General Meeting 2025– does it pass the pub test?

Does the GDA-GM proposal meets the pubtest?

The Board stated 30c was a grossundervaluing of the company, and that GDA should be valued at $18-$20/litre.Hence, we approved de-listing from the ASX.

The proposed performance targets for theBoard/Leadership are baselining performance as anything above 30c and the $18-$20/litrehas left the equation.

In detail:

The performance incentives are dependenton GDA achieving specific targets, including share price targets:

- $0.90 EoFY 2028

- $1.20 EoFY 2029

- $1.50 EoFY 2030

I value GDA to be between:

- $2.04 to $2.27current value EoFY 2025

- $2.72 to $3.03 EoFY2030

To obtain shareholder approval to de-listfrom the ASX, the Board stated the following:

‘The Board believes the Company remains significantly undervalued (at $0.30)by the market when compared to typical industry metrics such as sales volume,revenue, market share, and brand positioning.’

‘The undervaluation is evident when comparing GDA's enterprise value -which reflects a value of approximately $4 per litre for GDA’s core business(excluding hospitality)…

...to typical industry valuation metrics, which range between $18 to $20per litre based on factors such as sales volume, market share, brand growth andbrand margins.’

I estimate the current value to be above$2 with an incentive-based stretch-target above $3.

e.g.

- 15 million litres(current volumes) at $20/litre = $300M company value

- company value $300M /shares on issue (132,131,680) = $2.27 share price.

The Board stated the following:

‘typical industry valuation metrics, which range between $18 to $20per litre’

‘current volumes 15 million litres/annum, with a goal of achieving 18-20million litres.’

Your thoughts?