Couldn't agree more ! Great post. Sums up my point of...

First 16 Last

Share
Profile

Follow
Luke220585

1,383 Posts.

53

14/02/18

21:22

Post #: 31061110
Share

Originally posted by exberliner1 ↑

I am a partner in a bank that owns a VC fund focused on early stage tech and IT start ups. We base our valuations or creating various scenarios and cashflow forecasts / IP valuations for each scenario and then go out and raise the funds from investors.

This works very well until a quoted company enters the equation as then all cashflow forecasts go out the window and potential investors just look at the market cap of the associated quoted company and use that for their own valuations.

If our VC fund were quoted then it would be a real pig to run as the value of the unquoted investments would have to be less then the market cap of the holding company which can cause a both a virtuous circle or as in this case a vicious circle if you look at the SP

Being associated with a listed company is not always a bed of roses for the unqoted company as it can negatively affect the unquoted company's valuation if the quoted holding company is not performing with regard to its share price.

I suspect OOK's sp will languish until such time as one or other of the unquoted companies starts generating cashflow that reaches the bottom line of the holding company or one or more of the unquoted companies signs big contracts that will generate cashflow in the future and thus be the basis for an NPV calculation.

I think management need a financial PR firm to bang the drum on forward valuations for both bron.tech and Akela in addition to Otsana.

OOK remains on my watchlist but I would like to see more easy to understand communication from management and separate articles and research on both bron.tech and Akela investigating the upside for each. After all once potential investors understand each component part of OOK then they will understand the whole and that is what will send the SP up.

EB

Expand

Couldn't agree more !

Great post. Sums up my point of communication to the market on simple terms. Potential earnings, pilot contracts, contracts etc

I mean the whole Q&A announcement was garbage along with the other baffle that they chuck into activities reports. Only people well into block chain understand that stuff, not your typical investor.

We need clean cut announcements on Bron tech and Akela

Thanks for the post

OOK Price at posting: 6.4¢ Sentiment: Buy Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

MIN

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

ACW

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

WC8

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

Breaking news: New opportunities for investors & companies - HotCopper opens to capital raising!

There are more pages in this discussion • 7 more messages in this thread...

First 16 Last

Add OOK (ASX) to my watchlist

Couldn't agree more ! Great post. Sums up my point of...

Top Stories

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

Breaking news: New opportunities for investors & companies - HotCopper opens to capital raising!

Featured News