Very quiet on the news front while new CEO Mark Wilmott is settling in. Must be steady either way on the earnings front otherwise we should know about it coming up the EOFY.
It has often been mentioned that start up entrepreneurial IT companies are currently finding it very difficult to raise capital privately or through an IPO or shell company. The capital requirements for ASX listing through shell companies have been increased. The common ploy of reverse takeovers through cash strapped junior miners has been made very difficult by increasing capital requirements and shareholder integrity. The ASX has suspended the small miners being used for this purpose until they meet the new tougher measures.
This will now make it far more attractive for young innovative IT companies to look to cashed up listed companies like Corum to provide capital to fund their investment in growth by the owners taking an operational and equity position possibly through a merger or takeover. Perhaps some of these companies might even be knocking on Bill Paterson's door already.
COO Price at posting:
9.3¢ Sentiment: Buy Disclosure: Held
