GOMspace having the same problems as SAS. Should have raised more funds while the price was higher. They are tossing up between tapping the shareholders or finding a new major investor.
The following is a Google translation from the above website.
In just one year, the price of one share of the satellite company GomSpace has fallen from 127 kroner to 23 kroner.
The aalborg satellite company GomSpace has been up and running, but now the company is striking the ground again.
In June 2016, GomSpace was listed on the Swedish Stock Exchange and saw great increases in its share price up to September last year, where the stock peaked at just over 127 kroner. But since then it has fallen behind the company, and today the share is reduced to 23 kroner.
This corresponds to a fall of more than 80 percent in one year.
"What GomSpace is a little unfortunate is that they need money to get started before they start making money," says Per Hansen, Nordnet's investment economist.
- They need to acquire new capital with investors, but it has become harder to get investors because the stock price has fallen so much.
GomSpace is otherwise world leader in its field and produces nanosatellites that can be used for IT solutions, communication and monitoring.
"It is important to keep in mind that there has been no change since GomSpace is still a leader in nanosatellites. It's about a stock price of 127 kroner was too high and at the same time, the company neglected to stock up the stock, while investors were more willing to buy into GomSpace, says Per Hansen.
World-class business
The investment economist explains that GomSpace has been forced to stand on its own because they can not count on investments from pension funds and other major investors.
Instead, they have to rely on private investors, who have been faithful and backed up by GomSpace.
"I think it's odd that we have a world-class business, but it's hard to find more investors willing to throw money into the company. It's too bad, says Per Hansen.
Now GomSpace is holding a general meeting for its investors - what scenarios do you see here?
"It is a little on the right leg that you will ask current investors to inject new capital, but investors may feel too pressed and diluted. Perhaps the company may instead find a new major investor so that all of us in Denmark can benefit from a North-German company with world class competencies, says Per Hansen.
SAS Price at posting:
5.9¢ Sentiment: Buy Disclosure: Held
