It’s a typo. The prospectuse has the correct amounts. It’s $25k...

It’s a typo. The prospectuse has the correct amounts. It’s $25k a month.

I don’t like the announcement. I spoke with a number of key agents in WA yesterday and all the talent has already up and left and replanted elsewhere.

I’ve seen too many consolidator ASX models fail. Just buying market share doesn’t work. You load the balance sheet with debt and it eventually topples over.

A mortgage book that size is earning $150k a year ongoing and will have 20% run off each year.

At best it’s worth $300k.

The settlements business is worth 1 times ebit and I doubt it is making any ebit or very little so no value. And a sales business is worth nothing. It’s the rent roll that has value and we aren’t buying that.

So management have overpaid by $700k IMO.

No update on top level deal. If that’s reworked or off the table it will be a mad rush for exit and SP will be a fraction of current value.

Paterson’s clients got stock allocated to them and a number of them and most will look to offload at 2c and keep the option. So I see selling pressure here.

Will sit and wait to pick it up at 1c if it gets there.

10x