Hi DJPI may have a few dollars coming available around Christmas...

Hi DJP

I may have a few dollars coming available around Christmas and I’ve also been wondering whether I should buy a few more ADO then or assign the money too other urgently required areas.

The current market cap of around $45m is kinda crazy when you think that a large POC or IVD should they apply MixnGo to their complete range of products that lets say earns $1 billion a year in sales and which could give ADO a royalty of $30 million (3%) may think that it’s a lot better idea to just buy the company outright and also stop competitors from obtaining the technology. Would a takeover that values Anteo at $500 million be too far-fetched then? And if something like that was going to happen - now would be the time - before Anteo has signed on a few larger companies and locked in supply arrangements for years with them which a company taking us over couldn’t get out off. So crazy as it may sound Anteo trading at 5.6 cents one day could suddenly find itself with an offer on the table of 40 / 50 / 60 cents the next day.


Against that through and what is likely holding the share price back is that many see Anteo already having signed 5 companies and still not generating any significant revenues yet – and yes there are some reasons why revenues have not come that other people have mentioned in other posts. But more importantly when are Anteo going to sign a significant player who will apply Anteo to a huge range of products and finally generate significant royalty income?

Also there is always the threat of a capital raising which was kinda put to sleep with the commercialisation grant being awarded but again reared its head recently.
I personally would be disappointed if a capital raising occurred in the immediate future before any signings as that would indicate to me that management doesn’t think signings are imminent – why raise capital at 6 cents say when there is a strong likelihood that POC 2 may sign in 6 months with a deal that values Anteo at 40 cents. Also what does that say about expectations for the share price late next year when options expire at 7 cents which could generate $2 million for Anteo coffers – is there a concern that the share price might not be trading at over 7 cents then or that revenue won’t be building by then to fund an additional few staff to look at other areas for MixnGo.


As a side line the interesting thing for me would be if Geoff was to sell 100% of his shares (and options) today what would he sell them for – I reckon the answer would be fascinating.