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I used to but as said previously the BoD do not update us when they have disposed of shares anymore until their very late quarterly updates so no one knows for sure! like i said last week, it would be really helpful if the BoD could just update us on the amount of shares in each investment we hold and the cash balance, both very easy to get hold of if you are the BoDbut for some reason do not. the website is not up to date either with the amount of shares on each when i last checked.
The CDT Share price being where it is (currently $8.50) will be lowering the vwap. Problem is our cash balance, it is my understanding unless they have sold some shares in some investments then they do not have the funds to cover the overheads. So we may not have the luxury of waiting for the Conduit SP to settle before we exercise the option.
Like everyone has said a simple update from the BoD would answer all these questions!
I echo everyone's frustrations with the BoD. BUT this should be the start of the rise not what we are seeing now! Our investments Live and Non Current (Not including SGSC) is roughly £2.7m and our Mcap (at time of writing) is £4m. IS the market waiting confirmation of the exercising of the PUT option before investing here? I know AIM is terrible for herd mentality and we saw MODE do huge rises recently based on nothing but a name change and rumour of an RTO yet when we likely have 175% of MCap in investments we see our SP back to the 0.02s.
Our SP should be 0.04 just to reflect the value of the investments!
Lets say the 10 day VWAP is $12.50 then we would get $4.8m / $12.50 = 384,000 shares. Obviously that would not currently represent a good deal for us as the SP of Conduit (at the time of writing) is $10.13 which would make the value of our shares worth $3,889,920 so over $100k down straight off the bat! due to the volatility of CDT SP its a tough call when to exercise the option...
CDT looks to be up to nearly $20 on after hours trading from what i can see.
Anyway a very simple calculation of the average of the previous 10 trading days would give an SP of roughly $12.50. If conduit goes on to trade over $20 then the $4.8m would be worth far more and allow the BoD to dispose of a chunk and still leave a healthy amount in long term.
Obviously this is all speculation so the sooner the BoD reveal their hand the clearer the picture becomes. Either way our SP is still way below where it should be.
The way I understand it is that when we notify of our intention to exercise the option we will be given $4.8m worth of share at the average of the previous 10 trading days SP (but no lower than $5 and no higher than $15). for ease if that average is $10 then we get 480,000 shares. We can then choose to hold or sell the shares at whatever price we can get for them.
In a n ideal world, yes. BUt like you Dave i like to think we have a fairly good grasp of where we are with the investments but due to the lack of updates from the BoD when they dispose of any shares etc I am not sure where we are exactly.
Personally i would like an update with the amount of shares we hold in each company we are invested in, cash in the bank and the plan moving forward with the PUT option. The first two parts (amount of shares in each company and cash balance) should be so easy for them to do!
Yeah i agree, lets see where we are with the other investments. As had been discussed the BoD had to of sold something to keep the lights on as the £50k in the bank is all gone. Quarterly update with all the facts and figures and it makes it a lot easier for new PIs to make the decision to invest.
Exactly! so much value still to be had at these levels. Obviously the new merged company is due to start trading today so lets see how that goes. I think we will hear from the BoD next week with hopefully their plans moving forward.
In laymans terms a quick tot up of our investments we have circa £2.8m live an non current investments and cash (not including SGSC). If we add the £4m from the PUT option we have an investment value of around £6.8m.
Our Mcap (at the time of writing ) is circa £4.8m, so still potentially still £2m below our investments alone....
So an SP of 0.04 would be fair value.
Asia, i said a while ago, i personally would like to see us sell £1m of conduit shares to allow for working capital etc and leave the rest in and see where it goes. Our BoD have not been great with investments but when they stick to pre IPO investments we tend to do a lot better. having £3m of share in a Nasdaq stock should be beneficial for sure. If AZD1656 does eventually get commercialised we stand to gain very well from Igraine and Conduit whilst having realised a profit already!
Afreed BigDave. Really think they should leave in as much as possible with Conduit/Murf. If the drug comes off then we will have exposure from Igraine and the investment in Conduit. Plus would stop the BoD investing in more dudds!