The main reason I’m invested in NXD is because of Glenn. Your...

The main reason I’m invested in NXD is because of Glenn.

Your sentiment is entirely driven by the short-term share price movements rather than your own assessment of the longer term opportunity for the business. Your comments show that you lack understanding of NXD and come across as simple and emotional.

- Glenn didn’t lose control of RDH. Glenn was always going to be CEO of the merged company. This was communicated in the early stages of the takeover announcements.

- I have found the company’s communication to the market to be in-depth, regular, insightful and honest. The company does not need to raise equity and therefore there is not an incentive to exaggerate the immediate prospects of the business to artificially inflate the share price. I take comfort in that overtime share price with instead reflect the longer-term earnings of business.

- ~25% of the cash is restricted for future operations that the company has already received payment from students upfront. In the recent investor call, Glenn and Michael were very open that they had explored all capital management options (share buyback, dividends, organic expansion, inorganic expansion) and that the ROI for organic expansion was far superior. They also mentioned that due to the high previous losses, any dividend would not be franked and therefore be a greater tax burden to shareholders. They have proven their intent in the past few years with the geographical expansion into new cities and the capacity expansion in existing cities.

NXD is a conservatively run business with trustworthy management who are clearly managing it with a longer-term view. My advice would be to settle down and not let the short-term share price guide your sentiment.