Re: The Venture State of Mind
in response to
by
posted on
Aug 14, 2014 12:45PM
@junkers,
Maybe so, but even the market reaction to the R/S is a bad case of vulturitis. Among those I've spoken to who have managed to avoid the venture completely, literally none of them see the R/S a bad thing for the stated purpose of listing on Nasdaq. One of the guys said POET should do anything they can to get off the venture (but is okay with them keeping the V listing after the move to the NASDAQ), and the other didn't even know that consolidation is considered bad thing, having never bought any stocks that weren't already making money. I had to explain that some companies can't get anyone to do a PP unless they consolidate and only then did he see why some were afraid of it.
This is the short term thinking that's getting our panties in a bunch. Once we list down south we will have support for a rising SP, especially if the mounting NRE contracts suggest that a forward multiple should be factored into the value of the company. Then we can watch the SP run away.
Another thing to consider is that when the time comes to R/S the expected dip in the SP will already be baked in.
Also, if we do get above $5 on our contracts, then an announcement of the cancellation of the R/S would lead to a raise in the SP from there. Wouldn't that be nice!