"They're not accepting a take over bid at 17.5c So a cap raise with a new plan is inevitable."
Quite evidently, you have never even taken just a passing glance at Selfwealth's Statement of Financial Position, let alone studied it in any detail.
Because, "cap raise is inevitable"?
When the company has zero debt and $12.5m of cash in the bank and on call, that cash balance having risen by $1.8m over the 12-months to September 2023 (and almost certain to have risen further since then)?
And when Current Ratio (Current Assets to Current Liabilities) @ 30 June 2023 is 3.7x, up from an already healthy 2.3x twelve months prior?
And when Net Current Assets (i.e., Current Assets Less Total Liabilities) is $9.3m, up from $6.5m at the end of FY2022?
If anything, this company is over-capitalised, and should be returning the surplus capital to shareholders.
Once its trading business stabilises (which looks to be imminent), if the current board and management don't commit to some sort of surplus capital return to shareholders, someone else is sure to buy the company, and will do it for them.
Already, we're seeing some kite-flying approaches being made from interested parties.
As for "a new plan", they just 6 months ago changed course from the failing old plan, which involved vainly splashing shareholder funds around trying to be all things to all men, to the new plan which is effectively winding the cost base back to bare bones and harvesting the resulting improved cash flows... aka Shrinking to Greatness, which they should have started doing two years ago, instead of torching shareholder capital on all sorts of ill-conceived "growth" strategies.
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