In order:
- The business was going to become insolvent if it hadn't gone into voluntary administration: it was unable to raise enough capital to carry out its commitments. Cash at bank is not the same thing as being solvent into the near to medium term.
- Current assets only show the company's ability to pay its short term debts. They say nothing about the long term debts and other liabilities the company might have.
- Creditors have not made any moves that we're aware of. The only notices we've received are the updates from the administrators. Those don't tell us what discussions (if any) are being had with creditors, where those discussions are at, or what the likely outcome of those discussions are.
- Continuity through administration is somewhat important; given that the board called in the administrators, they've shown a degree of responsibility, so the administrators might have chosen to let them continue for the time being while the situation is untangled and determined in detail. Ditto with regards to the senior management. It's easier to work with the existing management than to bring new people in and try to extract information from the old.
Ultimately, we're here pontificating about the unknown. I have no skin in the game, beyond wanting to see the technology have a chance at success for the sake of our society's future - I have no further relationship with the company as a customer now that my battery is out the door, and I have no holdings in the company. My feeling about sale of assets and winding down the business comes from the unknowns: how many batteries have failed; how many batteries are yet to fail but will; and how much that liability will end up being. If I were a prospective purchaser of the company, I'd not want to have that millstone around my neck, so I'd negotiate for the assets (knowing that since I won't take the liabilities, the asking price will go up accordingly.) Recapitalisation requires bringing in more money from investors, and the company has already demonstrated that that's no longer the easy game it once might have been for Redflow - something significant will have to change before new investors are likely to buy in.
Neither option is out of the question. I'm simply not convinced that there'll be enough of a story there for the company to recapitalise and relist; much will depend on how much the company can, and will, change in the areas of concern (which, for me, are primarily management related.)
Time will tell - and in any event, shareholders have no power to influence the outcome at this stage of the game. All that can be done now, if you're still holding stock, is to put the shares in the bottom drawer (metaphorically speaking) and see how things pan out.
For your sake (and the sake of other shareholders), I hope your estimation turns out to be the right one. I would be very happy to be proven wrong in my estimation.
(20min delay)