Member Info for Longtermview24

To push the AAL deal. That's the reason.

I hope I'm wrong.

I doubt CF started this with a game plan of a 5.5p buy out and a job in AAL.

-----

Tex, nobody started out with a game plan of selling to AAL for 5.5p, but it does give Fraser a lifeline, while it's the final nail in the coffin for the rest of us. And not a peep from the man and no transparent disclosure on the SR, which is still supposed to be ongoing. It's disgusting.

If this is the final outcome - sold for 5.5p to AAL - I hope every one of the BOD and senior execs hang their heads in shame and are never allowed to forgot what they did to the good folk of N. Yorks. They were irresponsible in selling them the project

I agree totally. The consortium is waiting in the wings and will have all the finance in place to table a much more attractive offer. SXX as has been stated many times is going to be a tier 1 mining company with a product incresingly need in the coming decades and the consortium know that by acquiring SXX at a much higher price they will still make millions for their investors and reap the benefits for years to come.

-----

Woolverstone, the financial consortium weren't/aren't offering to buy SXX, they are offering financing/funding. They wont own it, or at least not all of it, which is why it's a much more preferable outcome for shareholders than the AAL offer. But it might not be more preferable for the senior execs, who have all been offered lucrative jobs with AAL, where they wont have to continue to bust their balls raising the remaining in two years time.

Looks like a big conflict of interest to me. The BOD are selling us out, conveniently without any real justification/disclosure now that they are hiding behind the takeover code.

15lives, if you're right - and I hope you are - then why has the BOD pledged their shares to support the AAL and recommended sholders accept the deal. Many have thrown in the towel on the strength of the guidance given by the BOD regarding the sale. Surely if they were working on a plan B they wouldn't - and shouldn't - have issued such an unequivocal recommendation?

Gets my vote 15lives!

Of course this wasn't some elaborate scam, but that's not to say it hasn't become fishy.

Why no detail on the financial consortium?

Fraser losses his CEO status and the upside to his sholding BUT with AAL he gets continuity of employment with his Aussie mates, a guarantee that his salary and bonus will be maintained (wtf he gets a bonus for beats me) he does pick up 7 million quid now and doubtless millions more in salary bonus and share options in AAL.

If the bid was from someone other than Aussie mates (Rio or another miner), I do wonder if he might have pursued the financial consortium or other form of financing with some more vigour. I'm not sure how hard he has tried to protect the value of existing shareholders, when he seems to have a very cushy path forward for himself.

Conflicted at best.

I don't want a higher bid. I want them to raise the money for the revised budget, per the SR. I want to know the terms of the finance consortium offer. Short term raise to keep the lights on while they negotiate terms with the consortium.

I spoke to Tristan at length as well a couple of times and felt very reassured. I knew it was a difficult conversation for him but did feel it would have been easy for him to cut me off in a couple of minutes rather than talk to me for at least 15 mins. I last spoke to him on Dec 6th - I said I felt very worried that LT holders were the ones losing out on all this and he said CF was very aware of it snd it bothered him a lot. He said CF had been in bad situations before and always proved everyone wrong. He told me to listen to last conf call and update and the forward sales were very important plus the support from big investors who were behind them. Plus mentioned again they were talking to several people - all ongoing. DD still going on snd all going to plan. He said their absolute priority was to get this done as quickly as possible. He just told me to keep thinking of long term and they were doing their absolute best. I felt he was genuine and felt reassured.

------

Fred you weren't the only one fed the same story. With the Christmas/New Year break, there weren't that many working days between your call with TP and the bombshell offer from AAL. And we know that in Dec (and again in Jan, day after AAL offer) we received two term sheets from the financial consortium.

The BOD were very quick to tell us they would recommend the AAL offer, even before it was formally made.

How can things change so drastically between early Dec and early Jan, when there was still the best part of three months until the end of the SR (we were told end of March).

If the big investors were behind him, - and so are/were the PI's - surely a fund raise is/was possible to keep the wheels turning

It doesn't add up

Why back Sirius and Fraser and give them the stage one finance
When the risks were huge almost unimaginable impossible tasks
But he done it

So now we had of take agreements not far off 14 million tonnes
Billions of pounds of work done

and we can’t raise the 500 million in stage two
To risky no stage one was risky

------

Very good point(s) dodger.

