GMV Chart/TA, page-645

Well its just had its 6 monthly report and accounts - whose review was done by BDO, which is one of the largest global accounting firms. So yes this is a legitimate business, no Yacov hasnt run away.

Absolute fear driving this stock and it does feel like everyone is jumping at ghosts. Which means it is either a really good time to buy this stock, or, as a lot of people appear to be doing, abandon ship. The stock market is mass psychology and just by reading HC, you can tell that mass psychology is driving this stock lower, a self fulfilling prophecy, and i cant blame anyone for getting out, its been one way traffic for 6months. GMV has missed and underestimated ALOT of regulatory hurdles and mile stones, that is fact, and have burnt through a heap of equity so far.

On the brighter side however, reading the report, the US IDTF business is actually running quite well and producing a profit. If you stripped out the PRIZMA section of the company, the metrics do look a-lot better. They have spent a-lot to get china ready for NMPA and PRIZMA but have sold no product - a major concern. IF, and its a BIG IF, they can achieve similar growth on the IDTF services in the next 6months, that will be a highly encouraging, where the business can become self funding.. ...

That being said i really like the patch as a product, and the IDTF platform for services and distribution - will be interested to see ongoing progress in the states and the UK, unfortunately it is very hard to get a read on revenues from this company outside of the quarterlies. Cash is clearly tight, and they are managing cash-flow by issuing shares and relying on YACOVs loan. They will absolutely need to raise capital in the next 6 months to continue to operate.

A listing on alternative exchange will not increase the price in its own right, it is, and will be a requirement to raise capital to fund future growth and cash-flows - they have clearly delayed given the current sentiment and share price, and id argue that is driving concerns about liquidity which is why the share is coping a pasting. Therefore, as per the last updates, the directors must be confident that revenues will increase in the next 6 months so they can have the opportunity to tap the market - mostly likely through the HKSE listing. Hard to see how this occurs at this stage, outside of a substantial pick up in revenues and a closing of the operating cash-flow gap which is ~US$1.5mio a quarter loss.

I have averaged in here - still see potential in this stock, but hard to see through smoke at the moment.

Anyways, plenty food for thought and risk in this stock, not for the faint of heart. I hope that the night is darkest just before the dawn, because it sure as hell feels like that right now