ADO 5.26% 2.0¢ anteotech ltd

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  1. 1,309 Posts.
    I will be taking up my full allocation and then some. I can see the naysayer's point of view, but in my opinion it is absolutely flawed. It is easy to say, the company was getting no penetration, so they have "bought" themselves some revenue, and in a way this is true, but ultimately Anteo have bought themselves far more than revenue.

    After purchasing Diasource, the company will have a worldwide certified production facility, with a sales and distribution network that sells to over 75 countries. Now imo, it would have taken Anteo many years and many millions to come up with anything close to that.

    Now why is this so important?

    Anteo started with what they considered to be a very valuable and disruptive technology in M&G. They considered it disruptive enough to create a business plan that primarily involved them shopping the technology around to large companies in the hope that they would add it to their production lines. Now imo, the trouble with these big companies, is as long as nobody else takes up the technology, then there is really no great need to take it up yourself, as all you are doing is creating unnecessary risk. So imo, this is where it gets interesting.

    Once Anteo have a certified production facility and a sales and distribution network already in place, they will be able to create any new product's (test's/beads/etc) they want, and then market and sell them through the existing network. Now we all know that using M&G, you can create these products at a significant discount to any other manufacturer out there. So they will have the ability to create a new product more accurate than is currently available and then they can come out and offer it at half of the price compared to what is currently available.

    Doing this will realistically only leave their large competitors with two options, 1) Adopt the M&G technology in to their existing product lines, or, 2) Buy Anteo. IMO it really is that cut and dry.

    Just read this quote from Diasource themselves, remembering that they chose Anteo over many other potential suitors. Now if you really read it you will get what I am saying above.

    "DIAsource and Anteo have complementary capabilities: Anteo offers advanced (nano-) technology for diagnostics, R&D capabilities, and DIAsource offers industrialization, supply chain, manufacturing and commercial capabilities".

    I purchased my first Anteo shares about 5 years ago at just over 4 cents, and have watched the evolution on a daily basis, so for me personally I find it pretty easy to see where they are heading. I will be the first one to admit that the business plan they started with did not work. As great as the technology is, they just found it hard to get market penetration as I am sure it is for any new technology, no matter how great. The thing is, I have seen that business plan evolve into something that I personally believe will work, and is currently in the process of doing so.

    So those that come on here and say "this year will just be like all of the others", well you are wrong. If you were to take an honest look at it, then you would see things will be very different this coming year.

    Now to add to all of this we have the absolute blowout potential of the battery tech. I have heard many on here say that this is years away from having any value, but I could not disagree more. In the interview on Eureka, Geoff said himself that the battery patents were about 6 months from being filed, and then once proven they would "shop the technology around". So if the patents are done in 6 months and it is proven, and then Anteo say they are shopping it around to the like of Apple and Tesla as stated in the same interview, what do you think happens to the share price then? In my view we are only 6-8 months away from seeing huge value from our battery tech, remembering we don't need to be producing batteries to see value, we just need a partnership with a big player to blow the share price sky high.

    I have heard some varying opinions and a fair amount of whinging over the last week or two since the structure for the DIAsource payment structure was released, but I'm not sure why? The company has taken or exactly the right amount of debt at attractive pricing, and actually given the shareholders a crack at participating, which is a pretty good thing to do when they could have just placed it to an insto without the hassle, and not even given us a look in. I mean apart from the issue price (which does not really matter because you get it anyway) what would anyone have changed? Very little imo.

    So you can listen to the couple of sad sacks on here trying to tell you how bad everything is, without really knowing what they are talking about, or you can open your eyes and realise that you are right now getting the opportunity to jump into what will be an extremely exciting stock over the next 6-12 months, at a price which I personally consider to be very cheap.

    I have tried to stay off the threads lately, but some people just have no idea, and when they price is low and your portfolio looks average, it can be easy to lose focus and actually start believing some of the bs going around, so I thought this an appropriate time to put some of my opinions to screen.

    All I can say is cut through the crap and focus on what is happening right now with the company and you will see enough to make the right decision. Good luck.
 
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