Please do, I have.
I don't know if we have the votes to beat them, however, I can at least say I voted.
If the votes are past then expect a massive dilution by the end of June and with it I'll kiss this investment goodbye.
If the EGM succeeds, it will be massive BoD share and warrants giveaways, but that is only the start of it.
What do you think he is planning on doing with that increase in share capital that can dilute us by 2500%? It will take approx. 2 to 3 weeks after the EGM before the first placing, and I estimate it will be well over 1 billion shares to a ‘friendly’ broker with warrants attached.
There is going to be a blizzard of confetti issued here, make no mistake.
2012 - Achieved Nothing;
2013 - Achieved Nothing;
2014 - Achieved Nothing;
2015 - Achieved Nothing;
2016 - Achieved Nothing;
2017 - Achieved Nothing;
2018 - Achieved Nothing;
2019 - Achieved Nothing; and
2020 - Achieved Nothing while issuing 76 Bazillion Shares.
Do an ounce of research, Polaris1. Sanderson have bought, not because they are bullish on the company, rather the opposite, it is to influence the upcoming EGM. If voted through you will see a torrent of new shares being brought forward.
A couple of little ‘tasters’ with no actual news on start dates or financing.
The galling thing here is this will no doubt actually achieve something, but that will be after the EGM is voted through and the bucket shops receive their forward sold pound of flesh.
Nice one, GBull,
Investors have a simple choice here, vote to stop the EGM Resolutions and get LC and the BoD to face reality or if the EGM goes through your entire investment is gone, if voted through on 8 June it will be two weeks of seeing the SP being driven in to the ground and then, by magic, the 1b+ placing at the hands of you know who.
All the risk on these kinds of projects are in all the up-front ‘non-recoverable’ costs that funders don’t want to know about. That means cash for the DFS, JV Management Costs, etc., etc. will all have to be found.
So I guess the answer to your question ‘how he managed to find such a lucrative asset just sitting there waiting to be pay-rolled’ was answered by your follow up sentence (dilution).
Our JV Partner was probably like a lot of miners out there, the project ready to go, but no money to get it there, there is next to no funding out there for Junior Miners. So along comes LC with the promise of a PLC and the ability to raise you the few million equity you need in order to do the last 10% before you can get real project funding. The 50% was basically a ‘farm-in’ on the basis that you take the forward looking financial risk. Actually, that side of the business doesn’t bother me, projects need capital and that is what equity markets are for, if managed right there is serious cash still to be made.
There will be 100% dilution to come here, make no mistake, but if you end up with a BoD being sensible and 500m shares in issue company in 24 months with a functioning (17,500Oz gold mine your share) is it worth it? Yes, IMHO.
The bigger issue, as you rightly raise is who will actually benefit here given LC’s past behaviour? I noticed in the annual counts that LC gave him and the BoD a 100% pay rise. Be under no doubt, that is the first of a big rise coming, LC will be on £250k a year here before two shakes of a lambs tail. Then comes the shares at depressed rates, etc. etc. etc. It is the same as Kibo, some of those assets will be a success IMHO, but not for current shareholders, LC, the BoD and Sanderson will make all the cash there.
As I say, if you had a proven deliverer in charge here, you’d probably be at 4/5p a share by now. A lot of the market will never touch this share no matter how good the news is, that’s because of the man at the helm.
LC is AIM Kryptonite. He has taken Kibo through a 1/15 consolidation in 2013 and now is taking them through a 1/10 consolidation and arrived at a Company who’s market value is less than the stake they have here.
He is about to issue confetti on an epic scale at Kibo so he and his mates can still pay themselves no matter what the outcome to investors. He is utterly toxic, and if he wasn’t in charge here and it was a proven winner with Gold doing what it’s doing you’d have a much higher SP. #THELCEFFECT
I own shares here and have since the start when LC took it over. I am torn, it’s a great project from what I can research, all licences, gold is flying and they have in place a proven professional JV Manager in Graham Briggs. Financing and success here should be a shoe in. But that is measured with the fact that LC is involved, who has never achieved anything in his miserable professional life.
If funding is achieved (although I bet even that is delayed again) then it will help de-risk it.
Disagree, SGB, it allows them the ability to just dilute the share base to oblivion for their cash should the SP slip to 0.10p, it gives them an option on the cash or shares, that's not on.
I want them with skin in the game, but at a fair price.
At 0.45p per share it would equate to approx. 12.7m shares new money, that is 10% of the company and no warrants, values the company at about £6m and 75% discount to NAV. That is probably too generous to the BoD to be fair for their miserable performance to date.
The last sentence gives him / the BoD / Snr Management this right to defer the payment of deferred salary indefinitely to see if taking the 0.45p shares is worth it or not, if not, ‘I’ll take the money instead please Governor’, it is (again) a complete risk free giveaway to him / the BoD / Snr Management to be decided on when they ****ing feel like it. It is another spit in the face of shareholders. It is a statement of complete arrogance and of a man who thinks he is above us.
Just a though, Louis, but if the EGM goes south, at the next AGM, Louis Coetzee, Tinus Maree, Andreas Lianos and Wenzel Kerremans are all up for re-election at the next AGM, I would tread very carefully, Mr Coetzee, you probably don’t want PI’s getting and enjoying the taste of blood.
AND I KNOW YOU READ THIS BOARD, LOUIS!
So here goes, if you were to try the below four bullet points you’d get your EGM through:
• The BoD WILL take all back pay for 0.45p per share and WILL NOT be entitled to any warrants, you WILL take the shares and be content that you are going to provide lots of value in the future and they will be worth millions;
• Consolidate the shares 1/10 and then cap the authorised shares at 500m (not 5,000m), you can pretend it was a typo, this will give the shareholders confidence that you will value the shares to be issued and not spend them like a drunk on a Friday Night Out. This will still give plenty of scope to issue equity for the next 12/24 months for working capital;
• Cut the BoD to 4 from 6; and
• In these exceptional times trim the Administration costs of the company by 50% (up to you how you get there).
Instigate this and you have my votes!