big few weeks ahead!, page-2

Interesting parts of article
1. Funding to be announced within weeks
2. Equity raising
3. Expects SP to go to 3c on announcement

In a matter of weeks, the satellite access provider intends to announce final funding for a $400m satellite, the first of two -- Jabiru 1 and Jabiru 2 -- scheduled to blast off in 2013.

"The reality has gone well beyond the dream," Mr Ballintine said.

Credit funding is expected to flow from French or US export development agencies. While a cheap source of money, the agencies have to be satisfied of adequate forward bookings to justify the launch -- which NewSat has achieved with a 75 per cent take up.

Mr Ballintine expects about three-quarters of the cost to be funded by these third parties, leaving NewSat to pick up the rest via an equity raising.

The rub is that such a raising would be highly dilutive at the current share price. Mr Ballintine is banking on the share price spiking once details of the long-awaited funding are announced.

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"We would like to get up to 3c, which is getting us to ASX300 territory," he said. NewSat also plans a concurrent stock consolidation to reduce its bulging equity base of 7.8 billion shares.