NYX GAMING GROUP LTD 11 PCT DEBS V.NYX.DB

RE:RE:RE:Load Up Ahead of Eric Nuttall!!!

[stocksnbonds]

Cryptologic went from $3-40 CDN in a few short years.
Chartwell went from 2.50-11ish in about 3 years.
Starnet/Worldgaming went from $3-24.50 USD in about 3 years.

Gaming software stocks have very high margins once the platforms have been created. 
I've made quite a bit off the three gaming stocks above including Amaya from its spike from 3-15. Also lost a bit as well but much more positive than negative. This area is really lucrative. 

I'm involved in NYX as I see the potential for the firm to be a global leader in the space. I absolutely love the OB deal and think the OB portion of the firm will drive revenues much faster than the legacy casino/bingo/lottery verticals. OB opens up parimutuel opportunities never available to NYX previously. Aside from Playtech, there is not a provider with a more comprehensive offering. NYX also has a better reputation regarding relationships in the industry. It's one of the reasons WH helped fund the OB purchase.

Folks here know I'm pi$$ed that the Q3 financials were so poor. The company at this point should have been highly profitable. It is not as NYX leadership with Matt at the helm did not cut costs concurrently with former acquisitions aside from O.B. namely CRYP/CWH purchase. It also took too long to get rid of OnGame. That cost NYX 3 million/quarter. That should have gone directly to the bottom line.

At this point, we don't know the burn rate. We don't know how much money NYX is going through per quarter. Revenues are spectacular. That was never in doubt. What we do know is that NYX was not profitable Q3. NYX was EBITDA positive which does not mean profitable. It had to do a 15 million pound financing. That is not a good sign.  That should not have occurred.

To make a long story short, I'm very hopeful on NYX if and only if costs come down or at the very least level off. That would ensure profitability. With a levelling off of costs and organic growth of 20-30%, my goodness, NYX will be a diamond in the rough. I can see a similar share price rise to the three examples listed above. 

sb