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Lizard
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I have all but given up on this as any kind of sensible investment. I am sure there will be some leap in price which allows for the bag holders to get out with some kind of profit. Probably a NASDAQ listing after they registered for OTC. But if you look carefully at the structure that is being put in to place you will see an insidious, I think anyway, plan being put in to place by the bondholders to put them ahead of the equity holders when it comes to making a claim on any cash flows coming from the promised high growth.

 

Then after the so many years it takes for the bonds to mature they will be able to convert to equity at some severely discounted price and share in the then mature and stabilised revenues or participate in some share buyback or takeover.

 

Something like that. But whatever it is, those bonds are already ringing a death knell for the equity holders.

 

Gotta watch those Southern sweaty sock jocks.

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  • 5 months later...
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  • 1 month later...

It is a sad fact that these people seem to be on the cusp of being profitable yet the equity owners who have sucked this lemon for what must be near on a decade will not get to see a scrap of it as the noteholders have first claim to it even they are the johnny-come-lately.

 

Sadly a rather typical story for investors in NZ.

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  • 5 months later...
It is a sad fact that these people seem to be on the cusp of being profitable yet the equity owners who have sucked this lemon for what must be near on a decade will not get to see a scrap of it as the noteholders have first claim to it even they are the johnny-come-lately.

 

Sadly a rather typical story for investors in NZ.

 

A 5c maiden dividend announced for the preference shareholders.

 

Not hard to see what their game is, is it?

 

This thing is gonna have every penny it ever makes stripped out of it as quickly as they make it.

 

Next, watch out for rising debt levels once they declare themselves cashflow positive and a going concern.

 

Sooner or later, this thing is going to end in tears for someone. A bit like SCF.

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  • 4 weeks later...

What kind of company is it that is happy to pay out a 5c dividend to certain shareholders and not others while running up losses in excess of $480k on revenues of $1.8m?

 

Outrageous. :grrr:

 

Perhaps SCF are unlisted creditors to some of the people involved.

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This company is about to pay its second dividend to the prefs. yet is still hasn't even turned a profit.

 

If ever there was a signal that this thing is being stripped for every penny before being sold this is it. Wouldn't go near it for all the tea in China.

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  • 1 year later...

I think a third or even a fourth has been paid since the last post. They still haven't turned a profit. Some dodgy looking accounting balances there.

 

If we are to enter a biotech boom like so many say, then this is definitely not one to be involved in unless you hold a stack of the BLTPA's. Only those are entitled to any revenue stream or at least have first call on it.

 

 

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  • 3 weeks later...

If this isn't an invite for John Key to don his shining body of armour, mount his sturdy white steed to ride in and save the day with all the regency and pageantry he can muster, then I don't know what is. Otherwise this is just going to fall in to the hands of those thieves who bought up the BLTPA's and stripped every penny it could out of this thing in dividends.

 

BLIS Technologies issues guidance and actions strategic review.

 

The Board of BLIS Technologies Ltd advises that the Company is expected to report a consolidated loss from operations of $1.87 million on consolidated turnover of $1.4 million for the year to 31 March 2012. The operating loss is after provision of $0.4 million for the preference share dividend and includes losses of $0.15 million recorded by BLIS Functional Foods (BFF) consequent upon the acquisition of the assets and undertakings of Gourmet Icecream.

 

Consolidated trading revenue in the six months to 31 March 2012 is expected to increase to $1.4 million from the $0.3 million recorded in the six months to 30 September 2011. The expected loss from operations, in the six months to 31 March 2012 of $0.8 million is in contrast to the $1.1 million deficit recorded in the six months to 30 September 2011.

 

As previously advised, the first half year of ingredient sales were affected by a change in the Company's global distribution arrangements and a strategy change by its then largest United States customer.

 

Ingredient sales have commenced pursuant to arrangements with our new distributor Stratum Nutrition but not yet to the levels that the Company had previously expected at the time of the Share Purchase Plan (SPP) in September 2011.

