CAPITOL RAISE, page-4

With all due respect, I think your idea has not been well thought out.

I attach a page from the 2016 Annual Report. This shows there were 2573 total shareholders as at September 2016 ( I will admit this was 10 months ago).

There are also ASX rules about how many shares a company can issue in a 12 month period without having to have a Meeting to approve the issue of the shares.
Hosting a meeting costs money. The ASX needs to legally review the Notice of Meeting (about $10-$15k) and approve it. They also need to circulate documents to all shareholders, as well as find a venue.

You need to ask yourself whether you see Directors as retail shareholders.

If the answer is yes, then I advise you that 3 of them own over 52%, or 600 million shares in the company. Do you think they have a spare $100 million laying around to take up their rights?

If the answer is no, do you think there will still be enough demand to raise the full amount?
I don't have any money laying around to buy some more. I don't have a partner, or kids, so can't raise money there. I will not be selling my car either.

Also consider if management think 20 cents per share is fair value for the company in 1,2,5 or 10 years time.

If you think it isn't, like me, then why raise all funds required now? If they didn't participate they would be diluting themselves. They should want to be issuing the lowest number of shares at the highest price possible. I am sure that would be part of their legal responsibilities as Directors.

Also ask yourself the following questions

- Do management know exactly how much it is going to cost to build the extra satellites?

- What's happens if they (for some reason) don't raise the full amount they intended, and how will that reflect on their reputations?

I haven't even looked in to whether there is a cap as to how much can be raised in one hit from a shareholder.

I could go on, but have wasted enough time.