20 cent club, page-30

Hey @uninformed82, thanks for sharing your views.

One thing I’d say that differentiates the likes of IOU from others that had pretty irregular price action in Q1 is that IOU ended up with $50,000,000 extra in the bank.

I agree the run up in February wasn’t normal movement (I don’t think that’s what Stig was referring to, more the yo-yo action between 30c and 45c that’s been seen in the last quarter).

However the BOD responded to an opportunistic raise and good on them - in my view Clee Capital (and IOU) both clearly understood a large CR would be required to bankroll any initial BNPL action. As an aside, people like ExtraPace who are moaning that IOU have done nothing with their cash pile clearly don’t understand the simple principle that to run BNPL you need a cash pile upfront to pre-fund purchases.

With that context, far better that the big run up occurred and both Clee and IOU were able to get a very large (for a small cap) CR put away at a 50c price, which resulted in far less dilution and/or much more cash, than if they’d tried to do it at 30c or 25c.

This is a real differentiator than the other small caps that had big runs (and heavy falls) in the first quarter, in my opinion.