Except SRX was self funding through to commercialisation with still now only 56m shares on issue. Whereas OSL, no approvals, no sales and another $10m raised and now over 400m shares on the register.
It is still a speccy and there are question marks about the effectiveness and marketability of their product. But it you are a true believer or speculator then I would say getting a cap raising out of the way at what is a reasonable price gives a solid foundation to go from.
Having been a close follower of SRX for around 15 years I reckon it would be unlikely this will be the final cap raise for OSL even if they get product to market. SRX during their early expansion and revenue growth years dropped 2 or 3 consecutive quarters of serious negative cash flow whilst they built and invested in the business (production capacity, back taxes, sales force and marketing), and from memory cash balance dropped to around $6m before taking off and not looking back.
Sarge
OSL Price at posting:
23.5¢ Sentiment: None Disclosure: Not Held
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