To be fair groins, your asset value didn't really fall by 20% because of an administrative issue. There are a whole range of factors at play here and due to the suspension the market has been forced to react to them all at once.
Firstly the stock had already started trending off its recent highs just before trading was stopped.
While the stock has been suspended the general markets have gone into its next stage of the cyclical panic. The spec end of the market is often hit hardest and CDU is firmly at that end.
Certain commodities prices have been hit hard during the suspension. With a business where future revenues are entirely driven by specific commodities prices, this had to be factored into th CDU share price when trading restarted also.
Despite past conjecture about the amount of additional capital required (if any) this sudden push to get a CR away before xmas has informed the market of a funding shortfall and a required future CR which always weighs on any stock.
The failure of the CR itself is no doubt a factor as its impacts confidence. A failed CR is never a good look but I think you will find that the SP would have already taken a decent hit in previous weeks if the CR had never been announced. It would just have been a slower decline rather than one big hit.
Most here share your frustration with the sudden price adjustment but lets at least be honest with ourselves about the full nature of the problem and not convince ourselves all would have been find even if they did manage to pull off the entire swathe at $4.30.
CDU Price at posting:
$3.86 Sentiment: None Disclosure: Held
