A perspective for you all to consider ... I recently spoke with...

A perspective for you all to consider ...

I recently spoke with Johan, the Canaccord Genuity analyst who constructed and wrote the research report on FLC. An incredibly intelligent, insightful and kind man - with one overarching message:

He said that he believed Fluence's greatest mistake thus far has been that management marketed the company to the financial community too soon. What he meant by this was that; institutional investors would have reviewed FLC in droves after receiving one of the many company investor presentations, watching them present at the numerous water conferences the company visited, or sitting in on an investor non-deal roadshow presentation conducted by FLC. But, he said that all these sophisticated and institutional investors would (and in fact have) come to the same conclusion - FLC won't reach cash-flow and profitability break-even until Q1CY19 (as stated by management themselves). As such, all such investors have not felt the pressure to enter FLC in the immediate short-term, as the fundamental financial constructs that will underpin a material re-rate won't materialise for another year.

He went on to say that: 1) from in-depth discussions with management, he anticipated strong uptake in the first half of 2018 by China, but extremely significant uptake in the second half of 2018, and 2) that institutional and sophisticated investors will all begin to onboard in 2018 in preparation for Q1CY19.

In other words; the interest is undoubtedly there - its just the timing that has been askew.

If you hold this long-term (5+ years) and maintain conviction in your analysis - I would not be surprised if you held on long enough to watch FLC: 1) dual list on the NYSE or NASDAQ, and 2) reach the $10B market capitalisation figure that Richard has outlined the company is aiming for (i.e. this is the size of Suez, the largest water utility company in the world).