The selling algorithm continues relentlessly.
Someone has been offloading millions for a month or more.
Price affected severely because of the limited liquidity.
The seller has not finished, but at the same time is trying to keep the price up as much as they can, hoping other punters come in to buy.
Best to wait until a floor is in, which just depends on how low the offloader is prepared to go to sell all their stock.
Can anyone hazard a guess on who the seller is, it's been a month or more, someone must know.
I'm waiting for a 3B.
The price action has all the hallmarks of an impending 20 cent capital raising to pay off the Cohort acquisition. Some companies are notorious for saying they will not have a capital raising, and it's usually to allow mates to flog stock first, then the company provides an excuse and announces a capital raising. Not saying PureProfile would do that, because although it's not illegal, it is essentially a morally bankrupt way to run a company and destroy it's credibility. But where money is concerned, morality and credibility have no place.
My sense is that 18c to 20c will see it bottom, certainly under 20c would be good buying.
The other thing this company does, which is quite strange compared to most others who are listed on the ASX, is that they release very good positive announcements about their activities on their web site, but hardly ever release them as announcements on the ASX - go figure. They must have a reason for doing this, but they don't respond to enquiries, so I'll never find out.
They are going to the world digital media conference in Scandinavia to interact with all other companies of their type from around the world, which is a good move, but they'll probably never mention it except in a quarterly or annual report (if we are lucky).
Very strange company indeed, essentially running itself like a very private closed shop company, and yet listed on the ASX, it's weird.
I'm not sure why the seller and offloader has not been able to hit up a broker to find someone to take their millions of shares at an agreed price, both last week and this week there are buyers on line who are willing to stump up $100,000 to $150,000 per trade, which is very confident.
I grabbed more at 23c, my patience was running out. But I still have some funds in the tank for a 20 cent capital raising when it comes as well.
My theory is that this will double in the next 18 months, and if an institution or fund becomes interested at any time, it could even go much higher than that.
Gw
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