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24/07/21
02:26
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Originally posted by septa:
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A lot of the points are worth considering when it comes to back door listings. Most have failed already ==> true.. But Nuheara hasn't, and is generating revenue (they are losing money still, but are showing signficant growth with a high chance of moving to cash flow positive) VC's wouldn't touch it ===> true, but that was because it had no revenue... It now does. So that's now a moot point. Samsung pulled out of a takeover ==> there is no way this is negative... The fact that samsung were even sniffing... Even knew WHO nuheara was/is, demonstrates that it's signficant enough to get the attention of the majors... Now we also have a deal with HP.... So basically we have a high risk (some may even call speculative!) stock, that is generating revenue (albeit cash flow negative) that has had interest from two of the biggest, A grade tech companies in the world. How many reverse listed tech/hardware companies have had one A grader sniffing around and done a deal with a second A grader company? I'm guessing not many. For me, this is why I like Nuheara... But it is a speculative investment. It's cashflow negative and it's definitely not a market darling at this stage. Personally, I feel it has enough going for it to get cashflow positive and I feel if it does, it could become a market darling and re-rate.
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In a giant corporation like HP these decisions are made by middle managers with fancy titles and not much real responsibility. The 'investment' (~$1-2 million) is essentially zero relative to the value of the company. These premium laptop buyers will already own (far better) high end wireless buds and probably don't care less whether the 'free' buds even work. It certainly isn't a selling point.