response from alan shortall..

Well you can't say Alan doesn't take the time to keep shareholders informed... here is his email... I questioned him on why is there no directors picking up shares at these record lows... i questioned him about cash burn, i questioned him about commercialisation and here is his response...

Hi John, in my opinion there is a naivety in the investment community in Australia. By any standard what Unilife has achieved in 2 years is exceptional. A successful, sustainable global business is not built overnight. It is built on sound , well thought out strategic planning , which should anticipate most contingencies and then the day to day implementation of that plan. It is also about having a sensible, achievable vision and not running the business by knee jerk actions, to satisfy the short term lust of the market. This is what Unilife is doing and will continue to do. It is extremely difficult to keep our shareholders informed and not break the disclosure laws or to appear to be spruiking the stock price, which most of our competitors in this sector do.



We are now sitting with $12 Million in the bank and our burn rate is approx $400,000 per month, so running out of cash is not an issue. Again this was anticipated in our strategic business plan. The SPP was , just a method to reward the shareholders for their loyalty, at the same discounted price , as was offered to the institutions in the recent capital raising. It won’t make or break us. There wont be any significant delays and if something unforeseen happens, I guarantee we have built in enough contingencies in the business plan, to cater for it.



The market does not seem to have got the message that Investment funds like, Maquarry equities, Telstra Suoer Fund etc etc, would not have participated in the recent capital raising if they had not had an in depth look at Unilife , being thoroughly satisfied with everything and believed that there was good value in the then share price of $ 1.20.



John , I must say that I believe that it is somewhat naive to consider that the purchase of shares in a company by the employees or directors is a barometer on their belief in the project. The directors and staff in Unilife have more “ skin in the game” than any of the shareholders and will be more than amply rewarded through the employee option plan, provided they deliver to the shareholders. There are also many legal trading restrictions that make it extremely difficult and can compromise the best interests of the general shareholder base.



Getting orders has never been a problem for Unilife, we have had many offers and we believe that it is more prudent for our shareholders and deliver better financial return to hold off. To use a military term, “ hold your fire until the last minute, till you can see the whites of their eyes”, it is the prudent brave soldier that can hold the line and it is what differentiates the victors from the wannabies.



We have a range of product technologies that are unique and the most advanced in the world. The market will see this in time and the patient believers will be justly rewarded.

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Here here!! He is growing on me actually...