Edison Investment Research-Valuation at 3.98c per share, page-48

I don't think it's out of character. It isn't the first time Edison have produced a report on LPD, with the previous one being October last year.

We don't know if LPD specifically paid for the report, we only know they're a "paid research client of Edison". Edison provide a few services, amongst which is market research and finding investments for institutional funds. It may be that LPD have paid Edison to canvas funds for them, and this is part of the package.

I certainly don't think they get to direct Edison in their approach, or engineer the outcome at all. There's no privileged information in it, so it is just produced as a summary of what is known by the public, and it still has to have some semblance of independence.

If it is put in front of fund managers, they will do their own analysis on top, as I have. And they will quickly see that if the numbers are that good even with an insane level of dilution factored in, then there will be plenty of money to be made if the company can raise shares at a higher price.

But Edison can't really put that in their valuation, because it doesn't look good for them to guess a price that the company would raise shares at.

As for it being emailed out, that isn't out of the ordinary either. The company has recently started mailing out news and announcements, I believe to shareholders who have made enquiries in the past. I received the email as well, and 8 days prior I received the financial statements that were also announced to the market.

It's a good question about the options exercise price. I have no idea how they would come up with that price. I guess it was a balancing act for them between raising money in the future vs still leaving wiggle room for exercising.

I'm pretty certain management don't seriously think the share price will be 5.3c in 2023. Mostly because thats meant to be about 4c in 2020, meaning the options would expire out of the money.

Cheers