RE: Research12 Jan 2021 10:27
Thomas,
We have done this dance before.
SOH could not anticipate the timing of H&B and Optipharm agreements landing in short order of each other. Nor could he anticipate Covid-19 which impact the SBTX share price. SOH was left with two choices; risk losing or both agreements, which are worth multiples of the placing; selling a liquid asset. He needed to sell down anyway to prepare for the proposed NASDAQ dual listing anyways. OPTI still maintains almost £12m of SBTX, all of which is now free carry. Not a piece of business, which will multi-bag from its current position in due course.
A reminder of a quote from SOH; ''If you look at our H1, we have £1.68m in the balance sheet and costs of around £100k per month. This gives us 14 -16 months without sales. We have always been prudent in any fundraiser and have raised £8.3m in total, delivering a £50m+ market cap. We are not getting a placing away now or at any time soon.''
I don't know how many times people need to be reminded of the above; it wasn't so long ago. Even if there were to be a placing, they have been for £1.5m, hardly dilutive and they have always been prudent.
I don't know any more than anyone else. Logic suggests that the company already has a healthy cash position; this is expected to grow on H2 multiplier of H1. IMHO there will not be a placing until NASDAQ unless we opt for a virtual listing with virtual shares. ??
There is an alternative; a reverse listing. We will have to wait and see.