My biggest issue is nex gen How can it not be finished We all...

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tallplumber

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13/04/24

13:45

Post #: 73329092
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Originally posted by FrankieAlfie ↑

It would be interesting to revisit the webinar where we were promised a world first. What did Justin present to us? If it was a working prototype, the chip must have been finished, and we are then waiting on FDA approval. What if it wasn't a working prototype? Then we were misled. I think all shareholders were given the impression that it was a finished product.
The last known figures we had were for the December quarter. They dubiously stated they had 1.7 million cash left and that it was worth two quarters. This was so dodgy because they included a one-off RD tax receipt of 1.4 million. This distorts the bottom line of cash flow. Take out the one-off tax receipt; they used 2.2 million per quarter.
In effect, they did not have enough cash for one quarter, let alone two, and should have reported this to the ASX.
How much cash do they have? Let's assume that they sold approximately 1 million in the last quarter. If they have stopped production, advertising and marketing, they save another 1 million. So, they can reduce costs to 1.2 million with all things equal. Further, have they started redundancies? Further saving potentially.
The point is that they have 2.3 million at most, maybe enough to last through June/July. Whatever M&A activity happens, it will have to happen quickly. Could it happen quickly? Miller may be the sticking point.
The board has known for a while things were not progressing well. Why hasn't miller gone? Well I'd suggest he has pretty favourable employment:
"During the Term, the Miller Agreement may be terminated by the Group at any time:
• by six months' written notice to Mr Miller, at which time the Group will immediately pay Mr Miller 6 months’
base salary in lieu;
• by three written months' notice to Mr Miller in cases of prolonged illness or incapacity (mental or physical); or
• by summary notice in circumstances where Mr Miller neglects to perform his duties, or comply with reasonable
or proper direction, or engages in serious misconduct.
Otherwise, the Miller Agreement may be terminated by Mr Miller at any time for any reason by giving not less than three
months' notice in writing to the Group. Mr Miller may also terminate the Miller Agreement immediately by giving notice if at
any time the Group is in breach of a material term of the Miller Agreement.
In the event of a change of control, Mr Miller will receive a bonus payment comprising of a lump sum gross payment of 12
months’ base salary."
Given that he was presenting the webinar I mentioned at the top, in feb. The earliest the board would have been able to move him on is may otherwise he is in control. If they sell he gets $400 000. Where will the money come from? May be paid out in shares? If it is six months then $200000 same.
Its a mess.

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My biggest issue is nex gen
How can it not be finished
We all believed it was going to be released in Jan
Did he not use it in the AUTOMIC webinar ?

NUH Price at posting: 8.1¢ Sentiment: Hold Disclosure: Held
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