Well I have to disagree. You are trying to provide legitimacy to what are merely your guesses as to $30mm.
The $30mm of issued capital arose because of what we all seem to agree on, and that is inflated valuations at the time of the IPO - valuations which were often based on CR’s which were not sufficiently arms length or which were undermined by conditions hidden (eg the real state of Hydroworks).
Using the $30mm as an historic costbase ignores the uplifts at IPO (no matter how flaky) and on the other hand ignores the historic costs that occured in the precursor vehicles. The two do not cancel.
6 years as an average length of the investments is also a flawed guess. I first invested in one of the PH funds in 2014. My recollection is they had only been investing for about 3 or 4 years. There may have been a small incubator or something operating prior to that?
There’s enough rubbish coming out of PVL imho, that there should be no need to invent embellishments.
As an investment for me this has been rubbish, but then it’s not unique, they’ve just been less professional at covering their spruicking than many of the other shysters. Anyone remember Brierley, Equitycorp, Robt Jones, Judge Corp? How about AirNZ in 2001? F&P and Nuplex during the GFC? I could add numerous Aussi mining coys.
EL
PVL Price at posting:
25.0¢ Sentiment: Hold Disclosure: Held
