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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