METAVISIO

• As part of its recent partnership with Metavisio (Thomson Computing), ABSIS, one of the leading European distributors of computer equipment and software, has placed its first order with Metavisio for $1.2m for the sale of 14- and 15-inch laptops. ABSIS covers mainly Eastern Europe, the Baltics and the Commonwealth of Independent States which, in 2020, includes nine of the fifteen former Soviet republics. In total, ABSIS is present in more than 20 countries.
• In July, Metavisio announced the offering of three of its products in all Lidl outlets. These products include a 14-inch laptop, a 10-inch tablet and a laser printer. Going forward, this development could result in an order of up to 75,000 units to be delivered from Q4 22.
• Similarly, the company announced the offering of five of its products in Carrefour Spain. The products selected by Carrefour include four gaming laptop models and Metavisio’s new Notebook 15 model.
• In September, Metavisio signed a distribution contract in Scandinavia with DCS ApS. Founded in 1994 in Denmark, DCS ApS generated turnover of €140m in 2021. With a workforce of c.60 employees, it has a warehouse of 4,500m², offering a catalogue of more than 250,000 products to its customers. The customers of DCS ApS can directly integrate the distributor’s digital catalogue into their online stores or their purchasing systems thanks to the integration solutions developed by DCS ApS.
• Metavisio has also obtained the listing of seven models of its PC range in 380 Bureau Vallée stores. This new agreement concerns the permanent listing of seven THOMSON Computing 14 and 15 inch laptops in a price range of €199-849 for the new Intel® Evo™ certified range (recommended retail prices). These models are therefore integrated into Bureau Vallée’s central purchasing platform from which all stores are supplied. The first deliveries were expected to hit the shelves in October.
• On 12 September, Metavisio announced that it had entered into exclusive negotiations with US-based SPAC. Following the necessary approvals in the US and France, the combined entity would be listed on NASDAQ. The proposed transaction supported by the necessary due diligence could value the company at an EV of $140-160m.
• Metavisio achieved a share of 30% in the sub-€300 laptop segment in France in September thanks, in particular, to the success of its back-to-school sales operation launched in partnership with the Leclerc group. This success has enabled Metavisio to gain 9% of the total PCE+ market share in France for the first time and reach 30% of the sub-€300 PC segment in week 36, i.e. from week 36, from 5 to 11 September (source GFK3). By comparison, Thomson Computing market share was 9% over the same period in 2021.
• In October 2022, Metavisio obtained various public and private orders in India, one of the largest IT markets. For public orders, the company will first deliver a test order of 5,000 tablets in December 2022. This will then be followed by an additional order of 30,000 tablets, part of which will be delivered in 2022. There is also a possibility of further orders after this order, which could result in Metavisio selling nearly 400,000 units. Additionally, the company is also involved in two other public tenders. The first one requires the company to deliver a Thomson Computing server specially developed for the Indian government. Following successful validation, this could result in orders for 150 servers. The second tender is a solicitation to deliver 5-6 million laptops to students over two years.
• Regarding the private order, the company has signed a distribution contract with DCS Private Limited. With over 5,000 customers in India, DCS will promote the Metavisio/Thomson Computing brand to all national and regional retailers. The order requires a first test order worth €400k to be delivered in December 2022. It will allow DCS to evaluate the market and to prepare much more significant orders worth €4-5m for Metavisio/Thomson Computing, which will be placed in the second quarter of FY2023 in view of the major Indian events in September-October (festivals season), which represent months of exceptional sales.

Based on these updates, the company has made significant revisions to its business plan for the coming years. Upon the assimilation of this new business plan into our model, we expect the valuation of the company to increase by about 15%.