SLT 0.00% 0.7¢ select exploration limited

what the?

  1. 1,274 Posts.
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    The latest report showing little or no income sure is disappointing, perplexing and frustrating. The half yearly report declared that the Hep E deal with Genelabs 'represents the maturing of the company from pure R&D to one with a mix of products generating on-going revenues.

    The announcement on 3/8 said the deal with Genelabs would 'deliver upfront payments and on-gong royalty fees'.

    The AGM address to share holders said 'Genelabs is well placed to maximise the commercial potential' of Select's work.

    None of this has taken place at least in a way which is transparent to shareholders. After there was no income in the last report I rang Soust the CEO to ask why. He expressed surprise that income had not been reported and said he thought it was there (even though a colleague had already rung him to make the same point and surely Soust signed the report!) and that he would ensure that it was there on the next report. The next report comes and it is not there. ( I suspect the small revenue that is there has nothing to do with the Genelabs deal, we have often generated small revenues by selling research material to other labs, and the $10,000 was probably more of this.

    This means one of four things:

    1 Soust is a liar
    2 Soust is incompetent
    3 Circumstances have changed and he has not informed the market.
    4 Something I haven't thought of

    The first three options condemn him as CEO and will be raised loudly at the next AGM. (Personally I suspect options 2 or 3 ahead of 1 or 4)

    So my belief is that non of the income from Genelabs has been reported. I can think of no valid reason for this and it breaches the ASIC rule for ongoing informing of the market. Meanwhile I expect blood in the water come 10 tomorrow and loyal shareholders will take a flogging unless there is a remedial announcement in the mean time. Good luck to those who are going to try and contact Soust before market opening and be sure to make an urgent post with his response.



    PS Apart from the almost certain plunge in the share price it gives wings and substance to Blackoils long expounded conspiracy theory. I don't know which is worse.

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