Ann: CIB announces $30m order, page-66

The market determines prices, not the company themselves. If it was richly valued before, it certainly isn't the case now. The float for LIS was hot, and drove both companies prices up. It was a good time to raise capital and float LIS, which looking back today, was fortuitous for the group. Essentially from that float, LIS has enough funds to support it own commercialisation, and provide working capital to the other companies within the group (providing loans ect to other PPK holding companies). That was a very astute move by PPK, and I only wish they duel floated WG in the same environment! However it was not to be and today we are either staring at a massive opportunity or dismal failure, however the outcomes are not binary given the diverse investments within the group. The optionality risk at these prices is to me, exceptionally low.

PPK is essentially a holding company, with a slight quirk of providing capital, governance, administration and synergies to the businesses it has an interest in. Ultimately you just have to be confident that their allocation to the underlying tech investments will succeed. IMO LIS is massively undervalued and PPK is a proxy investment for LIS (buying PPK at current MC you get LIS and the rest of co for free). LIS need to finish the production facility and start to get traction with their partners, only then will we see a step change in both companies value. There remains the looming PPK vs Flynn settlement, which is weighing in on sentiment.

I have interests in both companies.