Ticket Text service remains in the red despite €3.2m backing
AN IRISH challenger to the ticketing giant Ticketmaster remains in the red despite shareholders pumping more than €3m into the company.
According to accounts just filed with the Company Registration Office, Ticket Text recorded a loss of €1.45m for the year ended 30 April 2009 and its liabilities exceeded its assets by €165,000, despite shareholders pumping about €3.2m into the company.
The company's auditors, BBT, said that "these conditions . . . indicate the existence of a material uncertainty which may cast significant doubt about the company's ability to continue as a going concern." In July last year the company ceased to operate as a ticketing agent and in February re-launched as a white label mobile ticketing service.
Ticket Text, trading as Ticket ABC has pioneered a system that allows tickets to be sent to a mobile phone as a text message instead of customers needing a physical ticket.
The text message can then be scanned as a person enters a venue.
The Ticket ABC software is being piloted at the small Luminaire venue in North London. The system is designed to give venues more control over their ticketing and reduce their overheads.
The company has indicated that it will be mid-2011 before it starts to generate positive cash flow from the business.
"In the intervening period the company is reliant on the continuing financial support of its shareholders and on the receipt of capital from external investors," said the accounts.
The company's shareholders include former Sony BMG executive Tim Delaney and Mark McLaughlin, the founder and son of the well-known businessman and Davy stockbrokers executive Kyran McLaughlin.
Its institutional investors include Davycrest nominees -- a Davy stockbrokers' investment vehicle -- Plainfield Special Situations Master Fund, a vehicle of the Connecticut-based Plainfield Asset Management, and MAMA, a London-based company which manages venues across the UK.