ATM - A2 Milk Corporation Limited

[Kirk]

Decrease likely due to the fact that freedom and deans havent been talking to the board. The market seems to have still thought that they would be talking about there options

[couta1]

Just bought a good sized block at 70c pulling my average price down from 92c to 74c could go a bit lower but being greedy where others are fearful i reckon applies here.

[Nasi Goreng]

NQ, last year when the company showed it was definitely on the up and up, media stories ran headlines on the fact it recorded a loss. They'll probably do the same this time. People just see the negative.

From a cash point of view, they had $16m 12 months ago, now they have $6.1m. This doesn't seem to be on their highlight reel.

We know that they were about to launch a capital raise before the EOI and it looks like they really need it. They have big expansion plans that are beyond the original plans, how are they going to fund it?

[iceman]

From a cash point of view, they had $16m 12 months ago, now they have $6.1m. This doesn't seem to be on their highlight reel.

We know that they were about to launch a capital raise before the EOI and it looks like they really need it. They have big expansion plans that are beyond the original plans, how are they going to fund it?

Despite very good sales growth in Australia and particularly outstanding with A2 Platinum formula, the good ANZ profit does no longer fund their large expansion plans.
I would have liked to see more detail about USA but suspect the limited info we were given means they haven't actually made any worthwhile progress there so far. It is early days.

I think there is little doubt that we will see a capital raising in the near future. I would like that and take part in it if given the opportunity, providing the terms were reasonable

[Crackity]

[QUOTE=iceman;587157

I think there is little doubt that we will see a capital raising in the near future. I would like that and take part in it if given the opportunity, providing the terms were reasonable[/QUOTE]

Me too - I'm going to buy a tiny parcel to get a foot in the door on the off chance over subscriptions are allowed.....

[Nasi Goreng]

I'm quite surprised by some parts of the presentation. FY16 EBITDA forecast for loss in the UK of 2m GBP which will be a 50% improvement on FY15. So they lost 4m GBP in FY15? Thats 9.5M NZD at todays rates yet in presentation, loss in US and UK was $7.7m NZD.

The growth is great... I think they will need to raise at least $50m to cover growth plans and we will need to see a 5 year plan. As a potential investor, I would want to know what the goals are for each market in year 1, 2 and 3 etc.

[blobbles]

Strange market reaction.

Revenue growth at 40%. Quick, run for the hills!

[Snoopy]

From a cash point of view, they had $16m 12 months ago, now they have $6.1m. This doesn't seem to be on their highlight reel.

We know that they were about to launch a capital raise before the EOI and it looks like they really need it. They have big expansion plans that are beyond the original plans, how are they going to fund it?

Strange market reaction.

Revenue growth at 40%. Quick, run for the hills!

Some people forget that a company has to be profitable to survive withou further injections of capital. So I hope you don't mind Bobbles if I spell things out a little clearer than Nasi did.

1/ Cash burn rate of $9.9m per year equates to $825k per month.
2/ Cash balance at 30th June $6.1m.
3/ Number of months before cash balance is exhausted: $6.1m/$0.825m = 7.4.
4/ Last day of trading for ATM listed entity: 12th February 2016

SNOOPY

[nextbigthing]

Strange market reaction.

Market reaction seems quite appropriate to todays news Blobbles;

Just bought a good sized block at 70c

Our beloved Couta is all in, so market is all out

[Nasi Goreng]

Just bought a good sized block at 70c pulling my average price down from 92c to 74c could go a bit lower but being greedy where others are fearful i reckon applies here.

The market has to get afraid first. Crikey, today is a bit of re-adjusting.

Shareholders were fearful when price was in the 40's. This could be a 3 day fall that goes like this...

Day 1, traders buy thinking they got a bargain
Day 2, traders sell realising they just bought a lemon
Day 3, fear takes over, more selling