earnings boost, page-6

Kist, certainty was probably a bit over the top - lets use the word probable.

ForrestGump is correct in saying they will not use accumulated wealth to buy another biotech company per se. Lets think about what sort of aquisition would add synergy but not the problems that taking over another company could bring to a fledgeling operation.

An aquisition down the line that might make sense would be a suitable CGMP rated manufacturing facility (in Australia) that could produce (in the future)an expanded product range using Cellestis's technology. Alternatively they could build one.

Certainly initially while sales volumes were small, contract manufacturing was the way to go. However, once sales volumes and product range reach a level which can cover overheads associated with going it alone then it is reasonable to take control of production. Keeping this technology "in house" through R & D, production scale-up and full scale manufacture makes sense commercially and logistically. i.e. a fully vertcally integrated product from R&D through to sales. Why not squeeze out every bit of margin if it makes sense.

Kist the reason for suggesting an early than expected dividend is that I believe Cellestis has now reached the stage where sales mommentum is in the "snowballing phase". Add to this the bonus in overseas income associated we the plunge in the Aussie dollar. I expect the September Quarters sales figures to be outstanding but I anticipate the December Quarters figures to be "exponentially" outstanding. Hence there will be much cash in the pot and the Board will have to give some serious thought to rewarding loyal shareholders. Sure build some capital reserves on the balance sheet, but paying a maiden dividend will do more for the share price than saying we a debt free and megabucks of funds.

I'll be happy with the odd unfranked dividend - as a self funded retiree I have enough franking credits to share around.