Interesting that the amount raised in the last placement keeps decreasing. Down from $3m to $2.4m because people pulled out - and now it looks like a max of $2.2m ? Will be interesting to get confirmation of final placement amount. The reality is that this placement is very short term working capital, and we now know they need to keep a minimum bank balance of 1.2m Euro (~$2m AUD) or they’re in breach of loan covenants.
They also received 1m Euro in prepayments, so even though they may be in a position to recognise some revenue with some of KSF1, this doesn’t translate to cash in the short term as it has already been received.
Precarious financial situation IMO.
KSS Price at posting:
18.0¢ Sentiment: None Disclosure: Not Held
