I know I gave Redflow until the end of May to come out with their updated strategy, but I felt at the time I made that prediction that it was a very pessimistic timeline. The longer it takes to publish the adopted strategy the more the shareholders will hate it. At this point I suggest the shareholder hatred will already be extreme.
The current cash status, the current share price, and the notes now issued to Mr Hackett severely limit the available options. I believe that the only achievable option is to monetise ownership of the technology.
Therefore I suspect that we will see either:
a) Licence deal.
b) Sale of IP.
Under a) Redflow becomes an IP company receiving a cash flow from licence fees or royalties, which will be a fraction of what the profit margin would have been from a manufacturing operation.
Under b) Redflow settles its outstandings, maybe makes a distribution to shareholders, and just stops. It probably wouldn't even be worth winding the company up. Maybe sell it for $1500 in three to five years time as a shell.
- Forums
- ASX - By Stock
- RFX
- Strategic Review
Strategic Review, page-23
-
-
- There are more pages in this discussion • 5 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add RFX (ASX) to my watchlist
(20min delay)
|
|||||
Last
9.7¢ |
Change
0.000(0.00%) |
Mkt cap ! $25.63M |
Open | High | Low | Value | Volume |
0.0¢ | 0.0¢ | 0.0¢ | $0 | 0 |
Featured News
RFX (ASX) Chart |
Day chart unavailable
The Watchlist
EL8
ELEVATE URANIUM LTD
Murray Hill, MD & CEO
Murray Hill
MD & CEO
Previous Video
Next Video
SPONSORED BY The Market Online