If the buyers keep jumping on board MSB should hold. The ASX200...

If the buyers keep jumping on board MSB should hold.

The ASX200 March entry will be a close call. Anything above $3.70 for the remainder of the calculation period will ensure MSB's inclusion.





There's a lot of talk around the ASX200 inclusion but no one has mentioned the ASX100 inclusion. A quick calculation below shows MSB could enter the ASX100 by the end of 2020 if it passes the FDA phase 3 and a price of $7.5+ is achieved. Considering brokers have a buy price today of $7.5+, this is possible. The ASX100 inclusion would reduce supply further and push the SP higher.

Active fund managers will be monitoring MSB share price. If they think either the ASX200 or ASX100 inclusions are likely they will start accumulating. As the price pushes through major hurdles ($3.5, $4, $4.5...) the fund managers are likely to increase/accelerate their accumulation.

ASX 200 entry = SP of $2.60 + = Market Cap of $1.4b, discount by 25% = $1.045b

ASX 100 entry = SP of $10 + = Market Cap of $5.4b, discount by 25% = $4b

ASX 100 entry = SP of $7.5 + = Market Cap of $4b, no discount