Hey BB, something to think about and reflect on;
May need to put aside the issue on the ‘trustworthiness’ we have with WP, despite the present postion Admedus has found itself in and move on, as hard as that may be.
Without this strategic cornerstone investor, SB, Admedus may have had a hard slog ahead of it, imo, convincing shareholders that this CR WOULD be the final traction it needs.
Why is it different this time?
SB not a ‘two bob’ outfit nor a retail investor nor ‘hoping to make a bob’, that they have invested in Admedus shows they believe in the ‘science’ (Admedus IP) and that they believe they can CREATE value, (perhaps tie up their AI interests,)
With three representatives from SB on the BOD they can directly influence; financial engineering, governance engineering and operational engineering, to the gain of adding value to Admedus.
FE; can provide strong incentives to mangerment teams to realise goals.
GE; More actively involved and able to influence BOD decisions, more so, perhaps, then top twenty holders that do not have a seat on the board and definitely retail holders.
OE; They can bring on board industry and operating expertise that Admedus could not quite ‘pull off’ and realise Admedus IP in a more timely manner.
SB, absolutely, after a ROI, would not invest otherwise, they will definitely aim to increase/create value, which should reflect, you would think, on SP APPRECIATION.
They will regularly ‘replace top mangerment’, (not suggesting it would happen, just a general reference that may apply to any PE group), if need be.
That SB willing to take ‘shares’ in lieu of cash (loan repayment) shows, imo, their interest in acquiring a futher s take in Admedus, accumulation via market will also be telling, imo.
End game; either ‘flipping’, after adding/creating value or taking Admedus ‘private’, I don’t know their MO so I can not hazard a ‘guess’.
Conclusion; SP appreciation, but to what extent?
Lack of SP appreciation; highly unlikely, imo.
Bottom line: upside should surely outweigh downside, all depends on what a investors average entry point is, imo.
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