Ann: Appendix 3B, page-21

This is the only negative I have to say about NUH - not that it is in any way unique to them.

There were also 44 million shares in 24-month escrow (12 enforced + 12 voluntary) that were quietly released after CES 2017. They were still restricted on 31 Dec, but not when the next 3B was announced on 21 Feb.

I'm assuming this is some loophole where the end of the voluntary restriction doesn't need to be announced because the ASX restriction already had been, but the especially confusing/dodgy part is that the 2016 Annual Report stated the 12-month restriction was ending on 2 Mar 2017, but the end of restriction was then announced on 4 Nov 2016.

The Annual Report also showed these 44 million (plus the other 151 million) as being restricted until 2 Mar 2018.

It would suggest that the plan all along was always to hold these shares until product launch, then silently release them and sell into the news. Perhaps they were ahead of schedule by launching at CES in January, but found another loophole that allowed the ASX enforced restriction to be ended 4 months early.

Note that the SP decline began around 21 Feb, after it was revealed that these shares were no longer restricted (and probably already sold). The next issue is that now there's likely 151 million more shares being released early November, which could well be what is now holding the SP back - in conjunction with EOFY.

These shares are already factored into the current MC, but I believe they were issued at 2.5c and no doubt the vendor will want to take profit. The more I think about it, the more I believe this is the reason for our SP woes - it isn't falling despite the good announcements; it's been held steady because of them. Perhaps this is also the reason the company has been holding back on some big announcements. They could be saving them to counter the coming influx of shares.