And the shareholders shouldn’t be complaining too much. Independent Reserve’s shares were worth 5¢ in 2013 when the company was founded, so even a 70¢ sale would be a 14-bagger, and $1.80 is a whopping 36 times return.
The emails also raised concerns with an $886,000 “financial trading loss” the company suffered in the past year due to parking some operational capital in hybrid securities issued by the big four banks, which hit the skids due to the pandemic.
“The company has since restructured its asset allocation and the losses have now been recovered,” Przelozny said.
The crypto exchange serves more than 150,000 Antipodean users and more than 8,000 SMSFs. It counts former Challenger CEO Mike Tilley as chairman and just welcomed Professor Mike Aitken onto its board.
The disquiet is a classic – and unavoidable – tale for most start-ups, that have to get cash in the door early in their life and don’t have the luxury of choosing where it comes from, which can cause problems down the line…