RE:Question for the boardBenedictus wrote: Based on the last quarterly, the latest md&a and what was shared in the investor presentation, the company has $2M capex remaining for K2, $10M for equipment for K2 (which can be strategically added although they didn't say how much and when these costs will be incurred ), $5-$6M for GTA capex and plans to begin buildout of a facility in Australia to come online late 2021. So that's 18M total for K2/GTA plus an unknown amount for an Australia build. Anyone know how much K2 cost in total? That would give some idea of costs for an Australia facility. (I'll try and locate that in sedar).
Just out of curiosity, but do you have a source for that $2M capex remaining and $10M for equipment for K2? I was on the conference call and I went back to read the transcript and nothing was said about that. I also looked at the different presentations and couldn't find that either.
From what I got, they had prepaid expenses for K2 capex in the latest financial report, but didn't expect any material cash expense until K2 would start operating.
As to extra equipment costs, I don't doubt that as they ramp up volumes for white label products, they might need additional equipment. However, at that point, revenues and cashflow will ramp up just as well.
We'll see about the Australia facility, but I don't think they'll go to the market with shares unless the share price appreciates significantly. They will be cashflow positive going forward and as they build up sales and assets, they should be able to go with debt until share price goes back to a better value.