A few quiet beers on a Friday night always helps to settle the mind of a curious marsupial...last night as I stared into the bubbly liquid amber, a few ideas came to mind that I thought I'd share (if only to pass the time)...
It's not exactly rocket science (but then, apart from actual rocket science, what is?)...it occurred to me that our mate Richard is on a path of what might be called "corporate advocacy". I haven't yet pored over the annual report but a cursory glance indicates that it's slicker and professional than past offerings. And I haven't attended any of the recent roadshows, but the mere fact that they've been happening suggests there's a move on to recast the market perception of AKK. In other words, "hey market, stop thinking about AKK as being a speccie stock because in the blink of an eye it aint gonna be"
It's a cliche that "perception is reality" and to the extent that you can influence perception you can thereby exert a degree of control over the reality itself. Of course, you do need the goods to back you up (otherwise you'll eventually get caught out, like the emperor with no clothes) but when you do get the goods, you don't just waste them by throwing them to the market in little dribs and drabs. Because it's the results that are your main ammo and you have to use them with maximum effect to fuel the dreams that you've created with your advocacy.
Why haven't we heard about Birch#3 flows yet? My sense is that to release them on their own would be a wasted opportunity. We need to wean the market off its addiction to a regular feed of low-impact information. In order to accelerate real SP growth, AKK must move away from the traditional model of a low cap stock that drills a hole, finds something, tells the market about it causing a surge of interest for a short time, followed by a lull until the next hole. Great for short term traders of course (ie. ye olde "pump and dump", making small profits as easy as shootng fish in a barrel) but it's not the way to get a permanent step-up / re-rate, is it?
I'm just as hooked on info as the next bloke and like Aussiepunter, I'd love to receive a fortnightly operations update too but somehow I just don't think that would be consistent with the Cottee acceleration strategy. As SL as suggested, I think we'll see the Birch #3 results wrapped up into a bunch of other results that all together will tell a pretty exciting story that will vindicate the dreams that he's been creating on the roadshows.
Great performance does not of itself necessarily attract the recognition that it deserves. Unless a great performer is by nature also a great self-promoter, they need someone to cause them to get noticed. And that IMO is what our man is up to...the art of advocacy. Sorry about the essay.
AKK Price at posting:
3.0¢ Sentiment: LT Buy Disclosure: Held
