The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
The AGM addendum states:
"The Board is anticipating additional capital raising to be required before the next Annual General Meeting and considers that it is in the interests of Shareholders for the Company to have the authority to place new ordinary shares for cash. Also the Board considers it prudent to retain sufficient financial flexibility to meet both anticipated demands for capital, and any unforeseen challenges that may arise."
That sounds TO ME like they want the headroom to place shares if the GOI approval takes longer than expected, meaning their cash runway gets short. They only placed in December, why again at this low, low price?
Maybe I'm wrong, caveat emptor and all that.
We will see.
Crazy that it seems to have become almost certain that there will be a placing shortly.
The GM is now done and we are waiting to confirm that resolutions are passed.
Once out of the easy,Roland needs to get his PR head on and provide clarity on the 2.75b shares being used for headroom NOT an imminent placing.
Like others say, a mid afternoon RNS caught a few out and many people will have missed it. A 7am RNS would categorically have created more hype but I suppose you can't keep things under wraps.
With a bit of PR (we're homepage of LSE currently) and lots of chat and messages on this forum, we will be in a better position tomorrow. The AGM completing and all resolutions passing (with no placing) will absolutely restore confidence. There may be a placing in the next 6/12 months but I don't see it short term, personally.
.15 is just an absolutely bonkers price to buy give the content of that RNS. Not a lot of negativity, plenty of scope for a viable, profitable business over the next 12/24 months.
I think the MMs were playing games today. I can imagine the buying pressure will be pretty relentless tomorrow, but we will see.
Absolutely convinced this is our man:
"Working with a foundation on a private investment deal estimated at RMB 2.2 billion for a significant stake in one of the oil terminal Asia.
Alliance Formation & Capital Injection for Exploration and Production of Oil Block
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Secured commitments with one of the top oil and gas company in Asia and arranged capital of US$250 million for the initial phase of the exploration and production of a hydrocarbon Block in Asia that has an estimate area of 3,000 sqkm. Total investment: US$4 billion
Structuring of an Private investment in debt securities, equity securities and REITS.
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Structuring with a prominent conglomerate for their 10 commercial properties to be monetized and investing the funds in debt securities, equity securities and REITS.
Township Development Funds in Indo-China
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Generated over US$2.5 billion in investment funds for a Township project and negotiated an additional 5% for the company in equities in the newly formed SPV."
That final bit there... "newly formed SPV" is exactly what we have here. Special Purpose Vehicle is exactly what the NewCo is.
One more piece of the jigsaw in place.