Corona Contracts & $1M+ Carrier Deals, page-813

Hi mate,

I agree that they probably won't be raising any capital in FY17 if at all, because the market will give up hope unless they can convince new investors that they can stop hemorrhaging cash, in which case they may continue to receive a bit more funding.

Putting out a cost cutting plan and talking about deals are around the corner is one thing, but analysts would look at the numbers and struggle find value in this business. I don't think any of the brokers or fund managers I know would be factoring into their models potential Corona deals that the market has no visibility of (i.e. size, length, costs, etc). All the market sees is a terrifying level of spending without anything to show for it. Nor don't have a track record record of delivering on their promises so why would the market believe them?

I think they haven't announced anything because they have no business deals to announce. The signing of a couple of corona clients e.g. eni and the Mou went nowhere, so I think you really need to work out how likely they are to sign any blockbuster deals given their cashburn.

Henry Emmett