Proposed Directors of Tirupati Graphite explain why they have requisitioned an GM. Watch the video here.
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Getting tedious on this board with all the constant deramping.
It's not tedious, it's worrying.
1st Aug, 50% of loan note repayment, unless we have $175k we will be issuing 350m shares if SP is 0.45pish (90% VWA).
Same again for September.
Or we give up just 350,000 circum shares.
Maybe we can do the same with the 4.7m remaining circum shares, to keep Prem operating (paying salaries).
BB
Bluebelly/Jeremiah. Dattels already has invested in PREM. The US$350,000 loan will be converted to PREM shares. Dattels wanted to invest directly into PREM but couldn't due to the Otjozondu deal timing hence provided the company with a loan (A loan with terms which PREM could never have sourced elsewhere by the way).
The intention always was to convert the outstanding loan balance to PREM shares. Watch this space.
I would have preferred him handing over a few $m to drill Zulu in exchange for a chunk of it. Maybe we would only have 20-30% of it left to ourselves but that would be preferable to this slow drift down to oblivion.
That would be great but then PREM would have £0 for PLC costs. EPO issuance opens up JV partner talks for Zulu, PREM meeting with Mining Affairs Board on July 23rd. Someone posted a great link the other day showing the process/stages of acquiring an EPO. I believe we are at stage 5.
LockedIn this was the link that was posted
http://www.mines.gov.zw/?q=procedure-and-criteria-issuing-exclusive-prospecting-orders-epos
I agree I also believe we are at Stage 5 in this process, the most crucial stage where we either get the 1st stage recommendaton, then to go forward for the final Presidential approval.
Fingers crossed this all happens and then Zulu becomes a lot more attractive to potential JV Partners and hopefully an upturn in fortunes.
GLA
"Imminent" then.
Lockedln.
The point I'm making is that Prem will have 1b shares left after the approval to raise the ceiling at the AGM. 2.5B increase, approx 700m shares to repay loan note and 753m to cover the remaining money loaned to other company. Those shares will be sold into the market, late July/August and unless there's keen buyers the SP will fall. 1B shares will raise about £400k at current SP, not quite enough for the G&A cost for the year.
From Prem's Final Results -
Going Concern:
The Company will seek to diversify its operations and risk profile and limit the funds that need to be raised through equity placements to provide necessary funding for the Company's significantly reduced fixed overhead.
In the event that the Company is unable to obtain additional equity finance for the Group's working capital, a material uncertainty exists which may cast significant doubt on the ability of the Group to continue as a going concern and therefore be unable to realise its assets and settle its liabilities in the normal course of business.
Standard wording, but he's still issuing equity like confetti and didn't give himself enough headroom.
EGM: Consolidate and start again!!
BB
BB i hear you. I have concerns over the Otjozondu shares putting selling pressure on the SP but these shares are to be sold through PREMs broker so they can at least attempt to manage the situation. Otjozondu also received cash up front so they may not need to dump large amounts all at once. On top of that Neil Herbert will also be joining the PREM board and the idea is to build a closer relationship between the 2 companies so damaging one to help the other doesn't make too much sense.
The loan repayments shares will hopefully be held by Regent Mercantile - after all Dattels wanted to invest directly in PREM but couldn't so I would not imagine he is interested in flipping for a quick 10% or whatever. On a side note the shares required to pay back the loan could be more/less than your number due to the terms of the loan.
In terms of headroom left over, 1B is not a lot at current SP but this obviously changes drastically with fluctuations in SP (both ways of course!). If PREM can deliver on what they are saying i.e. RHA funded via Zim Gov, EPO -> JV at Zulu seeing PREM carried, cash from Circum sale then ongoing PLC funding as well as progressing assets is no longer/less of an issue. I've heard consolidation mentioned about as much times as I've heard RHA will produce profitably over the years. GR has consistently said he has no desire to do this. Will the time come when it is forced upon PREM? Potentially. In the meantime there are plenty other concerns to be chasing up on.
Clear now, This is going into Private hands.
GR wants to get money form share holders or public as much as possible and then declare bankruptcy. IMO.
He raised 100 of thousands pounds for RHA and ZULU but he never spent these projects.
He's definitely played a good game to give him and his family and friends good le money.
GR should be locked up, instead he is spending the loot.
I am not sure GR will want PREM to become insolvent because independent insolvency practitioners will then scrutinize all aspects of the company including the directors for any wrong doing and if the latter are found to be at fault they can be struck off as directors or face legal proceedings against them.
As long as GR stays in Zim, he'll be looked after as he'll pay for own security which would cost about £20 a day over there. He wont get prosecuted either if he stays there
Gr doesn't want this private as it stops him fund raising easily. When the ability to raise has gone then thats the risk with his, the family trust fund and the huge amount to Mercantile for the paltry loan could adds up to a inside hostile take over.
Is this the plan? Well, we'll have to see but if it goes that way they it could be the start of a shareholder legal challenge.
I am not saying any PREM director has done anything dishonest and they are unlikely to want to do so as being struck off as a director of PREM would also affect their directorships with other companies. A company would not be allowed to retain someone as a director if they have been ‘struck’ off elsewhere. Being struck off is not a trivial matter.
Getting struck off tho takes some doing....
Yes it is a long drawn out process but once it has been initiated the person subject to the process is persona non grata for other companies... and the suspicion of ‘malpractice’ will remain‘ even if they are not disqualified and this matters when representing listed companies as it can have a negative effect on fund raising.