LiveDeal Leveraging its Successful Acquisition History to Initiate New M&A Strategy
BALTIMORE, April 22, 2015 /PRNewswire/ -- Goldman Small Cap Research, a stock market research firm focused on the small cap and microcap sectors, announced today that it has released a new article on LiveDeal, Inc. (NASDAQ – LIVE). The article discusses how LiveDeal's successful M&A history impacts its new strategy. To view the sponsored research article, previous LIVE reports and updates, along with disclosures and disclaimers, or to download them in their entirety, please visit www.GoldmanResearch.com.
In the article, analyst Rob Goldman provides details on what to expect from LiveDeal's proposed acquisition strategy.
"Since the closing of the Modern Everyday deal late last year, the Company has enjoyed substantial revenue growth and behind-the-scenes synergy via the Company's e-commerce platform. In fact, for the fourth quarter of 2014, record revenue of $8 million was up 1200% year-over-year and was largely boosted by Modern Everyday sales. Going forward, management expects continued meaningful top-line growth from this subsidiary and that the execution of another revenue-generating acquisition could generate positive future results."
Goldman notes that, "Judging by past success, a new acquisition in the technology or retail arena could take the Company to a new level just due to size alone, if the target(s) produces meaningful revenue. Plus, since management has demonstrated an unheralded ability to integrate seemingly disparate business models into a high-growth, high gross margin company, potential operating leverage and cross-sale opportunities from a new acquisition could have a very positive impact on LiveDeal's valuation."
"Believing that its stock is undervalued at present, management was quoted in its press release saying that it may consider using traditional debt financing to execute an acquisition versus an equity-based or equity-heavy deal. This is likely welcome news to current investors as management can take advantage of record low interest rates, while shareholders would not be subject to dilution. Furthermore, the Company's current balance sheet appears to have enough leverage to support a debt financing."
About Goldman Small Cap Research: Founded in 2009 by former Piper Jaffray analyst and mutual fund manager Rob Goldman, Goldman Small Cap Research produces sponsored and non-sponsored small cap and microcap stock research reports, articles, daily stock market blogs, and popular investment newsletters. Goldman Small Cap Research is not in any way affiliated with Goldman Sachs & Co.
This press release contains excerpts of our most recently published sponsored research article on LiveDeal, Inc. The information used and statements of fact made have been obtained from sources considered reliable but we neither guarantee nor represent the completeness or accuracy. Goldman Small Cap Research relied solely upon information derived from LiveDeal, Inc. ("the Company") authorized press releases or legal disclosures made in its filings with the U.S. Securities and Exchange Commission http://www.sec.gov.
Separate from the factual content of our articles about the Company, we may from time to time include our own opinions about the Company, its business, markets and opportunities. Any opinions we may offer about the Company are solely our own, and are made in reliance upon our rights under the First Amendment to the U.S. Constitution, and are provided solely for the general opinionated discussion of our readers. Our opinions should not be considered to be complete, precise, accurate, or current investment advice. Statements herein may contain forward-looking statements and are subject to significant risks and uncertainties affecting results.
A Goldman Small Cap Research report, update, newsletter, or article is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed is to be used for informational purposes only. Please read all associated full disclosures, disclaimers, and analyst background on our website before investing. Neither Goldman Small Cap Research nor its parent is a registered investment adviser or broker-dealer with FINRA or any other agency. To download our research, view our disclosures, or for more information, visit www.goldmanresearch.com. To date, Goldman Small Cap Research has been compensated by a third party in the amount of $19,200 for investment research services.
About LiveDeal, Inc.: LiveDeal Inc. (NASDAQ – LIVE) provides marketing solutions that boost customer awareness and merchant visibility on the Internet. LiveDeal operates a deal engine, which is a service that connects merchants and consumers via an innovative platform that uses geo-location, enabling businesses to communicate real-time and instant offers to nearby consumers. In November 2012, LiveDeal commenced the sale of marketing tools that help local businesses manage their online presence under the Company's Velocity Local™ brand. LiveDeal continues to actively develop, revise, and evaluate these products and services and its marketing strategies and procedures. More information on LIVE can be found at www.LiveDeal.com.
Goldman Small Cap Research
Rob Goldman, Analyst
+1-410-609-7100
[email protected]
SOURCE Goldman Small Cap Research
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