The use of funds outlined seems to make sense with some of the things that have come out in the 4C's, however it would seem from my interpretation of the annual report that the Medivet business hasn't been as robust as everyone first thought. More investment here probably makes some sense. But, if this is the case, then that means that the "old" MLA business, the TUTA products, must have really turned around, and about time many would say. TUTA, when it was at Lane Cove, had a great reputation, but unfortunately, in recent years all I could see was sad neglect of a once great brand. The performance by the new team since the beginning of the calendar year seems to have understood what an asset they have. The previous management was top heavy, bloated, liked making the "big" announcements and seemed to enjoy the perks of office too much.
I for one will be taking up the rights and I expect that most savvy holders will too. Anyone want to hazard a guess how long it will be before we reach $20m in revenues and 15% return on sales??
MLA Price at posting:
7.0¢ Sentiment: Buy Disclosure: Held
