share price = 40cents, valuation = $15.21

I have been critical of SSI in the past, but with Sports betting in Shanghai having commenced, I have decided it was worth taking a position at the table if the results are good.

Although you take a company valuation with a grain of salt, when they start talking in the billions for a microcap, I start to sit up and pay attention.

I can't wait to see the quarterly after the World Cup later in the year, it's a great event to bring the legalised Sports Betting into the mainstream.

Not many seats at the table available, so dip your toe in the water now.

From announcement on 1 March 2010
Further, the Company performed Value in Use analysis of its gaming rights for the reporting period. We would like to present a summary of the results and the assumptions used in the valuation of CEHs Shanghai gaming rights as follows:

Summary AUD
Commission rate 10%
Welfare = $39,247,088
Sports = $1,045,610,435
Total = $1,084,857,523
Per SSI Share* = $15.21

*Assumptions:
Illegal Sports Betting in China is estimated at US$10 billion per month. Shanghai is assumed to account for 10% of Chinas illegal Sports Betting market;
Conversion of illegal to legal Sports Betting is assumed at 5% per annum;
The Sports Betting market is assumed to grow by 9% per annum;
Total commission includes cash prize bonus estimated to be equivalent to an additional 0.5% commission rate;
Based on existing issued capital, including partly paid shares.