Potential 20 Bagger, page-213

I am as bullish re the next person re the macro and FA facing PEH. I've siad so in numerous posts. Plus my buoyancy is boosted by posts from poster 'thevagrants' who works in the industry and is aware of the compulsory obligation forced by law onto municipalities, State and Fed govts to monitor noise, dust, pollution levels are not exceeded when new (and necessary) infrastructure is built..... ALONG WITH the HUGE dollars these statuary bodies throw at keeping contractors within the legal limits. Hence, I am a shareholder.

But am also pleased the issue of a significant number of converable notes (CN) ( price 3.37c) has been re-raised. It def IS an issue and should not be swept under the carpet! On 18/12 company founder Richard Ormerod converted $540,000 worth. It immediately collapsed the SP from 15c to 12c. The SP spent the next 5 weeks drifting down and bottomed at 8c on 23/01. Hence, the effect was dramatic/traumatic. Without doubt some shareholders cashed-in in anger and won't return. Who can blame them?

But Ormerod has seen the damage he caused. he and his family remain the biggest shareholders in PEH. It's not in his interest to repeat the process. He doesn't have to convert more CNs anytime soon. It's not as if he is about to miss out on a dividend payment. So my sense is he is unlikely to repeat the process anytime soon. ESP when we are on cusp of launching the company maker Envirosuite2 into the huge cyberspace cloud. It wouldn't make sense, wouldn't be ethical and he has seen how trust was damaged.

Confidence in PEH is returning and is clearly growing. Founder needs to show he too is committed to company's future and be patient. There are ASX laws against directors buying shares within 2 weeks of a significant announcement. It may not legally apply to CNs but ethically there is little/no difference imo.

Let's see what happens and hopefully we all benefit.