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Quote addon.Jones says the process of trying to list on a stock...

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Matrix1

690 Posts.

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17/11/20

04:16

Post #: 48917253
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Originally posted by Matrix1: ↑

He could just buy the company, or half or 51% of the company.
It is probably worth this much money just for the tax loss.
I would do it for the $16M, and tax loss.

Someone told me that some countries and regions have very generous grants for manufacturing.

Nothing to stop them copying it, obviously have to buy one first.
Probably cheaper to buy 51% of company, than spend money trying to reverse engineer it.

If the cost of raw materials is low, one should be able to get ZM3 down to the cost of
an expensive fridge.

If it was me, I would try to get the share price up by listing overseas, like in USA, or Frankfurt.

Quote.
Growing numbers of Australian businesses are listing on overseas stock exchanges, with the Frankfurt Stock Exchange proving to be one of the international exchanges of choice.
Five hundred and fifty Australian companies are listed on the Frankfurt Stock Exchange, vastly outnumbering the 43 companies on the London Stock Exchange which are either Australian-incorporated companies or companies where the majority of their business operations are based in Australia.
Phil Jones, chairman and chief executive of Hemiphon, is in no doubt as to why the workforce management company has listed on the Frankfurt Stock Exchange, putting it down to “speed to market and cost”.
However, the ranks of Australian companies listed on the Frankfurt Exchange are swelled by the exchange’s practice of listing major Australian companies which did not seek a listing and have not agreed to the exchange’s listing requirements.
Leticia Adam, spokesperson for Deutsche Börse, told SmartCompany most of the Australian companies listed on the Frankfurt Stock Exchange are on the exchange’s Second Quotation board so while the companies’ shares are traded in Frankfurt they did not do an initial public offering in Frankfurt.

The companies do not need to have an office in Frankfurt in order to list on the exchange.
“As soon as a company is publicly listed, the shares can be admitted to trading at any other stock exchange,” says Adam.
“This does not mean that a company has to agree or even has knowledge about this admission to trading.”
However, Adam says Australian companies are also actively seeking admission to the exchange.
“The attraction for Australian companies is certainly an easy and cost-efficient access to the capital market as well as getting access to special peer groups,” says Adam.
“For example, if you are an automotive company, it makes sense to position your shares in an environment or country where you know that there is a strong industry sector in that field.
“Germany is famous for various industries such as automotive, biotechnology, telecommunications and renewable energies.”
Australian companies who have recently sought a listing on the Frankfurt Stock Exchange include Astra Resources, and HemiPhon, while Management Resource Solutions, Astra Mining and Rapid Nutrition are all preparing to list on the exchange this year.
Management Resource Solutions (MRS) is one of the Australian companies in the throes of preparing to list on the Frankfurt Stock Exchange.
MRS co-founder and chief executive Paul Morffew told SmartCompany there were a “couple of reasons” the project management and engineering company opted for the Frankfurt Stock Exchange where it will list on the Entry Standard board on May 2.
“One, is it is cheaper than the Australian Stock Exchange (ASX) and two, it is more liquid on the German exchange which means it is easier for our shareholders to trade shares,” says Morffew.
Morffew says the Frankfurt Stock Exchange is also attractive because of companies is valued on the basis of five years of discounted cashflow projections.
For MRS this means the company’s market value when it lists will be €45 million in comparison to Australia where it would list at $15 million.
“It is a huge difference,” says Morffew. “When we initially raised our $300,000 capital the people who bought in at one cent will now get 15 times that when we list, even though it has been four years since then, it has been a good four years.”
Morffew says MRS considered listing on the Toronto Stock Exchange (TMX), the OTC, the Alternative Investment Market (AIM) in London and a secondary board in Australia before doing a feasibility study and deciding on the Frankfurt Stock Exchange.

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Quote addon.
Jones says the process of trying to list on a stock exchange had been “confusing” and “not an easy trip”.
“We were only a small company to start with, but it is very hard to raise capital in Australia and when you have a product that is international level and we have blue chip clients and to all intents and purposes we will succeed on the international market, then the problem is you need capital to do it,” says Jones.
“There are a lot of blood suckers out there who will provide money but then want 60% of your company which is just ridiculous.”
Jones says he felt that listing on the Frankfurt Stock Exchange was the best option for the company to try to raise capital.
“I am often asked ‘Would you do this again Phil?’, and my general answer is that I would probably think a lot more before doing it, it is the only way I know to get where I want to go but it is very hard work.”

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