I think that a lot of people are missing the forest for the trees. Yes, they had said only earlier this month that they were fully funded to reach first profit. I still believe that - but the timing of this CR suggests that they can not wait for revenue from Sunfly and Divan to start flowing in. If what is said in the email is true, then they have been working hard to secure more deals and they are not going to tell potential partners they do not have the capital to start a JV because they do not want to do a CR and upset their shareholders.
At the end of the day, it comes down to whether you trust management or not. Management own 36% of this company. I trust their decision-making and do not believe they are going to intentionally destroy their own wealth. I sent Tom an email because, like everyone here, the announcement took me by surprise. As shareholders, everyone here can contact him too. I feel like investor relations is underutilised when people do their research.
It seems like 2.5c is possible for the raising price and would explain the attempt to drive the price down at closing last Wednesday and Thursday. In the short-term I suspect we may feel some pain, but give it a few announcements and people will be talking of 10c again.
TV2 Price at posting:
3.3¢ Sentiment: Buy Disclosure: Held
