Firstly, wish you all a very happy new year. May 2022 be better...

Firstly, wish you all a very happy new year. May 2022 be better for all of us in terms of health and wealth (returns, including from SCU).

Nothing like a shocker first thing in the morning on new year ...thanks to @gracesteel11 for bringing this to everyone's attention. Looks like the company lodged it on the last min on the last day of the year, and the last possible day to complete the AGM on the last possible date!! some habits never change!

There is a lot to read and digest in the report...but nothing about the new JV, thanks to the company again....awesome comms!

Below is how I read the report:

In-line with the general sentiment of the forum, let's start with the negatives:
- 500m placement shares, +15% annual renewal, +10% add-on...dilution at full speed!, btw, have we seen the fruits of the last big dilution in Apr? nope!!
- options galore....can't keep up with the free options issued left right and center, and the expiry dates and exercise prices...are these guys indicating that we'll be crawling at these prices forever! this is not new, the company issued previous options in a similar manner, but still this is too much!
- I'd love to be in the position of Paul Stephenson...killing it with free options, shares and salary! Based on his background, looks as this is the company's lawyer as he worked more hours in Oct and Nov (page 52) possibly answering those queries from the ASX...have we got our of the suspension yet? nope!
- knowing that a big dilution and placement is coming within 3 months, would sophs/deep pockets smash the price (suspension and negative sentiment to help further) to get the shares at lowest possible price or pump it up to raise max $'s? Usually there is a pump before a CR is announced (to make the discount look attractive), but the cat is out of the bag now. Plus, how can Sanlam shake the tin can in-front of their clients who haven't got much returns from the last cap raise in this company?
- As @Protagonist mentioned, cash reserves depleted by another $1.4m in the last quarter (btw, the last cash position is as at 31 Jul eventhough it's reported on 31st Oct. so 3 months rather than 2 months of burn). This is above average by SCU's standards. Last quarter also had similar cash burn, but I saw a chunk going towards debt repayment...in this quarter the outstanding debt was only $125k, so not sure what all that cash was used for.

Now, the positives:
- the only main positive that I took out of the report is the involvement of Tribeca. Would love to hear from any one who has seen this mob involved with other companies in the past, but based on what I read they are a bigger broker (cornerstone investments, direct investments, sub holdings etc) compared to your average brokers who are involved in cap raises. Interestingly, the service agreement with Tribeca started on 1st Oct (page 46) when the JV was originally planned to be announced...so possibly the JV is quite material in nature
- for people fearing that the company would never see light again, this gives a little bit of comfort that we might be coming out of suspension in mid to late Jan

There is also some info about "Proportional takeover bid", but I've seen this in few other companies' AGM items, so keeping it aside as of no value.

To me, it looks like there was a bit of plan by the company to take the company higher step by step i.e. announce JV, announce good quarterly revenue figures, some PR, and then a big raise with the trio (Tribeca, Sanlam and GVC) at a much better price. But, ASX poo poo'ed on the "partay" with the re-compliance exercise...the company is pushed in the corner by extended suspensions and AGM date looming and now they had no choice by to lay the big CR details out...else they have to convene another general meeting after the CR to get the placement off their capacity (in my view, they should've taken this approach considering no comms so far).

I am as clueless as the rest of the punters here on how this all plays out. The only saving grace for now is that there is a good possibility that we'll be out of suspension soon, and before the AGM date.

All IMO, please DYOR! And, a Very Happy New Year to all of youse again!