This is the big question mark with this stock at the moment....

This is the big question mark with this stock at the moment.

Their previous "Non Binding" term sheet agreement of raising 3.5 million AUD by the issue of 116. 6 million Convertible Notes at 3 cents each, is laughable now... (I didn't think it was that bad at the time..)

To raise the same amount, with a now more likely issue price of 0.004 cents, they would have to issue 875 million CNs..

Does anybody know if the issue of this many Convertible Notes is even possible, with the current issued shares of 322 million??

I'm not sure of the ins and outs of their conversion, but if they were all to eventually convert, we would have well over a billion shares on issue (close to 1.2 billion)

Company's only go the CN route, if they have well and truly fffed up and have no other means to raise capital.

Even if we had share issue capacity, which we don't (until at least October) we could only issue 10% which would be AUD $128 800 (assuming 32 million shares at 0.004 cents) I know you can issue more with approval, but its a moot point at the moment anyway..

Wu flu would be screwing with the bottom line now as well..

I sincerely hope CNs are now off the table, but that only leaves refinancing of the loan to a higher amount (possible, as we do have cash flow) or some kind of saving grace from one of our big customers...

What'll it be Hmmm?