Dellarue: Mr. Moore, in 1999 you have founded together with Sharon Clayton successfully the private equity bank, MCC Global. What is the main competence of MCC Global? And which scope of business has developed since that time especially well?
Tony Moore: MCC Global’s main competence is advising, investing in and building microcap (up to $100 million in value) companies. We specialize by industry and have experience and expertise in alternative energy, healthcare, media, hospitality/sports & leisure and real estate. We offer investors in our deals the opportunity to obtain high financial returns while we focus on removing as much of the risks associated with such investments. We do this on a global basis so that we can take advantage of different geographic markets. Finally we also manage funds invested in growth companies. For example, Moore Clayton Capital Advisors (MCCA) is investment advisor to Equus Total Return Inc.. a New York Stock Exchange listed fund that has performed well since we took over the advisory role in 2005 (www.equuscap.com). MCC Global is a global private equity company (very similar to the old style merchant banks) specializing in emerging companies.
Dellarue: In 2006 the Reverse Takeover got announced. In April 2007, MCC Global finally traded for the first time in the regulated market in Germany. Did the Reverse Takover worked out as planed? Does MCC Global plans the listings on other stock exchanges?
Tony Moore: while we are very happy to be listed on the Frankfurt Stock Exchange, the reverse merger and listing process took far too long and turned out to be rather an expensive exercise. It also meant that we had to allocate valuable resources to a very complex transaction which had a negative impact on our business. In view of our rapidly growing business in the Gulf States ( you will have seen the press release about the huge deal we are closely involved in in Bahrain) we may well list on the Dubai or Bahrain Stock Exchange. We are also considering listing on the Vienna Stock Exchange.
Dellarue: MCC Global had probably a hard time during the Revers Takeover process, are you still contented with the business year 2007? What are your goals for the business year 2008?
Tony Moore; You will have see the 2006 results which contained significant write offs associated with the IFEX assets and the previous managements treatment of goodwill. The 2007 results will be published in the next couple of months and will show the year to be one of continued recovery and transition from a very difficult 2006. We are very much back on track in 2008 and with a renewed emphasis on business development and working off a much lower cost base we are looking to MCC Global returning to the successful growth years prior to 2006
Dellarue: Since the founding and especially in the last few month, MCC Global could announce major progress in the company development. Can you mention our readers once again the most important proceedings?
Tony Moore: The most important transaction for us is MCC Project Partners involvement in advising, developing, operating and part ownership of the Bahrain Center of Excellence (BCOE) which is the development of the F1 racing circuit in Bahrain. I don’t think the stockmarket has really understood the importance of this transaction and the significant positive contribution that it will make to our revenues over the next several years. We are also very pleased with the development of Equus and recently announced an additional investment in Infinia, an alternative energy company in which Paul Allen’s Vulcan Capital is also invested. Infinia has been a spectacular success with the value up 10 times in a year. We will also be launching a fund which will enable high net worth individuals to benefit from our expertise in investing in emerging growth companies. This will be part of our expansion into the field of wealth management. We are also working with a number of exciting companies in waste management, media and software technology that we expect to list over the next year to 18 months. So bottom line all three areas of our business—advisory/corporate finance/fund management are showing strong growth
Dellarue: Above all, the good development of MCCA, in the area of the fund management, has to us positively amazed. Does MCC Global plan his strengths in the area of the fund management to develop further?
Tony Moore; as I mentioned before we want to be far more active in fund management off the back of the very successful track record established by MCCA. We will be launching the MCC Global Emerging Growth Fund in the near future and have plans for one or two industry specific funds including in hospitality and real estate. As with the BCOE transaction we don’t think German investors have understood the importance of our fund management activities which provide a stable and growing contribution to our revenues and some very attractive opportunities for capital gains. We highlighted in the Infinia press release the potential revenue contribution to MCC Global of the dramatic increase in the value of that company..
Dellarue: The MCCPP is a minority equity holding of the MCC Global NV. We could infer from present reports that the BCOE project shows huge revenue potential for MCC Global. Can you say to us, when in this area is to be calculated on closer information? And how do you estimate the potential from BCOE?
Tony Moore: MCC Global owns 25% of MCCPP. BCOE is a $3.5 billion project and MCCPP will not only collect fees for consulting, developing and operating the 7 businesses that are planned but will also have ownership. We must respect confidentialty issues but I’m sure at some stage an analyst will figure out the large sums of money that are involved and what will accrue to MCCPP and therefore to MCC Global. I have heard it said recently that MCC Global’s ownership in MCCPP is worth more than the current stockmarket capitalisation of the whole of MCC Global ! And don’t forget that MCCPP is pursuing other large projects so BOCE is not a one off deal. MCCPP will become a very valuable asset that could well be spun off at some stage
Dellarue: In spite of all good news, the present stock development from view of the stockholders is less pleasant. Has MCC Global done his homework in the area „Shareholder Value “ up to now?
Tony Moore; unfortunately we still appear to be suffering from the length of time to complete the reverse merger and listing and more recently from the delay in publishing our financials. We are also seen as a “penny stock” which has I think discouraged institutional investors. I also don’t think that we have done a good job of explaining our company to investors. We are going to spend a lot of time in the coming months on getting the story across. I very much hope then that the stockmarket and investors will realize that there is considerable value in MCC Global. After all the business outlook for our company is better than when our shares were over Eurocents 10 so at under Eurocents 2 I would have thought that we are worth consideration as an investment
Dellarue: MCC Global has a straightened and worldwide business model. Are there scopes of business or regions which you more exactly observe nowadays or in future?
Tony Moore: we will still very much be a US/Europe business. However you will see a big push into the Gulf States area over the next couple of years. We have also been talking to one or two potential partners about rolling out our strategic and financial advisory business model in Eastern Europe. We have not yet done much in Asia Pacific although it’s a part of the world with which I am very familiar having opened the Goldman Sachs Hong Kong office and been resident in Japan and Hong Kong for a number of years
Dellarue: With the new Boad Member, Mr. Schulenburg, MCC Global has an important german representative in the Management-Team. What are your plans for the german market?
Tony Moore: one of the main reasons for lsiting our shares in Germany was our conviction that there was a significant opportunity to develop our activities in your country. We believe that we can provide our services to mittelstand companies and also bring some of our corporate clients for listings on the FSE. With the lsiting behind us and our company back on a growth path we will be looking seriously at how to expand into the German market which could include an acquisition of or joint venture with an existing player in the German market.