Eight Weeks In.

It is now eight weeks since Cellestis dropped this bombshell on us.

Assuming that their timeline does not slip again, we can expect the Scheme Documents to be released next week. That makes this an appropriate time to restate our objectives, reasses what we have achieved and examine where we now find ourselves.

This issue is not only about facts and beliefs (about which we have said much and will have much more to say) but also about the principles of shareholding. It is about us, private investors, being informed and able to make our own decisions about our investing and receiving the rewards from our decisions.

The world has moved on from the days when we were often the roadkill of the sharemarket and were indiscrimately run over again and again. The access to information and communications, largely provided by the Internet, means that we need no longer be victims. In the past, we may have felt that we had no choice but to accept "our lot" in situations such as this opportunistic low ball takeover offer. It is no longer the case.

The Cellestis Shareholders Action Group (CSAG) opposes this offer of $3.55 for our shares in Cellestis and is determined that every shareholder has the information, opportunity and power to make their own well informed decision.

To that end we have provided the Cellestis Research Report which is a distillation of research about Cellestis and its market accumulated by a dedicated team of investors over ten years. Every shareholder should take the time to read it to ensure that they really understand both the current successes and the potentials of their Company.

We have also supplied both a methodology and tools to enable shareholders to make their own assesment of the true value of their shares in Cellestis. To date, CSAG are the only ones to have done so. We will have much more to say about valuations in the coming weeks.

CSAG have also established a mechanism through which shareholders can be connected to the group so that they can receive timely information about this proposed matter as it proceeds. To date, shareholders representing 38% of the shares in Cellestis have indicated their opposition to this offer.

Right back at the beginning of this saga we (CSAG) stated our aim as being "to retrieve the true value of Cellestis for its shareholders". That aim still stands true. By working together we can achieve that aim.

The next major event on the horizon is the release of the Scheme Documentation, including the Independant Expert's conclusion. The Independant Expert is tasked with establishing whether, in his opinion, the offer is both "fair and reasonable" and "in the best interests of shareholders".

Unfortunately, the allowable interpretation of those terms is very wide and provides for a significant amount of discretion by the Independant Expert.

For us, this means that even once the Scheme Documents have been released we must remain independantly informed to be in a position to make our own decisions. We made the decision to make our investment in Cellestis. We made the decision to hold the investment as the business grew. We are quite capable of deciding for ourselves what is in our best interests.

The whole principle of the sharemarket originates from the concept of those with ideas but insufficient funds offering a share of the business to those with the funds to allow the business to be developed. We, the investors, enter into this type of arrangement of our own free will, in full knowledge of both the risks and the potential returns. Within known legal constraints we are entitled to continue to hold our share of the business as long as we like.

Some investments work out, others don't. We rely on the "winners" outweighing the "losers". Cellestis is a winner. After having our money invested for anything up to ten years with minimal cash returns, we can now clearly see the rewards approaching. Why would we sell our winner now? We want our just share of those future rewards.

Stay the course, stick together and we can win this battle.