Proposed Directors of Tirupati Graphite explain why they have requisitioned an GM. Watch the video here.
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I assume the remaing £1million is the boards to spend as they please !
If they had $4.5 Million 5 months ago and they are investing £1.8mln in the new company, there's around £1 million somewhere after taking out 5months salary, admin & costs.
Suppose it's RYs cut
No. They only have £1.8mil the rest as been spent filling the trough for Robbing and his fellow trough feeders.
So they have spent £1.7Million in 5 months !
That's outrageous for a small company who are doing basically nothing .....and the NO Voters think they will get the £1.8mln ???
That will be spunked in No time going off the way they've blown £1.8million in the last 5 months !
That's pretty much why i'm voting Yes schachmeister.
I can't comprehend where all the cash has gone whilst doing nothing. Am left with no doubt that there will be nothing left for shareholders should the company liquidate (Abortive RTO cost, RY 12 months notice period etc. etc.)
5 months ago $4.5m cash and an AIM listing. It seems that a ridiculous amount has been spent by AMC for this RTO.
Did anybody else notice our Nomad is receiving a finders fee! At least we know why AMC wasn't forced to adhere to its deadlines and an RTO has been found at any cost!
As discussions started in December, it must have been clear that there were no suitable RTOs 6 months ago.
Agree CT, If they've done around £1.7mln in since Dec23, they could easily do the remaining £1.8mln by Dec 24.
The anniying thing is, If they'd have just paid it all out as one dividend instead of playing this RTO game - we'd have had and extra $5million instead of the £1.8mln that's now left.
RY has played a blinder wasting shareholders money on his salary and admin ect instead of simply returning it to shareholders.
Its Astonishing to find that they have spent £1.7million in the last 5months on nothing and left holders with a cameo £1.8million to invest in another company.
Double that amount was available to invest if they did not choose to purposely draw everything out as long as possible to claim as much of the shareholder money for themselves as possible for sitting at home doing nothing.
It's Criminal anywhere else but AIM !
Young should be made accountable for these disgraceful acts of greed.
Per page 30 of the RTO admission document there will be approx £1.95m in cash and as at 31 December 2023 and the group balance sheet showed cash and cash equivalents of $4.384m and there was $0.662m of trade and other payable so a net amount of $3.722m and at a fx rate of 1.266287 the sterling equivalent is £2.939m
£2.939m less £1.95m is a difference of £0.989m or £989,000
In a period of just 5 months the Board will have managed to spend £989,000 which is 33.66% of the cash that we had on 31 December 2024 so an annualised burn rate is £1.384m.
In whose interests are the Board of AMC acting in, as by law it is supposed to be AMC shareholders however spending 33.66% of shareholders money that should have been returned to shareholders via a second special dividend tells a different story.
To make matters worse they agreed a valuation of £5.5m for a company with negative net assets of £600,382 so a liability and who are going to spend the much reduced amount of cash that AMC owned 100% and will end up with just 26.74% of the shares in the enlarged group.
Note the wording below that says:
"The existing funds available at Admission will progress the Enlarged Group to clinical trials, however to complete these clinical trials and invest in future products, further funding will be required"
I think it is the best interests of AMC shareholders for our group to start researching to find out who the relevant authorities are to report what has been going on with AMC.
The problem with RTO documents is that Boards have to provide so much information that shareholders are able to clearly see what has being going on!
Prospects for the Enlarged Group
At Admission, the Enlarged Group will have approximately £1.95 million in cash available. The Enlarged Group intends to use these funds to progress to clinical trial, with workstreams including:
lClinical Trial Application regulatory and submission costs;
lGLP manufacture and toxicology costs;
lGMP manufacturing costs of a clinical batch of ChemoSeeds;
lThe initial payment for a Phase II clinical trial;
lOngoing regulatory and legal costs; and
lCorporate costs.
The existing funds available at Admission will progress the Enlarged Group to clinical trials, however to complete these clinical trials and invest in future products, further funding will be required.
AGE
If the new group share price is based solely upon the remaining cash in the company which is £1.95m and there are 23,939,986 shares in issue then the share price should be 8.1454 pence per share which equates to just 0.059 pence in old money and that is the 8.1454 pence divided by 160 being the consolidation ratio.
I would be very interested to know how the Board and their financial advisers arrived at an estimated value of each new ordinary share on admission of 23 pence when the cash value per share is just 8.1454 pence as it is a premium above cash value of 14.8546 pence or 182.36%
Per the information provided:
The Acquisition values the current Amur cash shell at £1.95 million, a substantial uplift of 56.0 per cent. on the market capitalisation of £1.25 million at the time of the Company’s suspension in September 2023.
The reason that AMC shareholders cash is being so heavily diluted is that the Board have spent £989,302 of AMC shareholders money and we only own 26.74% of the total number of shares in the new group so the remaining cash is spread over a much larger number of shares.
AGE
I think quite a few underestimate the costs of doing this kind of rubbish. Everything around listing, placings and corporate stuff costs loads. Which is particularly bad for smaller companies. Doesn't surprise me at all the the cash is at that level. The time to pull the plug was months ago, not now they've spent all the cash on getting this deal done. It doesn't make sense.
Agreed Doji.
The RTO should have stopped when no mining / commodity targets were suitable.
Keeping it going to where we are now enabled people / companies to extract a lot of AMCs cash.
Directors and the Nomad feathering their own nest under the deception that this was in the interest of shareholders
You ask where the money has gone. The fact is it's now embedded in this deal. Getting this company listed. Value isn't always a tangible thing.