Orion Health

[RupertBear]

I find it hard to justify 90c. Will likely be able to buy them on the market for less before the months end.

My holding is down 65% since my initial investment last october. I guess I'm screwed either way!

Yes I know what you mean Kay. I also think they will go down below 90c but I have decided to take up the rights offer if it will help them survive. I may well be throwing good money after bad but I would like to see them succeed.

[whatsup]

Not for me now at .50 may be a small buying but not via this cap raising imo.

[Balance]

Not for me now at .50 may be a small buying but not via this cap raising imo.

Buy only when the smart money moves in - Diligent and Xero are the best examples.

Those who bought into Provenco, Cadmus, Wynyard etc thinking that the shares look cheap as they dropped towards zero were looking in the rear mirror as they drove into a train.

[RRR]

Disc- bought a few OHERA today.

Orion have finally given a financial forecast for next year - $200-220 million revenues and profitable by 2nd half of FY18! I am sure many of you noticed this, but no one has mentioned about this on this forum...Market cap is $160 million ($190 million after rights issue at the current price). Approximately 40-50% of the revenue is recurring.
Current research spend of 30% of revenue is excessive and will come down in the future.

I see good value at this price, but future is very uncertain!

[Lola]

Disc- bought a few OHERA today.

Orion have finally given a financial forecast for next year - $200-220 million revenues and profitable by 2nd half of FY18! I am sure many of you noticed this, but no one has mentioned about this on this forum...Market cap is $160 million ($190 million after rights issue at the current price). Approximately 40-50% of the revenue is recurring.
Current research spend of 30% of revenue is excessive and will come down in the future.

I see good value at this price, but future is very uncertain!

Agree but can one have faith in those revenue projections?
Mr McRae is a very smart dude but may be the real smart thing would have been for him not to take up his entitlement and instead negotiate with a receiver if there is one

Just a random thought

[Baa_Baa]

Yes I know what you mean Kay. I also think they will go down below 90c but I have decided to take up the rights offer if it will help them survive. I may well be throwing good money after bad but I would like to see them succeed.

Hey Rupert, some might wonder whether you're into this for investment purposes or philanthropic purposes. I would suggest taking a rather more selfish view, deciding whether chasing bad money with good money is a profitable venture, until the company demonstrates that it is worthy of receiving your hard earned. If you can afford to be philanthropic, by all means wade in.

I would forego the cap raising and keep monitoring the SP for another or a new entry, should and if they get their sh1t together. Nothing is certain about Orion except the historical performance and none of that suggests this is the right time to punt on their future.

It is actually quite easy to just stand on the sidelines and wait until it either recovers, and buy the strength off weakness, or do nothing.

Jmho and just trying to share another perspective. You owe this company nothing, you have no obligations or imperatives to support this company. Your only obligation and imperative is to your future financial security and well being. It might not involve this company, or it may, but there are many other better ones at this point in time.

BAA

[RupertBear]

Hey Rupert, some might wonder whether you're into this for investment purposes or philanthropic purposes. I would suggest taking a rather more selfish view, deciding whether chasing bad money with good money is a profitable venture, until the company demonstrates that it is worthy of receiving your hard earned. If you can afford to be philanthropic, by all means wade in.

I would forego the cap raising and keep monitoring the SP for another or a new entry, should and if they get their sh1t together. Nothing is certain about Orion except the historical performance and none of that suggests this is the right time to punt on their future.

It is actually quite easy to just stand on the sidelines and wait until it either recovers, and buy the strength off weakness, or do nothing.

Jmho and just trying to share another perspective. You owe this company nothing, you have no obligations or imperatives to support this company. Your only obligation and imperative is to your future financial security and well being. It might not involve this company, or it may, but there are many other better ones at this point in time.

BAA

Thanks BAA I found that a really helpful post.

You have helped me realise I would be repeating the same mistake I made with Wynyard if I take up the rights offer especially when I think the sp will keep on going down. Duh! A fool and their money eh!! And no I cant afford to be philanthropic!

I think waiting to see if they can recover is a very wise strategy and a strategy I will adopt and should have adopted ages ago.

And yes there are better fish around to catch at the moment.

Always great to hear your opinion BAA thanks

[whatsup]

I seem to remember Mr Darling of PEB telling the world that they would be generating $100,000,000.00 in 3 years time, that was 3 + years ago I think and is yet to happen, remember " talk is cheap " !

[RRR]

One of the major criticisms from investors about the OHE management was that they refused to provide any sort of financial forecasts. Now they have provided forecast for next financial year and their plan to cut down expenditure. At least now investors can compare their actual performance against their forecast. Their R&D expenditure is crazy and not sustainable.

[kaituna]

Yeah, but remember that they previously said they would be profitable soon and would not need to raise any more cash.

And now an emergency cash raise?

Does the CEO have 15 mill in the bank or will this come from loans against shares held?

If the latter one then on what terms will it be supplied?

Also wrapped up in the previous report was that they had factored invoices to the BNZ, things are pretty bad when you have to borrow against accounts receivable.

For a whole raft of reasons I feel very let down by this company. I now don't believe a word they say.