Ann: Successful Completion of $120m Underwritten Placement, page-239

One needs to keep investing in future products but that needs to be measured against future sales. DRO has taken $300 M from the market, and has combined loses of $30 M. At some point he has to recover that $330 M and return it to share holders in the form of profits, and then add more to pay for a return.

A further problem with the investment argument, is that Oleg is taking the money but most of it is sitting in the bank and it is likely to remain that way.

There is a pattern with Oleg's capital raisings. Each time he waits for a spike in the share price then raises capital that he doesn't need and hasn't used.

My take on it is that Oleg loves the engineering side (he's good at it) but doesn't really care about the shareholders or the share price (he sells an awful lot of his free shares and is already wealthy enough). The only thing that I can see that makes any sense is that Oleg is saving for a rainy day. If DRO gets swamped by competition and cant sell the product it doesn't matter because he has so much cash in the bank he can keep playing on his pet projects for at least ten years with the cash sitting in the bank.

I'm not suggesting that he doesn't care about sales, I believe he does. Why not make things better if you can? But he has built a fortress for himself at the expense of future EPS gains by shareholders. Personally, I prefer not to pay for other people's fortresses, particularly when one is not being built for me.