for the guys at the top.