Ann: Daily share buy back notice (Appendix 3E), page-4

Share buyback? What share buyback? DNA's sp has slid back to near record lows, yet the company hasn't bought back any shares since mid-December. I thought the board was supposed to look after shareholder long-term interests. Consider these choice quotations:

"Buying the Company’s shares at recent prices represents an excellent opportunity to generate strong returns." (16 Oct 2017) NOTE: DNA's share price was 44cps when this statement occurred, 35% higher than its current price.


"Our announcement of a new dividend policy, and a regular dividend program , along with the planned share buy back , are all testament to the sustainable cash flow that Donaco generates and our commitment to building shareholder value. ” (29 Aug 2017)

"We also announced the implementation of a non-market share buyback program, which also commenced in October. Both initiatives are designed to reward our shareholders." (23 Nov 2017)

I doubt that shareholders currently believe in the board's claimed commitment to reward shareholders. Consider the following:

1. The price that "sophisticated investors" paid for DNA's cap raising shares in March 2014 has plummeted by more than 75% (then: $1.33; now: $0.325). No doubt, some of those professional investors suffered career damage over that buying decision.

2. Shareholders who bought into DNA's cap raising in March 2015 have had seen their capital shrunk almost in half (then: $0.60; now: $0.325).

3. DNA is now actively followed by only one investment house. A year or so ago, at least three brokers covered the stock.

I can understand that DNA wants to hold back much of its share buyback funds in case the conflict with on or more large shareholders results in stock dumping, but there are enough funds for the board to live up to its promises by systematically and regularly acquiring shares at these low prices.