asof a dud '2nd chance' deal, page-13

ewere,

No this is not offtrack as there a number who believe that ASOF will mop up the remaining shares. I have suggested that I don't see this as a viable option for them for a number of reasons.

Firstly, a listed shell is always a good vehicle for raising capital, share issues, options, con notes etc.

Secondly, it gives them liquidity to sell down their shares to recapitise themselves, or in the extreme case just sell down and reduce their shareholding, or exit entirely.

Thirdly, The public shell has a value, if they were to use it for another project. Also, to replicate a listing, if they were to choose to do it after privatising it, will cost upwards of $500k, plus there are about 9,700 existing shareholders, and it is almost impossible to get a spread of this number is any new 2nd tier float in this market. Also from an international point of view ASX has a first class reputation compared to some other bourses.

It must be remembered that these are my thoughts and I may be proven wrong at anytime, and no-one should rely on this as it is based only public information, and you need to rely on the advice of your professional adviser.