30. March 2021 | 07:50 CET
Palantir, Aspermont, Visa - The winners of digitalization!
Data mining and big data have become indispensable in today's world. Not for nothing is data touted as "the new gold." Companies that are active in these industries, such as the US data analysis companies Palantir Securities or Snowflake, already have stock market values of several billion dollars. The media industry has also been on the move in recent years. The publishing house is becoming a digital company. Those who manage to convert the data records they have been collecting for decades into paying users will emerge stronger from the digital transformation. One Company is already a step ahead.
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ISIN: US69608A1088 , AU000000ASP3 , US92826C8394
From print publication provider to the mining and the mining sector, to digital media company, to fintech. The evolution of Australian media & tech Company Aspermont has been rapid. Digital transformation forced the Company to make a radical cut 4 years ago, which is currently paying dividends in scaling the business model and will continue to do so in the future. The foundation for a database populated with 7.5 million contacts of board members and decision-makers in the mining, energy and agriculture sectors was laid years earlier. In addition to the venerable Mining Journal and Mining Magazine, which have been published continuously for 186 and 112 years, the Australians own 10 other major brands and 20 sub-brands with a combined brand history of 560 years.
Development consistently positive
The Company is now using the data it has collected over many years to analyze fundamental interests based on artificial intelligence using in-house programmed algorithms to create targeted content for customers and generate significantly more leads. 95% of the content is already distributed on digital channels. The transformation to a global B2B service provider was accomplished with the pillars of Content as a Service and the provision of services.
Aspermont offers news, research, data, and live or virtual events for a flat monthly rate. Since 2016, the average annual growth in monthly active users has been 23%. Aspermont's management still sees clear potential in the expansion of its subscription business. Here, the management plans to create further products and services via the existing brands. In the newly created "Virtual Event & Exhibition segment," it was reported yesterday that over AUD 1 million in additional revenue has been generated since the launch in October 2020. After this first successful launch, the Company plans to launch more virtual event platforms for the energy and agriculture sectors.
Big plans for the future
The ambitious media Company is headquartered in London. In addition, offices are maintained in Australia, North America, Singapore, Malaysia, and the Philippines to maintain and further expand contact with global decision-makers. Last month, a capital increase of AUD 3 million was placed. A total of AUD 7 million is in the coffers, all of which is to go into new lines of business. Following the successful turnaround, the Company intends to gradually invest the free cash flow in further growth.
The Company could develop online trading platforms, blockchain solutions and e-learning in the near future. A joint venture with an online broker to arrange financing would certainly make sense. The scaling effects would be enormous. Geographically, management plans to expand into South America, India, and primarily China. Aspermont's stock market value is currently a manageable EUR 41 million. Therefore, the market has not yet priced in the media & tech company's potential with fintech fantasy.
Visa opens up
The market for payment systems is also currently on the move. Yesterday, the credit card provider Visa announced the creation of a new payment option. Due to strong demand, the US announced that it would accept the cryptocurrency USD Coin for payments in the future. The USD Coin is a so-called stablecoin cryptocurrency whose value is directly linked to the US dollar. It is based on the Ethereum blockchain. Competitor Mastercard also wants to rely on cryptocurrencies for investment and payment purposes in the future. After Tesla already accepted payment with Bitcoins, cryptocurrencies seem to be slowly reaching the never believed rank as a means of payment.