Am about to radio out for the day but the following is a compilation of all the MISLEADING or outright WRONG statements Blommer has made today in respect to AJX. In particular the calls of them being close to bankruptcy and the incessant statements that they need to refinance firstly September just passed (with 3 exclamation marks), then end of year, then end of next financial year when in fact they do not need to refinance until end of September 2020. My suggestion as always is to do your own research as people, however well intentioned or otherwise, will often portray incorrect information through lack of understanding or ignorance. It's your money, do your utmost to protect it based on correct information. Have a pleasant weekend.
One really does wonder how many accounts have a closer association with the company than just being a shareholder.
Financials have not been improving. They are closer to bankrupt now than ever before.
I am certainly not making things up. A repeat of last years performance would see them without cash and with millions in negative equity, with $9 mil debt. That’s a recipe for bankruptcy.
And you you certainly don’t sell when the news is bad, you spend your time trying to convince everyone how the results are actually good.
Date debt due: Sept 30 2019 (!!!)
Current cash requirements now include debt repayments of $9mil since it’s due in less than 12 months
AJX is odd because a bad report comes out and the commentary will be extremely positive!!
Their recent financial report was so concerning even the auditors made clear they were not satisfied with the valuation on the balance sheet.
The potential negative equity is significant because they are refinancing their debts this year. Most people understand this is significant, it gives AJX less room to negotiate.
Until then my base case is that extrapolating that trend will likely lead to poor estimates of 1H
Keffola is right in that they need to book something that looks like profitability very soon. If they do, they will get their funding. If not it’s unlikely
The board could hardly keep their jobs with a different opinion.
Being EBITDA positive is what they need, though I’d refine it to EBTDA without the I, given their low equity.Until then I’m high skeptic they can try the debt refinanced.
this financial year mak.
Use your headso you, me and AJX are all saying they are seeking refinance this financial year.