 

Based on current sales projections and following a cost review reported to the Board this month, a further operating deficit of approximately $0.8 million is anticipated for the financial year to 31 March 2013. Such a loss would exhaust the Company's existing cash reserves which are expected to stand at $0.7 million as at 31 March 2012.

 

A further significant uplift in ingredient sales is required for the Company's financial performance to be acceptable. While conceivable, given the achievement of GRAS self-affirmed status (Generally Recognised as Safe), the approval to market BLIS K12 in China and the recent appointment of Stratum Nutrition, the Board considers it cannot rely on achieving such a sales uplift in the next twelve months.

 

The Board initiated a Strategic and Financial Review of the Company's operations by Murray & Co in early January 2012, the results of which were presented to the Board this month whereby Murray & Co confirmed a potential requirement for additional capital, a factor the Board has been mindful of since the September 2011 SPP and associated placements raised $1.6 million rather than the $2 million to $3 million that had been planned for at the time.

 

In light of the current financial position and expected performance, and based on the results of the Murray & Co review, the Board has undertaken a number of decisions, including:

o The appointment of Murray & Co to solicit further capital for the Company;

 

o As provided for in the Prospectus under which they were issued, the final preference share dividend due in May 2012 will not be paid in cash but will be satisfied by the issue of ordinary shares on the Conversion Terms subject to all deductions required by any applicable tax law;

 

o Note: The Conversion Terms are ordinary shares issued at 95% of the ordinary share price prevailing in the 20 business days prior to conversion subject to a minimum conversion ratio of 25 ordinary shares and a maximum conversion ratio of 100 ordinary shares per dollar. The volume weighted average share price over the period 5 April to 8 May will determine the conversion ratio.

 

o Director's agreeing to forego fees including those due for the March 2012 quarter;

 

o Initiating further operating cost reviews including the merit of maintaining an NZX listing.

 

The Board also notes that, as a consequence of the relatively poor operating performance and immediate operating outlook, a review of the intellectual property on the Company's Balance Sheet conducted in the context of the annual audit may require the carrying value to be revisited. If so, any impairment in the carrying value as at 30 September of $2.3 million arising from the review will add to the anticipated operating loss.

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  • 5 months later...

You have to wonder how many times these guys can get it wrong. Now this after stripping out every penny they could. If I remember right, it was Masfen's son who took over the role of CFO or something. Gotta wonder what the hell is going on when a while back it was rumoured Nestle was in the hunt for this, wanting to take a cornerstone in equity.

 

BLT Revises FY2013 Guidance and Announces Share Purchase Plan and Placement Intention The Board of BLIS Technologies Ltd advises that the Company has revised its guidance for the financial year to 31 March 2013 to an operating deficit of $1.3m from the $0.8m advised in March and reaffirmed at its AGM in late July.

 

The material change in outlook is a consequence of a number of recent developments including:

 

(1) the decision of a United States based formulator to suspend promotion and sales of a product containing BLIS K12 and BLIS M18 ingredients;

 

(2) deferral of the launch of products containing BLIS K12 into the Chinese market; and

 

(3) a review of immediate supply chain requirements by our distributor Stratum Nutrition. The decision by shareholders to maintain an NZX listing has also added to previously forecast compliance costs.

 

These adverse events have unfortunately overshadowed the progress achieved by BLIS and Stratum Nutrition in the Asian and European markets in recent months.

 

According the Board has conducted a further review of operations and in the light of the current status of the Murray & Co capital raising initiatives, has determined to launch a Share Purchase Plan and Placement.

 

Although alternative capital raising and licensing options have been reviewed, the Board considers that none of these proposals are sufficiently advanced to provide the funding certainty required in the current economic environment.

 

Further, the Board is of the view that in the absence of additional funds raised pursuant to the Murray & Co mandate, a further capital raising in the form of a pro-rata issue to shareholders would likely be required in the 2014 financial year as the Company continues to execute its business strategy.

 

Share Purchase Plan documentation will be provided to shareholders later this month providing further background and details of how they can subscribe for new shares. Any placement of shares will be undertaken at the same price of the shares offered under the Share Purchase Plan. Mr Bevan Wallace (Director) Contact: 0212462577

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