I'm flabbergasted by developments over the last 12 months. The contrast between where we were this time last year and now is stark. This is how I see it... opinions only, based on publicly available information, and I don't claim to have assessed all the available facts by any means.
Last Year Now 1 Excited about the "imminent" results release from the newly completed independent clinical trial. More than six months after results released and still waiting for some tangible sign of interest from distributors and target markets. 2 Waiting expectantly for lodgement of FDA application, which we believed was the last great obstacle between us and commercialisation. FDA application has been submitted, but we now are faced with a "long, expensive but well-tested road" to commercialisation. You would expect that the company would have known about this road a year ago, and might provide a little insight into what it entails; but no... nothing. 3 Sitting on a sack full of distributorship agreements, all champing at the bit, just waiting for clinical proof that the product is effective. It's worth nothing that we weren't waiting for approval in Europe because we've had CE Mark for quite some time. Still sitting on a sack full of distributorship agreements, but apparently not inclined to do anything. It's worth noting that the last quarterly report projected a lower spend on manufacturing in the December quarter. 4 Undergoing a product redesign with an established manufacturer to improve comfort and practicality for users, and to reduce manufacturing costs, so we would be ready for the orders as they started rolling in. Not getting orders, not manufacturing, not (apparently) planning to manufacture anything. 5 Inventor and developer of the product in the driving seat, validated by the unprecedented results foreshadowed by clinical study team. Inventor and developer of the product has moved on, handing over the reins to a new CEO from a not-particularly-relevant industry background; software and services, where Neurotech is a manufacturing and distribution business. 6 Cashed up, ready for business. Out of money by the end of next quarter. 7 Expecting a revenue flow to begin in the near future, which would have provided a foundation for seeking working capital from the market. Pretty much out of options for funding. A look at the order stack shows that the market isn't going to be interesting in chipping in working capital. That really only leaves a licence agreement, or a takeover. If you have better information or alternative interpretations I would be only too glad to read what you think.
I'm very bearish on this stock.
