Broker predictions/Pound of flesh, page-5

It is true that the comment "SPL will not be a dividend stock in the near future" was made at an AGM. But companies do change their minds on this so I would not rule out dividends long term. If SPL wants to track its way up the ASX indices and attract institutional funds then it really has to start generating dividends. There is a strong CSL influence on the SPL board and some see this company as a second CSL. Much will depend on DEP platform performance because this is a pharmaceutical technology rather than a product. If DEP proves itself in the clinic in multiple products then that is a huge opportunity.

Yes SPL can be manipulated because it is thinly traded. Institutional funds like Fidelity and Allan Gray take months to change their holdings up or down because large orders have too high an impact on the price. Some of us retail investors have the same problem and know the foolishness of a large order.

As to a take-over, If the price is appropriate then the shareholders will decide to sell. SPL is fairly well protected against a partial take-over in its constitution. Each of us have view on what we would sell at. My own is that Vivagel alone is worth north of $10 so I would not be selling below this.

I look forward to meeting you on Thursday.