Member Info for grammadux

As there were some questions on IFC, I am reposting my post from the Canadian board here IFC is a member of the World Bank. The get their funding from debt issuing which is pretty cheap for them because they have a AAA rating based on gurantees from the member countries. http://www.ifc.org/wps/wcm/connect/corp_ext_content/ifc_external_corporate_site/about+ifc_new/ifc+governance/funding/ourfunding I think their total investment in AUE was around $20m compared to funding of $16bn in 2014 of IFC that's a drop in the ocean. As I already stated once an investment is not compliant with their investment criteria anymore they have to exit. I guess when MNG took over this triggered a change of control, with MNG holding 55%. They had to exit and did not care about the price. I agree that the shares have most likely been soaked up by non-retail investors, as the trades were always above 1m shares which is not the typical retail investor size. Probably different new or existing investors took over the shares. Expecting a gradual recovery now, as the selling pressure from IFC seems to be over.

Just look it up in the latest RNS about shareholder interest change, it is at the bottom. By the way contrary to the majority here I do not think it would be good for MNG to keep the shareprice artificially low and then issue new equity at these low prices. Because if the company issues new old shareholders have a pre-emption right under British company law. Meaning existing shareholders have a right to participate on a pro-rata basis. So they basically can't dilute existing shareholders just by issuing new equity. I'm not from the UK but does anybody know why this did not apply for the recent MNG take-over? Was there such a special resolution or was it because they did it with a promissory note? Section 561 from the Companies Act 2006 obliges a company to offer new shares first of all to its existing shareholders in the same proportions they already hold shares. In other words, it upholds shareholders’ right to be protected from dilution. If they are willing to pay the price asked for the new shares, they can have them. The section can be disapplied, along with section 549, either in the articles or by a shareholder vote, though only by a special resolution.

Exercise price is 37.8p, so they most probably never exercise and this expires worthless. So you should not consider them when estimating how mans IFC shares could float the market. Einverstein was definitely talking about MNG funding. exercise price: £0.378 expiry date: Jan 29, 2018 number of new shares if exercised: 12,260,148

I repost what I already posted yesterday: First tranche of $15m is included in the Q2 balance sheet, as it was closed in June and cut of date for Q2 report is 30th June. Second tranche of $15m is not included in the Q2 balance sheet as it was closes on July 15th which is already in Q3. That's why I said pro forma cash would be $15m plus the Q2 balance of $4m, we do not know however how much the upgrades and optimization will cost , but I felt this might be enough liquidity.

Am I right that the cash of around $4m at the end of the quater does not include the proceeds of the second tranche of the MNG funding. Because cut off date for Q2 is 30th June and closing of second tranche was 15th July, so this was another $15m of cash, which would give AUE pro forma cash of $19m. So I wonder how much additonal cash is needed, also in the MD&A the state something different in the liquidity section. From the MD&A on page 14: "The recent equity financing with MNG Gold helped compensate for the loss of revenue from gold sales during the temporary suspension of plant processing operations enabling the payment of creditors and has strengthened the Company’s balance sheet. With the re-start of plant processing operations in July 2016, it is expected that operating cash flows will fund the New Liberty Gold Mine operations going forward. "

Someone just bought 1.1m shares at 0.08 CAD on the TSX in Canada equals around 4.65 pence

Below 6% is due to new increased sharecount, they sold 2.5M shares in July to get under that 6% threshold I guess, might have been triggered by a change of control clause or by MNG wanting them to decrease It also probably does not match their investment criteria to invest in a company with a 55% majority private shareholder But why short? What do you mean? They still own almost 6% of AUE

Did you think about what you just posted even once? Or what is your rationale for this statement? 1) This is not a retail placement with retail investors buying those new shares and selling them, this placement is with MNG, the new majority shareholder of the company, this is sticky money, they are holding those shares not trading them. This means free float will be exactly the same. 2) You also assume everyone buying today is a complete idiot because the shareprice will be half tmr. Guess what the market is way smarter than you are. So rising share price because the closing has eliminated the last uncertainties regarding the financial status of the company. Next time think twice, before you state such nonsense!