waggingthedog>"I'm going to be very surprised if they can raise more money."
Here is another back of envelope calculation. At the end of December they has $613,000 in the bank. Let us assume the mysterious $265,000 has been banked, and the $500,000 R&D refund has also come in. Let us be generous and assume another month's income of $25,000 has also arrived. Add that lot up giving $1,403,000.
There has been no indication that expenses have changed since the December quarter, so they would have spent $760,000 in January, leaving the bank balance at $643,000 at the start of February. We are now halfway though February, so this month they have had further expenses of about $380,000.
That leaves their current bank balance at around $263,000, with expenses of about $25,000 per day. At that rate they will be broke before the end of the month. In practice they will have been slashing expenses, so they should be able to meet their February payroll, but it will still leave them without a bean at the start of March.
They can not be choosing to run this close to going bust, so the conclusion has to be that they are having serious trouble raising any more funds. Any day now the stock will be suspended again and everything will hinge on the following announcement. This time it could very well be "we have exhausted our cash and are unable to continue trading."
IWG Price at posting:
13.5¢ Sentiment: None Disclosure: Not Held
