general discussion, page-2073

A correction to my post on 11th June.

At the beginning of the 2023/24 financial year shares on issue were 1,734M.
After this capital raise shares on issue will be 2,332M (Prospectus p.35)
That's an increase of 598M which equates to 35% dilution. So our shareholdings at 1 July 2023 after all the capital raises in past 12 months including the imminent raise have been diluted 35%. (Let's set aside the 146M options that will on issue.)

The latest financial position of the company(unaudited) is at 30th April in the Prospectus(p. 34) . At that point we had $136,000 cash.
Current assets were $29.1M and Current liabilities at $30.7M so that's about $1.6M in the red.

We are now 1.5 months later and I dare say they have burned off most of that $136,000 cash.

What we don't have is a cash flow statement. If that's in the negative and they have no loan facility to cover expenses then the Company is insolvent- we don't know if that's the case.

Trading while insolvent is a criminal offence so I expect that they have retained a few $'s in the cash flow account and avoiding any expenses out of that account to ensure it stays a positive number because if it turns negative they are obligated under corporations law to report insolvency. That's the responsibility of every Director on the Board. If we start to see Directors resigning, then I would worry. If any of the companies owed money(note $11M in acrued expenses) decide to send in the debt collectors then we are in trouble - or maybe one of the Directors will throw their personal credit card on the table.

It seems they are really hanging out for this capital raise because they are near cash flow broke.
Capital raise $'s are bit less than a month away so they need to stave off the creditors until then and give the staff unpaid leave or an IOU note if they have no cash to pay them.

Strap yourselves in - the roller coaster is moving - try and enjoy the ride!