buy depth continues to build, page-9

re: buy depth continues to build...captain salty.. Well there you go...

Started where it finished...in spite of the brick up at 18.5c?

lol...he didn't seem too keen on selling now did he...I wonder if he will be there at the open tomorow?

I am dumfounded this is not already in the mid 20's...I know the market is slow, prefering to leave everything to the last minute, and I know there are those trying to hold it back...but sometimes one really has to laugh.

I was so tempted to take out the entire 18 and 18.5c lines today...but I guess like everyone else, I could see the benefit of patience to perhaps get a better price...although picking up the volumes that were on offer at these levels today, would have saved a lot of messing about to get similar numbers lower.

Worse case scenario...

Assumed shares on issue, fully diluted including fully paids, options and placement = 150m
Cash at hand (after placement) = $5.5m
Cash from optons conversion = $5.6m

Cash backing = 7.4c per share

Assume in-specie distribution at the lowest ratio of 1:1.88...(ie = .53 in specie shares for each JPR share held)

Assumed value of in-specie shares = 50c

Value per existing JPR share...

1x JPR = .53 x 50c = 26.5c
Cash backing per share = 7.4c
Total value per share = 33.9c

The above total does not allow for any other assets in JPR, any inherent value in management, or any inherent value from future "corporate" activity...lol...will say no more.

This is a seriously cheap stock...it was at 16c when I started buying...it still is now!

Example...buy 100,000 shares JPR @ 18c = $18,000...you will be entitled to 53,000 in-specie shares, valued at $26,500...and you get to keep the JPR shares!

Even if they fell to zero afterwards (which clearly will not happen given they are likely to be carrying 7.4c per share cash), you would still be up by some $8,500

In fact, to lose on the deal buying JPR at currrent levels, the Biodiesel float would need to trade at about 25c post listing date (not going to happen), combined with a JPR price trading at less that 4.7c (lol...also not going to happen)

Which ever way you look at this...what ever contingencies you apply...it keeps screaming out "no-brainer".

Just need to have the patience to wait 6 weeks or so for the record date.

My guess for record date eve...

FPO's = 36c (currently = 18c)
Options = 12c (currently = 1.7c)

Not a bad return in just 6 weeks on current prices...virtually guaranteed!

Cheers!