multibagger potential at 1.1 cents

XCD.

Could this be a multi-bagger in the making sitting at 1.1 cents at the moment.

Shares on issue

FPO 200,000,000
Market Cap $2,200,000

Cash at 30 September 2010 of $2,029,000

The company is looking for a new direction as stated in the Annual Report:

During the year your Board signalled a change in direction for the company and commenced
implementation of a strategy to restore value for shareholders. I�m pleased to say that solid progress
has been made in positioning the company for this change in direction with execution of the following
initiatives;

Completion of a rights issue recapitalization in January 2010 which was well supported by
shareholders raising approximately $1million principally to resource the company to source a
new business or asset

Appointment of George Cameron-Dow as Managing Director to implement the new strategy
focused on the realization of value from the existing assets and sourcing a new business
opportunity.

The divestment of the remaining 21.8% interest in PolyNovo Biomaterials Pty Ltd
The continued support of the operations of Boron Molecular Pty Ltd ("Boron") whilst reviewing
the available options to enhance the ultimate value of this investment.

Completed and commissioned the new 630litre reactor at Boron (funded out of cash flow)
effectively doubling capacity and strategically repositioning the company to support the drug
discovery market through the next stage of scale up and early commercialization
Increased Borons product range from around 800 to over 900 products
Actively commenced the process of identifying new investment opportunities


Boron Molecular Pty Limited (100% owned)
Background

Boron Molecular is a Melbourne-based fine chemical company which has its business based on an
exclusive right to globally exploit unique organo-boron technology assigned from CSIRO. Many of
Boron Molecular
s customers are leading international pharmaceutical and biotech
nology companies
which purchase the companys
compounds to enhance their drug-development programs

The following details the bonus scheme for the MD if the new asset or business is all tied up before the end of the 2011 calendar year.

Mr Cameron-Dow is entitled to a cash bonus of $150,000 payable in the event the company completes a Corporate Transaction being the
acquisition of a new asset or business together with a capital raising by the company of at least $2million by 31 December 2011.
Performance Options and associated Corporate Transaction Completion Bonus: The Company has agreed to issue Mr Cameron-Dow (or his
nominee) 10 million Options to acquire shares (Options) on the following terms:
(i)
5 million options with an exercise price of 2 cents per Option and will expire on 31 December 2011
(ii)
5 million options with an exercise price of 3 cents per Option and will expire on 31 December 2011
The exercise of an Option is conditional upon the Executive becoming entitled to a Corporate Transaction Completion Bonus payment on or
before 31 December 2011 on the following terms;
(i)
Upon the company completing a Corporate transaction and the share price of the issue under the capital raising (of a minimum
of $2million) being equal to or greater than 2 cents per share (pre any consolidation) the company will pay the executive an
amount of $100,000
(ii)
Upon the company completing a Corporate transaction and the share price of the issue under the capital raising (of a minimum
of $2million) being equal to or greater than 3 cents per share (pre any consolidation) the company will pay the executive an
amount of $150,000

Thoughts anyone?

Cheers

Cobby