1/
SMX is set to merge with Ybyra Capital in Q1 2025, touting supply chain breakthroughs as the next big thing.
But for investors? The reality is far from rosy.
A 2018 investment in SMX of $10,000 AUD is now worth less than $1—a 99.99% wipeout.
Here’s how it all unraveled.
$SMX $HMBL $YBYRA #SMX
SMX is set to merge with Ybyra Capital in Q1 2025, touting supply chain breakthroughs as the next big thing.
But for investors? The reality is far from rosy.
A 2018 investment in SMX of $10,000 AUD is now worth less than $1—a 99.99% wipeout.
Here’s how it all unraveled.
$SMX $HMBL $YBYRA #SMX
https://x.com/secmattersltd/status/1865096235515871607
2/
Oct 15, 2018: SMX lists on ASX at $0.20 AUD per share.
Investor puts $10,000 AUD ($7,100 USD) into 50,000 shares. Stock hits $0.595 AUD, then slowly drops over time to $0.12 AUD over the next 4 years.
No revenue reported—just hyped promises.
announcements.asx.com.au/asxpdf/2018101…
Oct 15, 2018: SMX lists on ASX at $0.20 AUD per share.
Investor puts $10,000 AUD ($7,100 USD) into 50,000 shares. Stock hits $0.595 AUD, then slowly drops over time to $0.12 AUD over the next 4 years.
No revenue reported—just hyped promises.
announcements.asx.com.au/asxpdf/2018101…
3/
SMX touts many deals: 2019 Perth Mint gold tracking, 2020 BASF plastics tracing, 2021 True Silver with Sunshine Minting. Fashion centers, wine marking, high-end luxury authentication, even circular economy initiatives.
The list goes on and on—big names, big promises, endless announcements. And plenty of capital raises.
SMX touts many deals: 2019 Perth Mint gold tracking, 2020 BASF plastics tracing, 2021 True Silver with Sunshine Minting. Fashion centers, wine marking, high-end luxury authentication, even circular economy initiatives.
The list goes on and on—big names, big promises, endless announcements. And plenty of capital raises.
4/
Jul 26, 2022: SMX struggles to secure more capital in Australia so it signs with Lionheart III SPAC—$360M USD value, aiming for NASDAQ.
ASX stock only reaches $0.45 AUD on the news and falls again—market clearly doesn’t believe the hype.
prnewswire.com/news-releases/…
Jul 26, 2022: SMX struggles to secure more capital in Australia so it signs with Lionheart III SPAC—$360M USD value, aiming for NASDAQ.
ASX stock only reaches $0.45 AUD on the news and falls again—market clearly doesn’t believe the hype.
prnewswire.com/news-releases/…
5/
The SPAC terms? SMX will shift to an Irish entity, and merge with Lionheart. First deal of its kind in Australia.
$116M cash projected if no redemptions—but by 2022 SPACs averaging 81% exits. Independent expert highlights risk but says it’s doable if redemptions below 85%.
The SPAC terms? SMX will shift to an Irish entity, and merge with Lionheart. First deal of its kind in Australia.
$116M cash projected if no redemptions—but by 2022 SPACs averaging 81% exits. Independent expert highlights risk but says it’s doable if redemptions below 85%.
6/
Jan 28, 2023: 99.5% of Lionheart investors redeem—less than $1M remains from a forecasts $116M in cash.
Lionheart panics and arranges $25 PIPE financing with Yorkville Advisors. SMX's independent expert revisits their opinion and says deal is bad for shareholders.
Jan 28, 2023: 99.5% of Lionheart investors redeem—less than $1M remains from a forecasts $116M in cash.
Lionheart panics and arranges $25 PIPE financing with Yorkville Advisors. SMX's independent expert revisits their opinion and says deal is bad for shareholders.
7/ The SMX Board gives deal the green light anyway.
Then the Aussie federal court approves the deal despite ASIC objections and expert dissent. Shareholders, dominated by insiders, approve the deal, giving it the final go ahead.
anzlaw.thomsonreuters.com/w-038-6766?tra…
Then the Aussie federal court approves the deal despite ASIC objections and expert dissent. Shareholders, dominated by insiders, approve the deal, giving it the final go ahead.
anzlaw.thomsonreuters.com/w-038-6766?tra…
8 /
March 1, 2023: ASX suspends SMX for reporting issues—again. Past suspensions showed a trend—rules bent often. As a result, last minute stock trades are prevented.
SMX is delisted from the ASX priced at 0.26 AUD.
March 1, 2023: ASX suspends SMX for reporting issues—again. Past suspensions showed a trend—rules bent often. As a result, last minute stock trades are prevented.
SMX is delisted from the ASX priced at 0.26 AUD.
9 /
Mar 8, 2023: NASDAQ lists SMX—50,000 ASX shares convert to 4,825.
Despite the forecast of at least $10/share, trading opens at $3.03. This translates to $14,620 USD, up 106% from $7,100 USD.
But this lasts only a couple of days and by Jul ‘23, shares are $0.145.
Investment now worth $700 USD, down 90%.
Mar 8, 2023: NASDAQ lists SMX—50,000 ASX shares convert to 4,825.
Despite the forecast of at least $10/share, trading opens at $3.03. This translates to $14,620 USD, up 106% from $7,100 USD.
But this lasts only a couple of days and by Jul ‘23, shares are $0.145.
Investment now worth $700 USD, down 90%.
10/
Reverse splits followed: Aug ‘23, 1-for-22 cuts to 219 shares; Jul ‘24, 1-for-75 drops to ~3; Jan ‘25, 1-for-28.5 ends at 0.105 shares.
Cashed out at less than $1 USD—99.99% of $7,100 USD initial investment in 2018 is gone.
Reverse splits followed: Aug ‘23, 1-for-22 cuts to 219 shares; Jul ‘24, 1-for-75 drops to ~3; Jan ‘25, 1-for-28.5 ends at 0.105 shares.
Cashed out at less than $1 USD—99.99% of $7,100 USD initial investment in 2018 is gone.
11/
Feb 26, 2025: SMX trades at $2.55. $2.6M market cap. Ten years on from the company’s founding there’s still no reported revenues.
SMX raised more than $38.13M in equity placements plus $25M PIPE financing. Likely more for those with time to dig through EDGAR.
Not an impressive scorecard.
Feb 26, 2025: SMX trades at $2.55. $2.6M market cap. Ten years on from the company’s founding there’s still no reported revenues.
SMX raised more than $38.13M in equity placements plus $25M PIPE financing. Likely more for those with time to dig through EDGAR.
Not an impressive scorecard.
12/
A few questions to consider:
- With 99.9% of retail shareholder value erased, was this due to mismanagement and poor decisions, or does it raise larger concerns about how the company has been run?
- Where did all the money go?
- Who actually benefited?
- With $Ybyra merger happening at these prices, will this ever return value to non-insiders?
- Why haven’t @SECGOV or @NASDAQ demanded answers?
A few questions to consider:
- With 99.9% of retail shareholder value erased, was this due to mismanagement and poor decisions, or does it raise larger concerns about how the company has been run?
- Where did all the money go?
- Who actually benefited?
- With $Ybyra merger happening at these prices, will this ever return value to non-insiders?
- Why haven’t @SECGOV or @NASDAQ demanded answers?
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