Quite right but there is unlikely to be any real benefit to the original RSL shareholders. Reverse takeovers are generally not good news for holders of the shell. Many did comment on the "diversification" at the time, clearly not understanding what had happened.
I don't think anyone thought otherwise didge? Nobody here exclaimed that the diversification was great and we were now in the business of cloud storage... but 'mug punters' have reason to be happy with the transformation because it has the potential to turn our worthless holding into a substantial holding which we can sell easily. The cloud lands project involves some big industry players and that can only be a good thing. RSL was trading 0.10-0.14 following the announcements... it fell back to 0.04 and has risen to 0.05 today.. Once the reverse takeover is finalised and the consolidation completed etc etc we might be able to dispose of half the holding fairly quickly and the remainder (plus the options) soon after.. I don't think any 'mug punter' would be unhappy about a dormant company we own 15% of actually doing something..
RSL was sold as a shell to the cloud people. A lot of people don't seem to understand this. It is known as a reverse takeover. A cleverly engineered way of making it look like something else to mug punters.
What happened to Resource Star and Cloudlands? Appears that timetable for fund raising when completely out the window and have had no update - unless I have missed something. Anybody know any different?
We're probably on the same page here Mik, it's too much of a risk selling out totally (although I wish to Hell I had done it previously along with Mogo or Manlord etc), as it could quite conceivably hit 100% - 150% spike on an El Limon sale completion RNS and if that happened I'd feel like a right clown after holding all this time !!
AIM is a complete shambles at the moment and level of trust in many companies and their boards is at an all time low, especially when the main market is going from strength to strength even in the face of all the worldwide turmoil.
Like you I won't be adding any further here in a hurry and just hope that we can maybe salvage something from the little we all have left.
Hi Ladeside. You definitely have a point, and its hard to disagree with, but then the summer before last it trickled all the way down and then quadrupled or so. Given dilution since then, I dont foresee it reaching anywhere near those heights, but this is AIM, and the smallest thing could trigger this to rebound (as per RGM and others).
I am certainly not calling this a no brainer at this level, and it has a lot of risks like most on AIM of falling further, but its just my opinion that there is potential. Not certainty, just potential. As I said, I'm as unhappy as most here, but if I genuinely saw a fall to 0.07 to use your example, I'd certainly sell now and buy back at the 50% discount? There is liquidity here for that.
For the record, I've again reached out to the company asking for some sort of justification of what everyone is doing to earn their money and for perhaps the next newsletter to be more information and relevant to us shareholders, perhaps giving a status update on assets, and an overview of what is actually going on. Also agree with you on the markets, none worse than AIM imo. Thats why I'm loathe to averaging down more at these levels Id deem a good price, just because I dont want more invested in this market. GL
MikG, You have a point is that it does look like a very good opportunity at current levels, however we all thought that at 0.8, 0.7, 0.6, 0.5, 0.4, 0.3, 0.2 etc, etc.
All that's happening is that we are continuing to stutter along spending money on "working capital" but adding absolutely nothing of value to the company. Each month we dilute further which means that this time next month 0.07 may appear to be a "fantastic opportunity", "no brainer at this level" etc, etc.
We all know that our latest funding will be to the lenders benefit and certainly not ours, as such we can expect as Mr M correctly says, a fall to below 0.10 as they make their share conversions, that's how this game works, they hold all the aces and AB will have assured them that lending us this cash will be very beneficial to THEM.
It's just like everything in today's society, the rich get richer at the expense of the middle and working classes.........
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