I believe $2.50 SP target is unrealistic given the amount of dilution that's occurred and will continue to occur before the constellation is up.My rough ball park is a 30-50c target within 3 years but even with a 20c target there is still huge rewards to reap here.
The SPP is not bad and offers a modest return even with a 20c target.
- SPP Take up = $15k @ 3c ps = 500k shares
- Sell at x 20c = $100k
- Minus your initial investment of $15k = $85k
- Now adding in your free options 500k x 0.20 = $100k
- Minus your exercise price of 5c= $75k
- $85,000 + $75,000 = $160k
- CGT 50% Discount = $80k
- Tax payable (37%) = $29k
- $160k - $29k = $131k
Not bad for a $15k investment?
If the first 16 go up, It's more than likely the full constellation will become a reality.