MUL - Multimedia (not yet edited):
Total Shares Issued: 1,140,605,652 (Very
high - will impact liquidity)
1) Price:
Reached .006c April 2003 so there could be long
term holders out there who could afford to go close to this and still be in
front.
Also, has only been travelling in the 6-12c range
since around September2003 so there is some danger from those who bought well
under these prices between Feb02 and Aug03, however; one would think if they
were going to get out, they'd have already taken advantage of recent increases
SO my best guess is there would be some stability/support around
6c.
2) 10.2.04 announcement - new issue: 1M shares
are payment for consulting services
3) 14.1.04 - significant contract signed with
Airworks on behalf of major Airworks client, Woolworths - conditional on
certain commercial criteria - based on satellite broadbank to 700 Woolies
stores - includes additional hardware sales opportunites - hailed as vote of
confidence in NewSat solution which went live Oct03 (could be commercial
criteria have been met so the build up could be related to this
announcement)
4) Director share purchase: Clinton Starr 20/1/04
- disposed 802,809 for $47,595 in January, 6/2/04 - disposed 2.5M for $209,668
in Feb, shares remaining 25.5M, so disposal did not represent a large
percentage of his total holding but an opportunity to take advantage of
increased share price.
5) 6.1.04 - USA Dept of Defence now live in Iraq
- opening of Middle Eastern/African NSS6 beam - first customer US Dept of
Defence went 'live' - successfully implemented a hub that enables broadband to
over 30 countries - Multimedia's Newcastle based space facility is considered
to be one of the most advanced VSAT communications Hubs in the world with both
the Aust and middle eastern services operating simultaneously
6) 16.12.03 - two tranches of options were issued
a) 35M @ 10.5c b) 55M @ 8.75c (exp 1.12.08) were allocated
7) Change of Directors Interest Notice: 4.12.03 -
John Walker - acquired 83,333 $5K, sold 25,000 $2.5K - held after change
643,333
8) Change of Directors Interest Notice: 4.12.03 -
Adrian Ballintine - acquired 166,666 $10K - held after change
31,008,976
So far, with the exception of number of shares
and number of options on issue in terms of liquidity, all very, very
positive.
9) 3.12.03 - allocation of shares as result of
SPP (share purchase plan) - a) 249,999 @ 6c and b) 15385 @ 6.5c
10) More director share change announcements -
not yet viewed
11) 13.1.03 - delivers broadband - WaveCall, the
world's leading provider of Maritime Satellite Voice and Data Services has
selected Multimedia's NewSat services to exclusively deliver broadband to
ships at sea within Aust coastal waters utilizing SeaTel's state of the art
antenna system. Service available during first quarter 2004.
12) 14.11.03 - Chairman's address to
shareholders: very positive - refers to VSAT as having extraordinary
potential
13) 1.10.03 - full year accounts $16,027,818 net
loss in 2002 was quite high but was reduced by 30 June 2003 to $5,623,809. As
at 30.9.03 company had liquid funds of $1,696,375. Events subsequent - $4.25M
capital raised through clients introduced by Findlay & Co Stockbrokers.
Reduced costs, supplier relationships improved and broadened. Director's
shares as at 30.6.02 - 63,483,977. Total liabilities were $7,264,224 and
without recent financials it is difficult to ascertain current revenue, debt,
(and possibly profit) levels.
The wise and cautious would wait for release of
financials before committing. This does not mean that everyone will wait for
this as a look at the buyer volume tells us that there is anticipation in the
air. Perhaps an anticipation of a half-year report.
A) Suffice to say the release of
positive/optimistic financials would push this higher. Loads of potential if
they keep up this progress.
B) Providing cash burn is OK, debt has remained
stable or has been decreased, and sales are continuing to come in, it should
remain relatively stable but this would depend on market sentiment, i.e.; it
appears the market is anticipating good news. Because Mr Market is very
sensitive, he doesn't like it when his expectations have not been met. This
could cause some volatility, which is a higher risk when liquidity is an issue
due to higher total share volumes.
C) Anything outcome other than A) or B) is likely
to cause a sell off.
Regards,
Cris
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