But isn't that why they issue shares as consideration for...

But isn't that why they issue shares as consideration for aquiring the new practices?

The doctors cant sell VGH their practice, bank the cash, serve the contract, then reclaim their practice as your analogy would have you believe.

The significance of the law suit win against the doctor who tried setting up his practice within boundries specified in contract has also been underestimated.

Getting their 'mine' back isn't easy and doesn't make much sense at all, especially when you consider the other doctor benefits of not worrying about accounts, getting the most state of art technology, marketing and flow of customers to the practice the VGH enables.

The real reason VGH shares are so low is the same as what happened last year when people thought the assumption that VGH will continue as a going concern was no longer valid; i.e unable to meet current liabilities as they fall due.

For this close reading of the terms of loan contract is needed. VGH have actioned a plan to raise capital; their was no condition saying they needed to be successful in this. They are paying down the debt at the required rate specified in the terms of loan, and performance wise are tracking at the high end of guidance.

The bank knows the value of VGH as an operating entity generating large volumes of cash is worth more than if it was broken up (the goodwill only exists as an operating entity that can enforce contracts on the doctors); the bank would be writing off best part of 90M bad debt if it forces default, which is why this will not happen.

If PRY are to make an offer, why would they hurry? A falling VGH share price is great for them, they will leave it to as late as possible, they already put in the hard yards to get to approx 15% to set up the takeover nicely once people have forgotten about them.