Photon Group shares hit new low
Photon Group slumped to a new low on Friday, with shares declining to 7.5c – giving the organisation a market capitalisation of just $115.5m.
The price is down 25% on the discounted 10c share price when the company returned to the ASX in August after an emergency recapitalisation.
Despite raising just over $100m and renegotiating buyout deals with founders of the agencies the group bought, Photon still faces a series of deadlines when debt becomes due. The first is next March when $39m is due, with another $77m due in October.
At its peak Photon Group shares reached $6.95, meaning the stock has now fallen to just over 1% of that value.
Among the agencies in the group are BMF, BWM, Naked Communications, Mark PR and Frank PR.
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May have a decimal point in the wrong place there, Tim.
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Hi anon,
You’ll have to help me out, because I don’t think I have. But I’m always open to correction – particularly on matters financial.
Cheers,
Tim
Anon stands corrected, Tim. Just keeping you on your toes. Cheers.
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Well, Photon is looking like a good buy now… I hear JP is a sensible bloke… now if he would only get a decent CFO… let’s hope they’ve cleared the decks and it’s full steam ahead for FY2011…
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Did you say “Good Buy” or “Good Bye”
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And the staff are worried.
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@ The Dr
You are sacked. How dare you write such blatant objective witticism.
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JP’ll be looking for a 10 for 1 share swap next year I’ll warrant and convince more shares for cash payouts. The business has underlying $30M+ operating cash flow so things aren’t all bad but it really should only be carrying $50M-$75M debt on these numbers, not $200M+.
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