How the **** did they eff this up so badly.

And still we know nothing about the finance consortium.

Stinks

A good reminder of how Fraser has sold us down the river. What a ****

For the vote - do they need 75% of the issued share capital (ie 75% of 7 billion) to vote yes OR just 75% of those that bother to vote to say yes?

15lives - I don't disagree with your analysis.

The frustration here is that the BOD have (conveniently for them) gone quiet, hiding behind the takeover code. Hopefully share soc can get unlock the mute button.

a raise at almost any price is better than a sale. they may say they cant raise the money, but we don't really know what they've done/how hard they've tried and they now are conflicted as they're fully behind the AAL deal and so wont be looking for a plan b. they've left us high and dry weeks/months before the deadline they advised to conclude the SR.

15LIves - yes you could look at it that way, but if we get to 11.59 before the vote, then there is only one way to vote and that's for a deal, otherwise its administration. If the vote happens sooner than later and is a no vote then there is time for a plan B.

At the minute the BOD are not working on a plan B, they have recommended the offer and put their vote (shares) behind it (irrevocably) and they are not talking to us and are still hiding behind the takeover rules and chaperone bull**** (I know I have tried to contact ir and have been fobbed off).

Having even a fraction of SXX as a result of dilution due to an equity raise or a real partnership with a an investor is obviously far preferable to having the shares bought of us, whether we like it or not, and being left with nothing but very large losses.

---

Absolutely agree John.

I also agree this wasn't a choreographed swindle. Yes the BOD effed up the financing and that's why we are where we are. But there are options. The funding debacle means that best case, we're facing massive dilution to carry on (circa 75% could raise the $680M), but a 75% dilution is viable economically for existing shareholders and gives them a path to recover their paper loss and with a willing board is still a viable solution.

Problem is the BOD seem to have given up and are prepared to jump into bed with AAL and continue to feather their nest - not just Fraser, ALL senior execs have been promised their jobs on same terms - salary and bonus and incentive scheme - with AAL. Interesting that they'd be on a "bonus" for effing up the sholders. Says it all really.

The BOD screwed up the finance, but now they've turned it in to a stitch up.

Quite how they think they can keep their jobs and walk the street of yorks unscathed is another matter.

Would still like to know the identity of the financial consortium and what Polygon are up to (and if those two things are related). Meanwhile we still don't have a date to vote on the deal. Looks like Fraser is trying to run the clock down to guarantee we're left with no alternative. Just another example of how this is turning into a stitch up.

do they allow dogs at the bar
dick

A Qu for share soc to put to BOD - are Polygon associated in any way with the financial consortium that put the term sheet to the BOD in Dec and Jan. If they are, that would be good to know and very telling.

Absolutely 81lucky

Long term....

Do you really think that CF would ignore any chance to get the full value out of his holding, rather than hand his company over to AAL.

Yes he still walks away in decent financial nick, but imagine what he’d of gained if he kept his holding till production.

He hasn’t sold anyone down the river, he had to accept his fate, and you yours.

------
IBAB - whos to say what deal fraser has struck for himself at AAL. He has destroyed value here and his 120M shares will never be worth what they could've been. Cashing in for 7M quid, keeping a six figure salary, six figure bonus and now he'll get options and bonuses in AAL shares instead of SXX shares. I wouldn't mind betting he'll end up better off with AAL than he would with a 20 Bn dilution to SXX.

BUT sholders get stiffed with an AAL sale and could be made whole over time with a 20Bn dilution

So I think he is conflicted and should've made full disclosure on ALL funding options before running down the clock with AAL

He has sold us - not himself - down the river

if it was as easy as that why are AAL bidding, why not just wait for administration if SXX are out of cash

OR

do they know that SXX wouldn't go into administration because there is a path forward to raise the funds to keep the lights on, but it's a path that is harder work and doesn't feather frasers nest as good as AAL will

Catlow - yes, he was involved with Sirius at the outset. Still held his shares. Interesting. He must've been kept in the dark too. With no reporting requirements he would've dumped them had he caught wind of what was going on. I wonder how he'll vote.