SPX 20.0% 0.8¢ spenda limited

OK.....so lets assume that in a scenario where ALL the 2.5 cent...

  1. 12,830 Posts.
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    OK.....so lets assume that in a scenario where ALL the 2.5 cent ' Pre Paid ' shares were converted . In this scenario , your ' Pre Paids ' would represent 20% of your entire holdings ....with the other 80% reflected in the Head Stock you already own right.

    It would follow then from this scenario that your current existing holdings represent at least 99% of your wealth which at least until you pay are hostage to 99 - 100 % ' movement ' in the Head Stock Price

    But since 80% of the potential Company's ' implied ' value is tied up with the heads and only 20 % by the ' Partly Paid's ' .....Whether they are paid or not means that should the Share Price move back to say 5.0 cents , the increase in your portfolio holdings resulting from your existing holding would only be represented by a 33.6% increase in value being derived from your heads verses the 2,500% x 20% = 500% in your TOTAL portfolio holdings of CRO securities having been contributed from your continued holding of your allocated ' Pre Paid ' shares at .001 cents..... smile.png.

    And we know the ' Pre Paid ' stock cannot drop lower than .001 right .... So lets say at 3.0 cents , your ' Pre Paids ' should still be valued at .006 , and at 2.8 cents they would be .0056 , 2.7 cents at .0054 , 2.6 cents .0052 , and 2.5 would be .005 cents.. So the reality is that in theory , the stock could drop all the way to .005 cents on the heads and the ' Pre Paids ' should still be worth .001 cents based on the total shares on issue ' pro rata ' market cap valuation. Of course the problem at this price largely becomes the reality that nobody would ever exercise them..... and so time value is meaningless in so far as it's valuation.

    However at some point between 2.0 and 2.5 cents , there should still be time value reflected into the ' Pre Paids ' .......and that is my point here......being that ALL the ' Upside ' is in the ' Upside ' so to speak , and from what my opinion would be - anything from 2.8 cents if you're lucky..... and more like 3.0 cents.

    So no need to panic folk's ...... and I'm starting to understand perhaps what part of their reasoning's would have been in relation to not filling the ' oversubscriptions ' from current eligible holders. Because if the shortfall of ' Pre Paids was 124,538,015 , and the overs were at least 4 to 5 times that figure - Then that's a ready made market of somewhere's between 500 million and over 600 million additional ' appetite ' for these securities PLUS the potential 31 % or roughly 400 million of holders who for whatever reason missed out on their offer and take up's.

    So that's a potential l ' Quantum ' of onlookers and Demand of near enough 1 BILLION of additional ' Pre Paids ' being strategically sought after at some point following this listing. And at .006 on listing with the Head Stock at 3.0 cents , I reckon this will be as good as any a base for this ' Phenomena ' to get busy and go to work......... sneaky.png

    I agree that this lack of ' care ' and / or diligence into the preparations and late submission of the Annual Report is almost unforgiving - However even so , I still reckon there will be plenty of Investors wanting to grab a slice of this action at a .006 starting point....... biggrin.png


 
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