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Add in any Indian assets we're effectively forced to take on, and it amounts to a very significant strategic shift.

Copper's certainly a good commodity to be in atm. This from MKA's presentation this week.
"Wind turbines can use between 400kg to 4 tonnes of copper per turbine depending on the technology used."
The world's going to need a lot of copper and hopefully ORM will shortly join the party with a first-class copper asset.

Well said Somerset.
It's frustrating and nerve-shredding to wait in the blind, and until the deal's done there's the possibility it won't get done...but...it's a complex multiparty deal with a tricky shareholder in the mix too. Trust the bod to handle it well, and if it's worthwhile, to bring it home in the best possible way. We can't generally expect to hear updates on the state of negotiations too often.

Morning FeverClucker, no I'm only in AUGM for fintech. Bought in 2018 and topped up early last year. Looking good, with a rosy future imo. GL
The trusts Etotheipi mentioned look interesting too.

https://businesscloud.co.uk/what-did-the-2021-budget-mean-for-the-uk-tech-sector-and-covid-19/

Budget v helpful and supportive for fintech. See the sections on Future fund and New overseas visa scheme. Kalifa report recommendations being implemented fast. Government is serious about turbo charging fintech sector in double quick time.

What sensitive souls the csn must be lol. Feeling put upon by the big nasty Australian miner. Dear oh dear.

Sadly emissions are shooting up again and the tragedy here is that the very real agenda of emissions reduction and CC has been hijacked to push the counterproductive old school ideology of the anti-nukes. In reality it's effectively voting to limit the options, and for increased hydrocarbon use, the very problem they're trying to solve. Duh!

I'm surprised this chatboard isn't buzzing. PIs should be all over this. Young fashionable sector with massive fast growth potential and now strong government support. 50% up in last 6 months or so.

Bod have picked the right commodity (copper prices are up 56% in the past year to a 9 year high), and what looks like an excellent asset in a supportive country. Now to deliver the deal on the best terms achievable. imo.

https://www.bbc.co.uk/news/business-56204277

https://augmentum.vc/news/the-kalifa-review-of-uk-fintech/

So AUGM seem broadly welcoming and supportive of the Kalifa report. Looks like the growth fund would be more for pension fund IIs, not perhaps AUGM itself.

Heart says get aggressive, and just enforce and sequestrate anything in sight that looks remotely Indian. But head says do what's actually best for shareholders given all the circumstances. If you trust the bod they should know the facts and detail and make the right judgement calls. That ultimately might be an ugly compromise taking part cash and part assets in lieu. This is the subtler approach CNE are indicating and the_beef is talking about. It hurts to say it but maybe it's right even though it feels wrong. I've personally trusted the bod over the years.

Yes it's a good chat board this one.
Like you I've got negotiation experience. Not about copper assets in ROC involving multiple parties unfortunately. The point I'd emphasise here is that delay on its own doesn't necessarily mean there's a problem. Indeed it could be leading to a better result. We're not privy to all the detail and don't really know what the relative bargaining strengths of the parties are, nor the relative merits of a cash deal vs the preferred cash and shares approach. Rightly or wrongly I'm staying in for now and the trusting the bod to get it right and bring it in in the best way possible.

Can't say I'm getting any whiff of rodent yet. BarneyR, the simple answer to your question may be...because it's not the optimum approach for all (bar TA for now) and all parties are still negotiating.
Yes it's frustrating, yes a party might get cold feet, yes another buyer might appear, and it falls apart. You guys are right to be raising this. But that's where we must trust (or not!) the bod's judgement and it's what negotiation and brinkmanship's all about.

What has passing res 6 got to do with migration to Euroclear? This and the deal can and are progressing concurrently not consecutively aren't they?
Res 6 needs TA's approval, and the bod believe issuing the shares res 6 will enable, to be the optimum approach in the deal. The deal can otherwise proceed with cash. We're basically waiting to see if TA will come round, and if not if the deal will proceed as a cash transaction.

Yes and let's hope the bod judge this well. Confrontation, or diplomacy with a commercial deal. They're best placed to call the practicalities of course, and they'll be acutely aware the flip side of simply taking on further assets in lieu (without watertight protective mechanisms akin to 3rd party guarantees or bonds etc if that's possible) will be the risk of going back to square one. Eg further domestic legislation changing the goal posts again, and another expensive protracted charade chasing our own cash. All in a country that CNE's strategy was to reduce exposure to.
Let's see what GOI and CNE actually come up with, and how it's spun and sold to us shareholders.

I know we should probably trust the bod's judgement, but it's hard to believe they're even countenancing further investment in India to settle this. It would be a major change of strategy and risk profile for CNE, taken for the wrong reasons. It's the tail wagging the dog. I doubt many shareholders want this. You could also say it's disrespectful of GOI (and indeed CNE) to the process and the Tribunal. The award is a cash award and shouldn't be used just as a bargaining chip for CNE in a negotiation. GOI should pay the award in cash asap. CNE should enforce it imo and exit India for good.

It should be an "interesting" week...

V high binary risk.

ORM..."has focused on minimising share dilution and execution risk for Ormonde.

 

While the transaction could be completed as an all-cash transaction without any shareholder approvals, the Company believes that a milestone based mix of cash and shares as consideration for the acquisition to be the optimal formula, as do the counterparties, demonstrating their confidence in the prospects for the Licences and their desire to participate in the value accretion potential for the Company. In addition, the Board would prefer to retain as much cash in treasury as possible to be put into value enhancing, on the ground activities in the ROC."

So the impression I get is that the deal's pretty much oven ready and will proceed as a cash transaction if the risk is acceptable to all and TA can't be persuaded to change tack. ORM are perhaps continuing to turn the thumb screws on TA as we speak. Ultimately the sellers or PMs may threaten to walk at which point it'll be take a decision time for ORM. Hope the bod play it well....

Is that a long or short time for this kind of deal? Copper in ROC, with the various stakeholders. Rhetorical Q from me, I've no idea!

The comfort is that the deal terms are largely agreed, buyers and sellers both want it, and that it can proceed with cash regardless of TA anyway. If the deal stacks up and TA can't be brought round, it'll presumably proceed with cash, if the sellers agree. If not, the bod's view will presumably be that the risks of committing that much cash up front are too high, and we're better off out of it. The question being how important is the way it gets funded. IMO.

Looks like the Kalifa report is coming this week. Fintech's certainly a good sector to be invested in. Where will AUGM position itself in this Treasury initiative?