A 10-1 consolidation gives you more room to lose $$MMMMoney$$ though doesn't it!!
I'd be keeping it as low as possible so it only has one real way to go. The downside is high% loss per stop...the upside is high % growth per stop.
A consolidation makes it longer to recover %'s and longer to lose %'s.
If management want to pitch to you that this will mean a faster turn-around towards growth (IF THE GAS IS FLOWING) why would they consolidate?
To explain...
It is not logical, nor mathematically advantageous for you (it makes no diff to market capitalisation etc), nor does it mesh at all with the 'confidence' they are claiming they have....or else they would simply leave the share price low and you would all make money on a few price stops.....06 to .1c would be a massive 60% gain - even though it is only 4 price stops in the market depth. However if it was consolidated to be a 6c share, those 3 price stops would equal a mere 5% gain.
If it is consolidated, you will need about 3 times as much stop-growth before you recover a comparable growth to what's on offer now.
Question: So what gives? Answer: a different motive is in the gossipy wind that is being pitched to you and you are only hearing about the rudimentary appreciations of consolidation, but not what it will mean to you on a business platform.
I believe it is to make money as a professional director of a company (a career path play, not a gas play). Not that theres anything wrong with that. Someone had to take over the reigns didn't they (lol). And if someone does that then creditors need to pay that person don't they. And that will be taken care of soon with a new investor and potentially new cap raising to keep that person in their profession. There are only so many companies to melt into if you want a career in ASX Directorships and this is one of them.
I hope Shareholders can see this alternate view. I haven't been wrong with my opinion on outcomes in 6 years now for the old management, so perhaps i'm seeing something else worth taking heed of right now? Maybe not - you decide, it's only my opinion. ___________________________________________________________
When does everyone expect A result of ANY kind?
I don't expect anything for at least another 3 months when the weather changes...right now the hill would be thawing out by memory - a VERY VERY sloppy time. I wonder if Jeff Clarke has serviced those snow cats since he personally used them at such times? They were brand new in 2007....another expense that may need replacing.
Still pumping water down? Will it EVER end? BArely any gas has come of it...what are we waiting for exactly apart from a fundamental redesign in the companies structure? A miracle - for gas to appear under the wells?
This is dragging on again and again....still.
MAE Price at posting:
0.6¢ Sentiment: None Disclosure: Held
