Broker report, page-24

We are pretty much on the same page.

As you would be aware, I have always held the view that a capital raise is required due to the low cash reserve (ideally a $5 million cash reserve for a software company with international expansion plans) and to attract a institutional investor (higher cash reserve provides a lower risk profile).

However, the public statement made in the half-yearly to essentially dismiss the need for a capital raise indicates to me the confidence that the Board, Kate and Colin has in the recurring side of business and possible additional contract wins.

To say this publicly (particularly for a new management) and then do a capital raise (without very good justification such as new acquisition to accelerate EBIT) would be to shoot themselves in the foot and destroy all credibility.