| | | It will be interesting to see what actually becomes of CCB in the coming months - if it fizzles, or if its value holds and there is a real transaction. In-line with both of your posts, it was precisely why I raised this CCB news and its impact to their market cap on the other SI board - to show what kind of an effect it can have.
As I think a few of us have been saying, what ZEN needs is news that legitimately shows its value potential by way of some form of contractual sale, off-take, or other major end user business collaboration agreement that indicates the value and desirability of our product... And I believe that is overdue.
I do applaud ZEN for the efforts by current and recent past (my understanding is Phil played a significant role too) ZEN staff in getting the Guelph facility going, and certainly that is very important in terms of proving our ability to produce our graphene products (once it is fully operational), but to me the webstore by its nature is not something that is going to excite the market because it implies small volume sales. In other words, a major end user is not going to pull-up to the store and order a large quantity worth many $millions. That sort of deal I believe is always going in the form of a contractual sale similar to what CCB appears to have inked, but I would be very happy to be demonstrated wrong on that.
Some would counter this point about sale value by saying that the ratio of price-to-quantity with graphene sales is quite high, i.e., the stuff is extremely more valuable than graphite, so even at very low quantity we could have some high dollar value sales, and that is true, and in that regard I will be interested to see what kind of sales $ volume the store starts generating in the coming months... And, importantly, ZEN also needs to get the webstore ISO compliant.
But I think as many are pointing out, and maybe the lesson/reminder for ZEN's management after CCB's example, is that we need a contractual deal to really start making good things happen with our market cap. In speaking with some our co-investor friends on the ZEN ceo.ca board who also occasionally post on SI, I got them to admit that is what they expect from ZEN as well by year-end, and I would imagine if something like that does not happen by then, particularly if CCB's deal holds-up, then ZEN investors will be less supportive than they are now.
Lots of work still to be done, but we are getting there.
Best,
Benton |
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