Funding from CR will provide ample funding for 1st batch of 8 x 6Us, page-3

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17/12/19

16:44

Post #: 42014330
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Originally posted by Lebba: ↑

Apologies for the new thread, but I think this warrants a new thread as it is important...

There has been some doubts whether this current capital raise will be sufficient for the 1st batch of 8 x 6Us.
Even though it is likely that SAS will secure multiple grants in the future, we can never dependend on grants as a means of funding.
Despite this, I believe that this capital raise (if fully subscribed), will provide ample funding for the 1st batch 8 x 6Us.
Everything is in the announcements - it was just a matter of going through it and highlighting it....

If you look at the announcement dated 8th Jan 2019, it says this...

Total Payments to GOMSpace = EUR 5.5M

On 9th April 2019, Company Update reported an additional payment to GOM for EUR 550K, which takes total GOM Payments to EUR 6.05M
We know that EUR 3M was paid for the Pearls CDR, which leaves EUR 3.05M remaining.

Currency Conversion: EUR 3.05M = AUD: 4.95M (this is a handy downpayment towards the 6Us).In the 6U agreement, we know that the 1st batch of 8 x 6Us will cost EUR 5.2M or AUD 8.44M.

According to the Prospectus, 29.2% of the total 15.8M will go to GOM, which is approx. AUD 4.61M

Some basic math:
AUD 4.95M AUD (Payment to GOM less Pearls CDR)
+ AUD 4.61M (proceeds from CR)
= AUD 9.56MSeems like we have some surplus funds as breathing space, as the 1st batch only costs AUD 8.44M based on the 6U announcement.
And this does not even include grants + pre-sales of ground terminals, which is expected to provide additional funding.
Remember that any additional funding will mean that the GOM order will be amended to include additional 6Us to be manufactured.
This was Meir's intention when I had a call with him a few weeks ago.

So there you have it.
Ample funding for the 1st batch.
GLTAH

Expand

I would like to think SAS is in such a good place financially, but if we are in credit (down payment) with GOMspace, why does the GOMspace Q3 financial report say that SAS owes them AUD$2.3m and now counts it as a bad debt? I emailed SAS/Meir with thsi question, but have had no response.

From GOMspace Q3 Financial Report:

In the first three quarters of 2019, the increase in sales and distribution costs is mainly due to provision for
loss on bad debt at an amount of T.SEK 15,067, this amount is mainly related to Sky and Space Global.

SAS Price at posting: 1.6¢ Sentiment: Hold Disclosure: Held
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Funding from CR will provide ample funding for 1st batch of 8 x 6Us, page-3

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