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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