Now that's a special crossing

Now that’s a special crossing. Circa 13.2m shares at $0.17, which corresponds to about 3.0% of the stock on issue. The total for the day was over 15m shares, with the bulk traded at $0.17 and only about 206k traded at the mid point price, $0.1675.

	Column 1	Column 2	Column 3	Column 4	Column 5
0	Time​	Price ($)​	Volume​	Value ($)​	Condition​
1	10:41:47 AM	0.170	51,249	8,712.330
2	10:41:47 AM	0.170	6,751	1,147.670
3	10:25:26 AM	0.170	193,249	32,852.330
4	10:25:26 AM	0.170	6,751	1,147.670
5	10:23:30 AM	0.170	193,249	32,852.330
6	10:23:30 AM	0.170	6,751	1,147.670
7	10:22:47 AM	0.170	150,000	25,500.000
8	10:14:18 AM	0.170	13,192,227	2,242,678.590	S3 XT

Somebody has been soaking up stock assiduously at $0.17 since the report.
I thought the report was a tad underwhelming – things are going in the right direction but still with a way to go. Improvements include the increased revenue, little debt, more cash, and an operating cash flow of circa 4.5 cps, up from 2.4 cps. But the revenue of $543m is a lot of work (and risk) to undertake for what is still a slim result, so the margin needs more work. Profitless work is easy to come by – just ask any slave. Profit is now spread over a lot more shares now as a result of the share issue.

That said, somebody with circa $2.5m to spend thinks it is OK value at $0.17 as of today.
I sold some of my holding at $0.17 subsequent to the report; not because of any strong conviction that the stock has run its course, but rather because of concern about maintaining an oversize illiquid holding in a falling market. With my luck, somebody will now turn up with a takeover offer, or some such. Lately, if it was raining female film stars, I would get Lassie.

Consequent to today’s special crossing, together with today’s high turnover (nearly 3.5%), I expect we will see a substantial holder notice from one side or the other of the trade. If perchance it is Lanyon who have been buying, they must be getting close to the 20% limit. Cheers