Oleg was going around telling people personally that he felt...

Oleg was going around telling people personally that he felt that Saudi Deal was a sure thing and any day now and advising them to buy shares. That is at least part if not most of why Regal bought in. The other part being the heavy discount to WVAP. A special deal for institutions that retail never gets to the same extent. DRO produced 'zilch' results and in the end some people felt like this time last year was a 'Pump' orchestrated by Oleg to secure cash for a year (for the last 4 years this has been a terrible business based on financials that pays the executives exceptionally well). At the same time that Oleg was talking about the imminent $70m deal he was paying consulting fees to his primary investor, Bergen, via a subsidiary and Bergen had a seat on the board. Bergen who had regular contact with DRO must not have believed the imminent upside and used the chance to unload most of their shares. A lot of retail got caught in the crossfire. It is hard to blame them. Snowtown included.

IMO the whole situation absolutely reeks. A lot of people sold their shares rather than deal with this management. I learned from last year and thought if they were dishonest this year they may try the same tricks this year. So I bought at 10.5c anticipating a pump and sold at 18c. I would never hold this company longer term. It is probably worth around 3-4c a share IMO. And only because they have cash and I could strip it out.

There should be a real discussion around value here. IMO the US drone attacks add no value to DRO. DRO has been selling tester units to the US military since at least 2015 and they never bought a sizeable amount. They buy tester units from many players. The US military picked the technology they think is special around 2015 and allocated hundreds of millions of dollars and then they did it again in 2019. DRO was not even close either time. When Gatwick in London made a shortlist of superstars for their $25m system DRO was also not even close.

There are the 10 or so Tier-1 players with real advanced differentiated solutions. They do the big things like protect the President. DRO is using the same technology the next 30-50 Tier-2 players. This is why the company has little value. IMO it is this high because it is the only option on ASX. There are literally 50 guys with almost identical tech to DRO. DRO just packages it and markets it differently. If this was private markets DRO might be worth $2m outside of cash on hand, the execs would be paid 1/3 of what they are paid. Instead this is a $60m this company. The $2m in exec packages is risible.

To me the play here is to find the greater fool to buy your shares at 25c. It is possible. Look at the US markets, Kodak, Hertz. Look at small caps in Australia. This is even more possible if you believe DRO is being manipulated. As I do. What is the upside here? NO ONE in the world would ever pay $100m (approximate value at 25c including options) for DRO and there is no way it is ever going to return $100m in profit to shareholders. Can you imagine DRO at 40c ($150m). It is impossible IMO. DRO is a loss maker and will be that way for a while. The technology is not unique and has no value. It has a high cost base. Even if DRO sells $25m next year it will likely make even more losses. And that is a HUGE if.

Why am I here. If i had to hold this company for 10 years I probably wouldn't even pay 1c for the shares. But I look for moments when the stock is beaten down and hope I can sell it for more in the future. I do not really like making money this way. Going short or in companies I do not believe in. So I may stop doing it altogether. But for now I'll keep an eye on it. Pick your exit, try to make money, GLTAH and as always all statements are my opinion only.