ODN 0.00% 0.0¢ odin energy limited

Gridcomm's future and changes required

  1. D.D
    3,161 Posts.
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    A great company once chased by many investors now appears to be neglected.
    A quick analysis and possible changes:

    Issue of Austasia Consideration Shares: 89,750,007
    Issue of Shares under Austasia Convertible Note Conversion Offer: 9,000,000
    Issue of Advisor Options: 15,000,000
    ODN has 562,689,570 shares on issue(pre-consol).
    If ODN had a few million shares 1:30 would have been a great deal for current holders.
    But ODN only has 562k shares.
    1:35 consol = 16,077,466 shares
    1:20 consol = 28,134,478 shares
    1:18.5 consol = 30,415,652 shares

    Considering the 89m Austasia shares 30m shares to current holders is very little.
      
    Average price of most ODN holders is above 50c.
    By keeping the consol ratio just below the CR price many holders will rush to buy.
    IMO they won't dump because their average price will still be much higher and the sentiment would have changed by the time we start trading.
    That way gridcomm gets $6m, gets listed and doesn't miss the opportunity out there.

    When I consider gridcomm's future, reducing the Austasia shares will also be a wise move.
    Another option is to differ the Austasia shares until we hit a particular milestone.

    A good outcome IMO:
    Consolidation ratio changed to 1:18.5
    Austasia shares reduced to approximately 50m(max)


    Most of the IPOs are doing well.
    Some of them opened at double the issue price.
    Gridcomm is certainly a great company. But the sentiment has to change.
    Market is positive. IPOs and RTOs are well received by the market and gridcomm will be on suspension for a long time if they are reluctant to make any change.
    TIME IS MONEY.
    Hope gridcomm management wakes up.
 
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