Referring to the financials issued on 27.8.18
Please note that all numbers are rounded and referenced to the financials with page numbers
Expenses
Expenditure for 12 months - assume most recent base $1.5 million - p24 second line from top - payments to employees and suppliers
Of this amount $850k is legal which is done and dusted - p26 second bullet point from the bottom
True annual expenditure = $650,000 or $162,500 quarterly
Revenue
Aus industry grant $600k August 18 - p26 5th bullet point from bottom
On the same page earlier bullet point talks about $327k from Peters. This amount was actually $1million with later share issue coming through in late 2018. The section talks about additional $78k from Alison which is almost not significant to worry about.
Cash
Cash at bank $200k - p22
Current Working capital
=Cash + Revenue (Grant and Capital Raising) Less two lots of Quarterly expenditure
= $1,470,000 left in the kitty
Even if full annual expenditure is taken off (4 quarterly amounts of $162,500 or $650,000) there would stil be $1,150,000 left in the kitty. Either way i believe there to be at least $1 million in there presently either way you look at it. So no issues with cash.
The product is ready for commercialization, therefore i would imagine next capital raise would be at announcement of production. I believe that the announcement of funds being raised for production would send the SP upwards more than anything. When this all realizes i think that SP wont be 2.8c or anywhere near it.
All numbers are estimates and i have done this on the go as i believe many would be keen to find out. As a bonus and just my two cents, I believe the fair value of this little gem should around at $20-50 million MC which would make it a 5.5-11c target. MEM has a working product, with paths through production via KOLS, strong management and sound financial backing. The only missing link at the moment is the lack of awareness in the market due to the long term neglect. Let me know if anyone gets a different working sum and all feedback is welcome. DYOR and good luck to all.
