What is it worth?, page-6

Thanks for the comprehensive post Marvin. Very good to see such a well considered thought on the present situation.

I suspect the current price activity is due to two key factors: the market is not convinced of CM8's continued earning capacity and, subsequently, is concerned about its ability to meet current debt liabilities. Whilst this risk is highly likely to be mitigated/eliminated in the short to mid term by both a debt refinancing and/or sustained EBITDA growth, should the company miss the number at the current market cap any capital raising to address the shortfall would be quite dilutive.

I should add I agree very strongly with Marvin's assessment of the valuation however playing devil's advocate the above is the foremost reason I can think for why we are seeing the present market valuation.