1. Thanks for the useful explanation re plant property and...

1. Thanks for the useful explanation re plant property and equipment. I don't personally have concerns in that aspect.

2. The question of how Vmoto manages a company's finance across China, Aus and world markets remains an open question to me. If I was confident that Vmoto earned most revenue outside China, and that revenue wasn't being sent to/held in China, my concerns would be addressed. Essentially treat China as a manufacturing cost center for the company, not its base. Money sent there only to pay bills. AFAIK Vmoto's filing don't seem to give us a picture of this however.

There's still a sizable geopolitical risk of investing across the Aus/China divide. Just ask Danone, who've had their Russian assets seized and given to some Chechen dynasty.

3. In fairness to Luke and Claude, I think they did a reasonable job. they have 8 companies to review. they cant be experts on each one. They take a quick look at balance sheets, history and form some quick judgments. On the scale of Aus market analysts, they are both at the better end.

The problem is that Vmoto doesn't fit the typical ASX mould. We dont do much manufacturing in Aus. Chinese companies are a rarity on ASX. Selling to emerging markets, unless it's bulk commodities, is a rarity.

So Vmoto is going to have to work extra hard to win approval. And it will come slowly. It will tend to be under-recognised for its achievements, ie low PE & low Price/Growth.

And Charles doesn't seem to network or move much in Aus investment circles. He's not cuddly, he doesn't do interviews or have a profile. He appeared in the AFR once, that I recall, and that put a rocket under the share price. He just single-mindedly makes and sells electric motorcycles, and he's good at that.


4. The factory raise still seems a bit whiffy. Why do we need all this cash tipped in?