Member Info for dallo

Joe

David Levi and Shavit Baruch have been the main shareholders in Ethernity Networks since its incorporation in December 2003.

The IPO of the company in 2017 reduced their total holding to around 45% between them.

So Levi and Baruch had millions of shares at nil paid following the IPO dilution.

They were laughing all the way to the bank until the 5G Open Ran market failed to materialise and so they saw the SP crash from c160p in 2017 to 1.5p today and Levi and Baruch were forced to stump up real cash in the various placings of the past 3 years to keep the show going.

So Levi put in c£1m in these placings and with a holding of 13.5 million shares he has a breakeven of 7/8p before you take in the £200 ,000 per annum in salary in effect paid by shareholders as the company has accumulated losses of c$40m.

So he has lost nothing material apart from his pride and reputation and oh I forgot all of the shareholders investment.

By the way I stand over the statements made over the current employee levels in Ethernity.

ATB

Bid

The fact that Ayala Deutsch hasn't been appointed as Finance Director as yet suggests she may not want the job and who would blame her.

The savage cost cutting has decimated morale and it looks like Levi would welcome a bid at c6/7 p as he would get his total investment back but I can't see any potential acquirer keeping him in the job.

The company is running out of options and unless some significant PON licencing deals are announced soon it will reach a cash crunch by October/November

It appears the Board has finally seen the light and is taking its responsibilities seriously at long last.

As the main inquisitor at the AGM ,I asked some searching questions of the Board and reminded the directors of their fiduciary duties to shareholders.

Ethernity has now been reduced to an insignificant player with some interesting tech, US patents , valuable tax losses ( ouch!) and a listing on UK AIM

and the pitiful US OTC market

I said in my previous post that the next 2 months are crucial and I think with the bare bones operation they are running now it could be an attractive takeover target but sadly at a price where shareholders will still lose most of their investment apart from Levi and Bergen ( who could be tragically a winner for once)

With US Semiconductor stocks booming on the back of Nvidia soaring in the AI Chip sector, it is sickening to see Ethernity in the sewer.

ATB

Ethernity has now gone back to being a small Israeli based incubator tech business having been burnt in trying to play in the big boys league with complete systems solutions for large OEMs who played them like a useful design laboratory and never followed through with big contracts including the Chinese OEM who Ethernity boasted about getting a $7.6 m order from and is now apparently delayed as with with previous contracts.

Levi and Baruch are now focusing on the XGS PON Tech which , in fairness , is interesting and in a growing space in the telecommunications industry with a global market of c$15billion in 2022.

The XGS PON...10 GIGABIT PER SECOND SYMMETRICAL

PASSIVE OPTICAL NETWORKS is an in demand solution for cost effective, low latency transmission of data from a central OLT ( OPTICAL LINE TERMINAL) to

the destination ONT( OPTICAL NETWORKS TERMINAL).

The advantages are cost , reduced power , split fibre to over 32 different location points ( fibre to room et al) and most importantly overcomes the weather and terrain obstacles of traditional cable and Ethernet.

This is hugely important in China, Africa and the US low population states now the beneficiaries of the US Broadband subsidies.

So with Tarana and others targeting this market and Ethernity now attempting to sell its PON Tech via licensing agreements they may have a chance to get out of this mess.

The company now has about 18 full time employees and could reach cash breakeven if new licencing deals are announced soon.

At the current £2m market cap it is considered worthless by the market but if they get their act together there may be a chance of an

unlikely resurrection .

Not to mention a possible bid for the lot given its tax losses, patents, tech and stock market listings.

The next 2 months will determine our fate imho.

ATB

Joe

There is only a link to the AGM for those shareholders who have registered with the company to attend the AGM following written confirmation from their brokers of their current shareholdings.

This is standard procedure for all AGMs of public companies.

Oscar

The new Board appointments are very positive and demonstrate a professional approach by Immupharma which wasn't apparent in the past insofar as the new Directors have skill sets matching the current regulatory, legal , medical and track record requirements needed by the Board to accelerate the Lupuzor Phase 2/3 trial, CIPD trials , Rest of the World Lupuzor and CIPD rights negotiations with 3rd parties et al.

Promising RNS in my view and now time for some real action.

I have received a very short reply from David Levi in respect of my Convertible Bond suggestion to get Bergen out.

It reads simply as follows

"Thank you for your email and suggestion"

"We are working on multiple paths to resolve the current SP situation "

Let's hope that they are working on getting the SP moving higher as there is no evidence to date of this happening or their ability to do so.

AGM on Monday so let's see what the Board has to say.

ATB

Skid

Fully agree about DL but the whole Board must take responsibility for the damage it has done to investors.

The exercise of the 6p warrants is the only possible source of funding on the horizon and this cannot be achieved whilst Bergen overhang the SP.

