I went back over the last 7 months and checked the 3B's. Total number of shares issued for services was 4,063,777 of which 2,205,000 issued at 20 cents (with a very small number at 17 cents). I do not see any problem here. The relationship with the financier source goes back to 2014.
Sales are going through the roof, so there will be a small number of defaults. This all sounds like prudent financial management akin to factoring your sales invoices or a retailer providing on the spot financing. In any event the size of the individual contracts are NOT large, most are very small, so a large amount of repetitive work is involved in managing them WHICH INCREASES THE COST of each contract.
Many ASX entities have arrangements with funding sources to issue small equity lines to raise ongoing funds. POS is an example of this type of arrangement. There is nothing untoward with this type of arrangement.
AFR makes commentary about bizarre corporate "named" entities appearing on the register, is pure innuendo and crap. The name BIG UN in itself is bizarre.
This IS a public relations issue and BIG does need to provide further explanation i.e. what impact the financing terms are having on issued number of shares, and issue price.The recent IR did NOT address this issue.
IMHO this looks like a storm in an AFR teacup that bears NO RELATIONSHIP to the destruction of BIG equity in the range of several hundred million dollars. BIG needs to release a second IR and address this issue ASAP before more (small and uninformed) shareholders (who read AFR) are "conned" into selling their shares to the professional sharks who are going to make a big killing.
You do not need to read AFR to understand the market. Everything is on-line and free.
BIG Price at posting:
$1.60 Sentiment: Buy Disclosure: Held
