AEB 0.00% $2.57 affinity energy and health limited

Ann: Algae.Tec Announces Biofuels Refinery Deal , page-16

  1. 104 Posts.
    re: Ann: Algae.Tec Announces Biofuels Refiner... The pressure is on you Sdaji. (lol) Mind you, for me, you have become the litmus test for when AEB becomes a rock solid gold investment. I have come to admire your skepticism.
    There are 3 things in recent announcements that point to a very good future for AEB. 1. The Bayswater deal is sensational. Finally, AEB has a solid platform to launch the business which, all things going to plan, should now see mushroom (maybe algae type) growth for years to come. 2. The killing off of La Jolla Cove shows AEB is no longer worried about liquidity to meet day to day expenses. This does raise the question of who's paying then. 3. Stroud's buying is more than lunch money and shows some serious commitment to the (near) future of AEB.
    On the other hand, there are 3 questions that still remain to be answered. 1. Where are the boxes to be made to meet current demand? I would be surprised if Atlanta is able to do so. 2. AEB has been closer to Lufthansa than any other major. It has tested the algae oil and AEB has conducted its manufacturing to fine tune its oil for them. I find it of concern that things have not progressed as quickly as was expected. 3. This small company is going to incur massive debt over the next 3 - 4 years to fund its expansion. It might now be on track now to declare a div in 2015 but it will probably be a paltry affair while the company manages business and debt explosion.
    IMO, despite business growth, I think the sp will grow more modestly until until AEB becomes net operating cash flow positive. Too bad for the oppies
 
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