Ann: Research and Development Grant Received, page-77

Hey Holla,
After some time off, lets agree to move on from calling each other names and this whole 'upramping' vs 'downramping' dichotomy and focus on the stock

As per the quarterly previously announced, cash position at the end of Q1 2017 was $2,553,000. Now that the R&D rebate has been received, which is great news, we can rely on the estimates that were provided for Q2 2017 as per below.


This means we can assume, based on the company's information, that the company's cash position will be ~$2,304,000 at the end of Q2 2017. Based on expenditure forecasts (provided below), the company therefore has $2,304,000/$365,000 = 6 months of cash flow remaining. Therefore, one can safely assume that if the status quo remains, a capital raise will be required by May 2017 at the latest.


As you mention, a capital raising isn't necessarily a negative, rather it is an inevitable fact of running a speculative, small tech company. Assuming some contracts are signed before May, the capital raising would almost certainly be above the previous 3.5c raise, which one can only assume the market would see as a positive.

HOWEVER, as you mention, news of contracts (summary provided in one of my previous posts) could obviously render all of this analysis obsolete. The company doesn't operate in a static environment, and the news we are expecting this month could change all of this. News of the $500k-$3m contract and the Engineering contract awaiting signature are the main catalysts this month, and there is nothing much any of us, as uninformed investors, can do to predict the exact timing of when these announcements will come. All we can really do is wait and have faith in the company.

I'm hoping we can move on from previous disagreements. As you will notice, my post is 100% factually derived and acknowledges that this analysis is obviously fluid in an environment where at least one contract is expected within the next 21 days.