Member Info for GreenWolf

Pi - aerial has explained. You need to look at the Incorporation document and you will see the parent company is Edenville i.e it owns 100% of the shares; Rufus is not the owner he is just a director.

sgee - "he has milked the company dry and is now grabbing at straws" - I couldn't have put that any better myself.

Sausage - AIM companies carry significant risk where PIs are concerned. We've all bought into that, but red flag paragraphs like the one you quote shouldn't go unheeded as a clear warning to us. We're losing money monthly on our current / latest output figures and Rufus seems to have little enthusiasm to update us on those figures. I've traded in AIM stocks for nearly ten years now and there are certain messages from companies that worry me. I'm worried about EDL as things stand. GLA

Pi- but that's just one good point. I've seen this before where subsidiaries are set up, the main company covers associated costs and someone builds their own little empire on the side. I can't go to the EGM but I would have gladly asked what this new company is. GLA

Does anyone know anything about Edenville (South Africa) Ltd - company number 11725186? It was set up in Dec 2018 with Rufus as sole director. If you look through the Articles on Companies House it appears to be a subsidiary of Edenville. I'm guessing this is linked to the resolution requesting £200k for new acquisitions? GLA

mystic - yes, although the technicals suggest we may be slightly overbought. Fundamentals of the company remain solid IMHO and looking forward to a decent update at the end of yhe month. GLA

aerial - great philosophy and agree. After all, we know what assumption is.....That said, Rufus has continually promised jam tomorrow and lived off that way with shareholders for too long in my opinion. The market clearly doesn't trust our BoD to deliver, as the jam has failed to arrive too many times. Our share price is on its backside and he's going to need to pull one almighty rabbit out of the hat this year. The additional problem we have now over previous years is we are borrowing against our assets as opposed to being able to easily raise funds in the Open market. I'm afraid all those promises over the years now have to come to fruition. GLA

aerial - I agree, but we're dealing with a BoD whose actions over the years have demonstrated their commercial naievity. Our current mining operations are losing money every month, yet we're shelling out extortionate amounts in salaries from a company that cannot afford it. There's commercial sense for you. In essence the board has offered up the family silver on a whim yet not even considered looking at one of our biggest draws on money - their own salaries. We need something very transformational this year. GLA

aerial - but of course Lind aren't bothered. The RNS from November is quite clear that their debt is secured against the assets of the company by a debenture that ranks in priority over any other company debts. They get first dibs on everything if we default. It's really not a good deal for us PIs, whichever way you look at it. GLA

steak - don't disagree at all but I'm sure Rufus isn't that stupid to realise that this gravy train is starting to become more complex in terms of raising money. I'll be keen to see the OO take up results in two week's time. GLA

November and December are the short rain season months - I'm unsure to what extent they may have hindered open mining last year. GLA

I remember some excitement about takeover rumours in 2014. GLA

Larry - you mean £10k per month gross profit? I.e before you take off salary other admin expenses etc. That's still a net loss of £75k per month?

I'm happy for others to dip in as this is back of cigarette packet stuff. Our admin expenses for the six months to June 18 were c£525k. We made a gross profit of 10% on our sales of coal, which is a shockingly low gross margin. That means we need a monthly income of c£800k+, or an annual turnover of £10m to break even. Now, we will get economies of scale as we ramp up production, which needs the capital funding support, and we've now ramped up production roughly 3 fold. But we made a gross profit in the six months to June of just £5k, or let's be generous and say £1k per month. So were now probably making c£5k per month gross profit with slight economies of scale, with admin expenses of c£85k. I've sort of shocked myself with that - am I close to the truth here and were making a net loss of £80k a month? GLA

Stuigee - the question is would you invest £900 in Edl on the open market today if you had it? I know my answer. GLA

Larry - I tend to agree with your thoughts. Look at the timing of the Open Offer - closes on 14th Feb and we then have an EGM the next day. Who in their right mind will subscribe to the offer when the current share price is less. Then Rufus rocks up at the meeting saying shareholders aren't supporting the company etc etc and if we vote down the loan facility, it will ruin the company. Resolutions 2 and 3 are particularly interesting as this allows confetti shares up to £350k. It's just not fair on PIs and as I said earlier in the week, we're squarely backed into a corner. My main concern is there is still no figures for what net profit we're really making as an operation - why would anyone invest more money in something that is clearly losing money? GLA

Any reason for your thoughts on suspension?

Sausage - an unmitigated disaster - yes, another Rufus masterstroke.

sgee - yes looks like our share price is getting a thorough spanking today. The market has spoken. GLA

seanyj1 - AIM is officially a cesspit for PIs now. It's always been high risk but there were golden nuggets of high reward in the past. Now I see little value in any AIM shares for PIs. I hold a maximum of two AIM shares at any one time in my portfolio and the bulk of my money is in main market shares. The regulators have, over the years, taken less and less interest in AIM shares and the little reward on offer doesn't justify the risk anymore IMHO. I've been driven by sentiment too many times on Edl. If there was an iota of real confidence from the BoD they would be taking salary in shares and investing more heavily in open offers. That coupled with the " you need to vote in support of this or else" RNS this morning tells me everything is very far from rosy. GLA