That is why a White Knight who will take out Bergen via a Convertible Bond or another structure and which gets rid of the massive overhang , is absolutely necessary or maybe a sale of the company if all else fails

Either way Ethernity is toast if it cannot get rid of Bergen, secure the warrants and get substantial licencing contracts.

The situation at present is now critical and investors need action .

Sword of Democles, I should say for the pedantic among you

As usual when I post I am attacked by the poster on ADVFN who says I am depressed.

Far from it I am in great form and just trying to be constructive.

He is beyond redemption and I will say no more.

I have sent my suggested solution to the Bergen issue to David Levi via an email and I will keep you all informed if I receive a response.

We are all in this together.

ATB

While it would be galling for us all to see Bergen get out at a small loss , the company and other shareholders have no chance whilst they are holding the Sword of Democeles over our head.

Shareholders can attend the AGM on Microsoft Team Meeting online on Monday the 14th August at 9am.

I will be attending and one of the suggestions I will make regarding Bergen is for the company to issue a Convertible Bond to take Bergen out and alleviate the

the current insurmountable pressure on the share price.

The mechanism for this issue would be to have a White Knight ( Tarana/ US /Israeli company et al or one of the 30 billionaires in Israel ) to subscribe for say $1m and offer Bergen 75c in the US Dollar for its shares.

At the moment Bergen cannot sell its shares because its very own overhang ensures that no-one will buy any shares in Ethernity while Bergen is around so it is screwed like the rest of us.

The Convertible Bond may have a coupon of say 6% p.a. plus rights to convert at a price of perhaps between 7 and 9p thereby giving the the company a chance to to secure the 6p warrants and thereby ensuring that the Convertible bondholder(s) will not unduly dilute the existing shareholders and have an opportunity for a capital gain.

For a large company/ wealthy individual this is an excellent opportunity and will help Ethernity to move on and develop.

Any thoughts on this from fellow shareholders would be appreciated.

Ethernity must think outside the box in its present situation.

ATB

Our Tracy is saying I received inside information on the Bergen extension after discussing the Bergen situation with Ethernity as is the right of any shareholder.

She asked the same question of Levi who confirmed the Bergen extension even though the information was not RNS to all investors thereby by her logic , she received inside information as well.

If this was a positive piece of information you would have expected the share price to move higher which it didn't.

The real issue is not just Bergen but whether the company can survive or not .

In this scenario it doesn't matter a jot whether Bergen call for shares before September or thereafter as it will be burnt like all other shareholders.

Let's hope it doesn't happen but hope in Ethernity is putting his hat on and heading for the door.

ATB

Yes ADVFN is truly awful and demeaning.

I put this information out today for the benefit of all shareholders and was immediately vilified by some notorious posters there.

I could have kept it to myself but we are all in this mess together.

Obviously now that it confirmed again I don't expect any apologies from you know who.

LWHL

Thank you

I see some ADVFN posters are still disputing the email

I received from Ethernity.

It was not sent to me in confidence and if any other investor wishes to get direct confirmation themselves from Ethernity, they should go ahead.

It is now public knowledge and possibly should be

in a RNS.

Following a number of repeated requests for information on Bergen from Ethernity, I received an email confirmation of the 6 months Bergen extension.

I have shared this confirmation email with certain investors who are also posters here who will confirm the veracity of my information.

Unlike some of the vile posters on ADVFN, I do not lie.

JT

I know I said I wouldn't post again but I have some important information regarding Bergen.

Under the Subscription Agreement, Bergen has the right to extend the end date , currently 3rd September 2023 for a further six months for any uncalled shares outstanding at that date.we

However we do not know at this moment what are the intentions of Bergen and I suspect neither do the company.

The most likely scenario following Mark Reichenberg's departure is a sale of the company, something paradoxically that could benefit Bergen should it call for most of its shares at the current 1.7p level.

Appalling mess.

Anyway

Just to let you know this my last post .

I have used the site to communicate my feelings to the pathetic management in Ethernity who I know read these posts.

I wish you all the best but it is time for me to move on

Cheers

Finally despite what was said on that ADVFN cesspit site Bergen are not involved in TNT where a US vehicle was paid off today.

Bergen's last investment was a A$2.5m investment in Titanium Sands in May 2022.

Tracy ( 504) describes the LSE Board as a " parallel universe "and accuses posters here of stabbing management in the back when they should be supporting them.

This is a poster who we kicked off LSE for accusing management of insider trading and was going to report them to the FCA in 2021.

Beware.

Following on this theme , should Bergen call at 2p, then management's shareholding ( Levi and Baruch mainly) would be diluted to just 9% , the 3 Institutional investors ( Cipio, Miton and Pix Epsilon) diluted to a combined 15% with other shareholder holding the balance say 40/45%.

So in effect management who once held c40% of the shares could be powerless unless they pull a rabbit ( rabbits) out of the hat.

A bid for the company gets more likely as each day passes imho.