The Christmas season has brought lots of bad news for e-learning companies Epic, Futuremedia and Copia. All three seem to have imploded. On the other hand, many e-learning companies have had a bumper year.
Futuremedia, who have split their shares more often than a log in a matchstick factory, are down to a value of around 250k (and falling). They get threatened with delisting from NASDAQ on an annual basis. The shareholders must be hopping mad to have seen all that cash creamed off by hopeless managers who know nothing about this market. They are so saddled with debt that it would be fair to describe them as the Northern Rock of e-learning.
Epic’s new CEO was mad that their 12 redundancies were posted on the Kineo website in December, four CEOs in two years, and hapless management by Huveaux have seen its revenues, profits and value plummet. At least the new CEO knows something about the market, which is more than can be said for their catastrophic Chairman who limps from one disaster to another (ex-Eidos) and obviously incompetent management. The lesson here is; don’t get bought by a bunch of crusty, old ‘paper publishers’.
Then there’s Copia bought up for 25k in cash and some shares, with liabilities of 46k. Real bottom of the barrel stuff.