director buying, page-3

LTI,

The directors' buying over the last three weeks or so has entirely to do with the Rights Offer. NSP is an incredibly illiquid stock and normally the sale of just 100 000 shares could trash the share price easily. The SP had to be kept above the 20c Rights price for success. Understandably, present stock holders (before close) could sell their shares at ~24c and buy them back in the offer at 20c. The directors and a couple of others, at some apparent sacrifice, have therefore arranged to keep the price above the 20c level. But note that the NSPOs distributed also have a significant value.

Because of the past history of this company in different guises, management has to restore it's credibility. It has been a dramatic learning experience for them and they have been analysing every fine detail as they proceed in additional new directions while maintaining and improving their bread and butter lines. These new directions, SpermSep and ProteomeSep, are direct applications of NSP's patented separations technology, and the ProteoIQ analysis software is a jigsaw puzzle end-on fit. The very convincing forward view, coupled with having actually turned a maiden profit, has made the fundraising a major success. It was a real test.

The only drawback, if any, appears to be that the investment community don't yet know about it. When the final clinical trial of SpermSep is completed at the end of this year the commercial launch should generate some excellent media publicity. Linking high tech directly with the birth of babies is a practical application everyone can relate to.

Juke