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If and i say if there is any Rights Issue then you can sell if it is a renounceable rights issue where the nil paid rights can be traded up to just before the payable date to take them up. If you do nothing the all lapsed rights are sold on block and IF they are sold at at a premium over the call price the lapsed holders receive the difference less a small charge for administrative cost.
However if it is a NON RENOUNCEABLE rights issue, the rights are not trade able and lapsed rights not taken up are cancelled and no new shares issued on the back of them.
Rags how does the institutional placing of 10m in aug figure into this.
Nttg. Read the 18/9 agm results. Or extract below:
Due to COVID-related delays in processing the votes held in nominee accounts, special resolutions 8 and 9 have not been passed and
the Company does not intend to pursue these resolutions
having fulfilled its funding requirements
as announced via RNS on 18 August 2020 (General Update and Institutional Placing at 22.5p).
That's correct Ian. But the previous rns in sep clearly links this to funding requirements.
Any before anyone throws accusations. My view if we do mine we can expect a significant rerate to multi billions. But I don't think the same level will be achieved quickly with a sale.
I suspect the bod have a similar view from the gist of the last 2 rns.
Billions, with respect, read the RNS, it clearly states :-
"Regarding the general meeting and resolution to be put to our members, The Directors are confident that the ability to allot securities and demonstrate a capacity to develop the Kola PGM and battery metals district independently of other strategic options available to the Company benefits the Company and its Shareholders by improving Eurasia's negotiating position. The resolution proposed is a standard resolution proposed and passed at all recent Company Annual General Meetings but which, for reasons related to delays in processing votes held in Nominee accounts was not passed at the 2020 AGM held on 18 September 2020"
Good luck
Piface. Take a look at the 19/9 agm result rns and share your thoughts on the 2 resolutions.
The BOD have always wanted a full sale of the whole lot I believe,
NN thought they might get us on the cheap..... Er sorry that ain't happening... DS & CS are legends!!
https://www.pearse-trust.ie/blog/bid/97473/types-of-resolutions-passed-at-general-meetings
As Evan3020 says it's standard stuff and one can surmise all weekend as to the timing and need to hold an EGM, rather than wait for the AGM which could be 6+ months away.
However what would be good is for a JV, or partial sale, or a substantial placing to take place which would put a value on our company. The last small placing was at 22p (£667,000,000) and the last share transfer at 29p (£880,000,000).
It would be good to see valuations north of these figures. Until then it's all speculation.
GLA
R
Billions seems to have different RNS to me. Just standard resolutions every year. Possibly they need to give the new NED some shares I thought.
Quality green metals for the highest quality companies at low extraction costs. Toyota and Nissan will want to fend off Tesla who have less revenue but mad for the nickel.
READ the RNS. Why were the resolutions not pursued at the last agm. Because funding was received elsewhere
Standard resolution at an EGM. When the AGM is only a few weeks away.
Some of this cash will be used to pay for the rosgeo licences.... the ones that many thought were free.
Billions filtered.
No credible argument, just stating what is clearly black, is infact white.
Enjoy talking to yourself !!!
No placing or rights issue, just standard resolutions.
Ian, with respect I think you are wrong. It clearly state that the resolutions were not pursued because funding requirements were met through the placing.
Because it is back on the table now as an egm rather than the next agm it is clear that funding is now requires for the plan the bod have in mind.
"People seriously need to consider that the plan is to become a major miner instead of a quick sale".
Ha, that is probably why the Directors put the company in a FSP Billions. It's obvious really.
The share issue will raise approx 50m. Rights maybe 250m. So approx 300m.
I'm my view this is the short term financing being lined up. Too many people are getting carried away again and holding on to a sale. I dont think raising this money has any bearing on a sale. They are completely unrelated.
People seriously need to consider that the plan is to become a major miner instead of a quick sale.
Someone mentioned it yesterday, they saw ‘mine times’ in the name.
GLA
@Caw
I was on that as well
Thanks Ian,
It must the year of mines
Mine(lla) Time(s) wins Grand National
GLA- have a good weekend
Afternoon CAW,
I just think it is that as the company has stated, this resolution should have been voted on passed, as in other years, but for the reasons stated it was not.
"The delays in processing votes held in NOMINEE accounts caused this to not be passed at the AGM held on the 18th September 2020"
IT only gives the company the OPTION to issue shares and the same with the rights issue! it does NOT mean they will.
What it does do is show to any prospective buyer that the company CAN raise cash IF needed, in my mind ALL the company has done so far is GROW in size with unlimited expansion potential!
And not having that resolution passed weakened the companies negotiating possition!
We have always used the backstop of the $50,000,000 Sinosteel deal if ever we need cash, but we have been kicking that down the road, ... WHY?
We have had the DFS which suggested mining from two mines at once! .... And the company said that is NOT their plan ... Why?
I think the company is NOT intending to mine anything new at all and is keeping ALL Sinosteel, rights issue options, cash in the bank, to just show a bigger balance sheet, I'm not using the correct words as they escape me!
But are just saying to any prospective buyer, ..." You pay us this much or we can go it alone " strategic planning and improving EUA's negotiating position!
The company is still up for sale and we hope and nearing the end of this FSP.
The company keeps their cards very close to their chest but has just picked up a couple of ACES from the banker in my view!
This is BRINKMANSHIP at its best, ha ha!
Good luck
ATB
My thoughts are;
The assets are too big for one company to buy, the BOD know this and a lining up companies to take it as new company maybe NN with 2 others a Japanese one maybe, hence why our new non-exec director has experience in cross border mergers and acquisitions. So NN and a few others create a new mining company which beats all other PGM miners hands down and puts Russia at the heart of the green revolution (great kudos to Russia then).
The BOD are shoring up , adding and proving resources to make this sale as valuable as possible for them and for shareholders. I think the rights issue is the 'contingency plan' i.e. if it doesn't get sold they continue as though mining themselves.
If the sell WK and MT as Tigra says why would they pay a dividend then raise a rights issue they would have the funds from the sale to continue.
Afternoon Ian, what are your thoughts on why EGM has been called 1.5 months before AGM happens and could have been voted on then.
Seems to me it need to be an option at the end of April, not saying it would be taken up then.
Not sure how long a special Div takes but imo we may see WK sold and special div to allow purchase of possible rights on the remaining Kola area development
GLA
Afternoon, Harry,
Yes, you are correct in a rights issue, that is the norm.
What would the 'full option quota' be? Is it a percentage of shares owned thing?
Afternoon Tigra,
" I can only speak for myself but I have no spare cash to participate in a rights issue as I'm 'all in' already"
Don't let that worry you, as I say I don't think the BOD wants to issue any more stock anyway, why would they? things may change though, so I respect your thoughts.
But lots of us would be in the same boat as you with insufficient funds to take up the full option quota?
Ethio has already said you can take them up, or sell.
The more common way out is to sell enough to fund the purchase of some of your rights!
That way, you do gain a small amount.
All the best.
DS will imo never be able to take all his rights, too much money.
As such it is either a clever way to raise the money and transfer lots of nil paid shares to someone. If that is the case why not just do what they did last y wit him placement
GLA