ASX wants concrete answers from Eden over shares, whitepaper
The ASX has demanded some concrete answers from Eden. Pic: The Flintstones Movie
Super-strength concrete maker Eden Innovations has answered its third ASX query this month as the company’s shares continue to surge.
The ASX’s latest query concerns when Eden knew about the completion of a whitepaper which sent the stock rocketing. It was dated October 11 and released a week later.
Eden (ASX:EDE) chairman Gregory Solomon said the whitepaper was in his email inbox at 11.16pm on Wednesday and he ready it at 4.30am on Thursday, after which the company “made arrangements” to reveal all to the ASX.
He said October 11 was when the final report was signed — but still needed approval from a US partner.
The ASX has been querying Eden this month because its shares have seen a series of dramatic one-day jumps.
Between October 2 and 15 Eden stock jumped 127 per cent from 5.5c to 12.5c.
The first time, after a 29 per cent jump, Eden reckoned the bounce might have been due to a distribution contract in Australia and New Zealand and the start of its first US Federally funded highway project — both announced weeks earlier — along with the upcoming expiry of 3c options.
The second time it said day-traders had got hold of the stock and were responsible for about half of all trading volume.
The third time, on Thursday after another 18 per cent leap, it reassured the ASX news hadn’t leaked and was reported in a timely manner.
The stock opened flat on Friday morning.
Yanks like Aussie concrete
The whitepaper was by the Metropolitan Atlanta Rapid Transit Authority (MARTA) and effectively opened a door to “the sixth fastest growing metropolitan area in the US”.
MARTA had been trialing the concrete for two years and the whitepaper held its findings.
Eden said it was the first comprehensive, written evaluation by engineers of long term use in the US market and was a milestone for its strategy to grow in the US.
The white paper said the company’s product provided “a significant extension of service life to the concrete”
“Progressive site visits over the course of two years in-service show the EdenCrete sections outperforming the adjacent sections of standard concrete,” the white paper said.
“The surface of the reference is abrading significantly more irregularly, and rapidly, than the surface of the slabs containing EdenCrete.
“Over time, the reduced maintenance schedule and longer service life before needing replacement will outweigh any upfront cost of EdenCrete.”