Hey @xmanrocks On 1) FCC and BIG can extend it, that is in the...

Hey @xmanrocks

On 1) FCC and BIG can extend it, that is in the ASX response letter under page 17

"Sponsorship Pool Limit means: (a) $20,000,000; or (b) such other amount as FC may after consultation with BRTV notify BRTV from time to time;"

But ideally what will happen is BIG will replace customers who did not become Accepting Customers as per 13) on the second response letter page 37

"13. In addition to the 14,737 Purchasing Decision Customers, the Company has a further 17,701 potential customers currently in the production pipeline, some for whom videos were produced (even though they are not Purchasing Decision Customers). 2,000 of these customers have signed an application form as described in paragraph 20(b) of the Response Letter but are not sponsored by First Class. Some of these customers will be used to "swapin" to replace Declined Customers pursuant to the First Class Sponsorship Agreement. BRTV has been able to do so effectively, as evidenced by the fact it has not paid any cancellation fees to First Class." my emphasis


2) My personal hypothetical view as to why BIG didn't do a CR at $4 like you suggested is possibly three fold. The agreement with FCC is actually helpful to BIG engaging potential customers. I won't go over that here as its been discussed in other threads.

Secondly, imagine if we had done a CR at $4 and the underlying complicated business model was then fully disclosed to the market as it has been now. People would be suggesting those who participated in the CR had been ripped off and there would be speculation about lawsuits on the back of a depreciating share price.

The final reason I think factored in early on though seems silly now as the stock price has depreciated is to protect dilution for SH.


We need to remember that the Board and Management are significant share holders. They weighed up the risk of different approaches and considered this to be the most effective to grow the business. Their interest is in the business succeeding otherwise their shares are worth very little or potentially nothing as some would suggest here. These are my thoughts at least, others may draw different conclusions.