Hi Davidoff59,A fair enough post and concerns, especially in...

Hi Davidoff59,

A fair enough post and concerns, especially in light of that aweful article in theage.com.au today. If you have a read of what I posted on the FER forum (which I was typing whilst you were posting here), you'll see that I pointed out the article and discussed it, given that plenty on FER would already have knowm about the article.

Whilst Fermiscan might be different, my (relatively short) experience in dabbling with biotechs has tought me that beginning commercialisation is nowhere near to being commercial, and it tends to be a slow and systematic build-up to get to break-even and ultimately profitablity. Reaching the blue-sky does not tend to happen quickly.

The fact is that Polartechnics are on the verge of moving from cash-burn to break-even, soon to be followed by accelerating profitability, and I suspect they are already one or more probably two years down the type of path you are expecting Fermiscan to follow later this year.

I'm not sure if FermiScan and its (very significant) cash balances would have been able to go the distance to get to profitability without another capital raising, which we all know is not an easy proposition in the current economic climate.

Hopefully having Polartechnics make use of the cash when it can be used to accelerate the roll-out and profitablity will build up a greater cash balance for Fermiscan to use (rather than giving us dividends ... did I say hopefully?!) to really get it off the ground and make the most of the opportunities.

Yes, that assumes that things go to plan, but that was the case with each of the companies before talking merger.

Cheers.

p.s. as mentioned on FER, I came across a new article which describes a very colourful background to how FermiScan came about. I'm not sure if the names and events are well known or not, but it was certainly interesting.

The link is as follows:

http://www.businessspectator.com.au/bs.nsf/Article/Growth-industry-pd20090420-RAA5R?opendocument&src=rss&alerts&loc=center

(you'll need to register on the site to read it, which is for free ... I'm not allowed to reproduce it)