I guess the big question is whether the market price will stay above the issue price. If it does and one has access to cash its a no brainer even if its for a quick profit on-selling.
The big threat to the share price is the half yearly accounts but the arbiters could get in and out before the half yearly accounts hit the stands.
Phill has put the hat out to his network with out disclosure. Would he do that if he knew the half yearly was going to drive the price down ?
What do we all know.
We have been told Chinese sales were a disaster and the JV has been sold at a loss
Six months of review and restructuring has got to be a drain .
If they want to go the whole hog clearing out the balance sheet with write downs, The placement and SPP will look like a "no disclosure" rip off unless they have a hollow log that Phill can raid.
The factory could be that hollow log. Revaluing the building which has been on the books for a while might incur future depreciation costs but could balance a lot of the bad news at a time where reputations are at risk..
Interesting Month ahead.
VMT Price at posting:
5.7¢ Sentiment: Buy Disclosure: Held
