TSK - TASK Group Holdings

[robbo24]

Have a smallish holding - around 850K shares, $19K at current sp, which I have accumulated over the last 4 months at between 1.1 and 1.8. I really like the company and its prospects and thinking about doubling holding over the coming months, but the specter of capital raising is putting me off. What is everyone's opinion on how the next CR will be done? Are all shareholders likely to be offered a piece of the action, or do you think it will be eligible investors and connected parties again?

Not sure how they will run it but you can bet your bottom dollar it will be at a discount to the SP of the day

But not too much of a discount, the special discount is saved for the directors

[Harvey Specter]

Will be interesting to watch but generally with higher liquidity the stock will move more and provide more opportunities to either enter or exit. i.e good/bad news will be more accurately reflected in the SP.

YOu assume higher liquidity. Wasn't it SUM which didn't trade once on the ASX in about 6 months?

[Schrodinger]

True but in the end if the company performs then it doesn't really matter. ST traders will be most interested of course. Also why do you think companies invest in investor relations people for exactly that reason to give a "fair" overview of their business and hopefully increase liquidity.

Market makers/ research is one of the mechanisms that should help the NXT do well. In the end it is all about the business performance so I am not really concerned except if I need to enter exit a stock at a sensible current valuation. Poor liquidity does not help for either parties.

[Baa_Baa]

What do you think is the most likely ratio for the pending share consolidation, and why?

Illustration:

Consolidation	Shares	SP 25/3
	1,468,406,587	$ 0.022
2	734,203,294	$ 0.044
5	293,681,317	$ 0.110
10	146,840,659	$ 0.220
20	73,420,329	$ 0.440
50	29,368,132	$ 1.100
100	14,684,066	$ 2.200

[robbo24]

What do you think is the most likely ratio for the pending share consolidation, and why?

10:1 so the SP is above 10 cents to get into .5 cent minimum increments on the ASX, to make their 1 cent capital raising shares easier to offload.

[Wallace D]

10:1 so the SP is above 10 cents to get into .5 cent minimum increments on the ASX, to make their 1 cent capital raising shares easier to offload.

2:1 will probably achieve that Robbo….., but at the end of the day the Aussie Institutions, and brokers like Bell Potter will have a big influence on the price the book build and IPO are set at, the consolidation will take place after the results probably, so the IPO prospectus can be put together giving a range, obviously with lot's of input from the experts. Then the Aussie brokers will go hard out selling this gem.

Looking forward to it though…..at any consolidation ratio.

Wallace D (Holding)

[robbo24]

2:1 will probably achieve that Robbo….., but at the end of the day the Aussie Institutions, and brokers like Bell Potter will have a big influence on the price the book build and IPO are set at, the consolidation will take place after the results probably, so the IPO prospectus can be put together giving a range, obviously with lot's of input from the experts. Then the Aussie brokers will hard out selling this gem.

Looking forward to it though…..at any consolidation ratio.

Wallace D (Holding)

MJP pre-IPO was $3.00 per share followed by 1:10 dillution to $0.30 to make the price more appealing for a 40 cent IPO.

PYL was 20 cent per share IPO.

Both of these went crazy after IPO. That's what the directors want so their friends can merry make on the profits they will make.

It'll be 10:1 - bet you 100 SNK shares it will be.

[Wallace D]

MJP pre-IPO was $3.00 per share followed by 1:10 dillution to $0.30 to make the price more appealing for a 40 cent IPO.

PYL was 20 cent per share IPO.

Both of these went crazy after IPO. That's what the directors want so their friends can merry make on the profits they will make.

It'll be 10:1 - bet you 100 SNK shares it will be.

Why am I not surprised you have SNK shares to bet with.

Only 2 bit's of banter per day Robbo or we will get STModed again !! I'm really starting to become fond of you though…..

[Baa_Baa]

I was wondering between 1for5 and 1:20, leaning towards the higher end. That would put the share at 0.44 today, a nice number under 50c and well out of penny dreadful status, but I could only reason it based on market perception. That said, it'll be worth a lot more by then so maybe 1:10 or 1:20 makes more sense.

10:1 so the SP is above 10 cents to get into .5 cent minimum increments on the ASX, to make their 1 cent capital raising shares easier to offload.

[Monty]

Maybe depends on what the price might be at consolidation time. A very good year end announcement and a rise in the share price might influence the decision. But my guess is a 10:1 consolidation on the back of an increase in the share price increase following on from some more announcements and a great year end result.