I have been in and out of NOR and would buy back in post CR
with NOR having enough cash in the bank to last a while,
and with announcements (app release - sign ups) not all used up in pumping up the price for a CR.
Even a big price pump will get cancelled out IMO by trading halt followed by CR.
$10m would = -33% ish and need share holder approval
$20m would = -66% ish and need share holder approval
Plus what if the CR is all institutional which has been the NOR MO in the past, there would be only watering down and averaging up to look forward to for retail investors.
From my experience the way this normally pans out is
price pump shortly followed by
trading halt,
ann a CR,
trapped,
resume trading
catch a falling knife.
On the other hand there could be 6 telco's who signed up for $3m a 1/4 and revenue would be cash flow positive, no need for a CR.
Or there could be a T/O offer or Telco insider trading knowing they are about to sign.
50/50 win big or lose big.
How this is handled will win or lose long term trust if, institutional and those insiders who started the price rise today win big, loyal holders get $h@t on from a big height or offered crumbs.
But at the end of the day it will take cash in the bank to add stability, either a big CR or $3m 1/4 revenue deal.
Regards Mark H
NOR Price at posting:
3.8¢ Sentiment: Sell Disclosure: Not Held
