Ann: GENERAL: PLX: Plexure investigating ASX listing, page-123

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ghostnz

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16/09/20

09:48

Post #: 47374904
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Originally posted by canadianaussie1: ↑

Well they want to so the reasons would be shareholders voting down the transition to the ASX. My understanding is they want to move to the ASX for liquidity and to get more funds involved. A lot of funds can't invest in the NZX but can for the ASX. And this won't change after the NZX was hacked (DDOS attack) for 4 days in a row.

Could they raise $50M on the NZX? Probably. But the company is undervalued. It will rate much higher on the ASX resulting in less dilution to shareholders when $50M is raised.

It's probably only a small handful of vocal investors and/or the NZ SHA but why in the world would you vote against an ASX listing? You're basically saying you want less money on your investment.

Management has a proven track record of strong capital management and there are incredibly strong leading indicators for growth - doubling of staff already with many more job ads on their website (last I checked there were 12) and a massive uptick in capitalised development costs (up 4x yoy) which is "increased resourcing for product improvement and new product development". This has already been spent - big things are coming.

They haven't spent this much on dev costs since 2017 and we all know what that lead to.

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I wouldn't say if the company is under valued and will let the market to decide. However plexure requires cr funding for growth and expansion. Regardless it's listing on asx or not, I will definitely support their cr regardless the risk of share dilution or not. This is a long term investment as I'm not a trader.

Price at posting: $1.39 Sentiment: Buy Disclosure: Held
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