Member Info for Lothbury

Generally Lower Survival Rates: Studies have shown that companies going public through an RTO generally have lower survival rates and underperform in the long run compared to companies using a traditional IPO to list. One study of firms conducting reverse stock splits (a related but distinct action, often a sign of distress) found only a 29% survival rate after five years.

MoS is currently suspended. If the RTO is to proceed it must de-list and then re-apply as if it were a brand new first-time Listing. If the RTO doesn’t go ahead then it will seek to have the Suspension lifted. The problem may well be in the Exchange accepting the enlarged MoS (with the Mexican addition) as suitable for a Listing in AIM; particularly the valuation.

How about updating us on the “All Parties” meeting in Mexico, which was mentioned in their RNS?

In order to help Citi understand the facts about any constraints placed on a Company , whose shares are suspended because of an RTO : A suspended AIM-listed company must continue to comply with all the AIM Rules for Companies, including the obligation to provide trading updates and other information to shareholders and the market, during a Reverse Takeover (RTO) process. The suspension does not remove the company's continuing obligations. I look forward to the Board issuing a Trading -Update.

Rubbish Citi. The Mexicans and their team will have far more info, as part of the RTO Due Diligence, that is required to sign off the deal. What information will the Board impart to Shareholders (say a trading update) that the Mexicans don’t already know? How will that affect the RTO unless the Board aren’t telling the truth, the whole truth and nothing but the truth? This RTO is like a brand new Listing where EVERYTHING is disclosed. I’ve never read such an ill informed reply.

NOMADS don’t “restrict” a Company in its announcements to Shareholders. It can advise the Board in respect of the Stock Exchange Rules & Regulations. The principle consideration is “price sensitive” information and ensuring the “Market” and Stakeholders have the same information, at the same time, to ensure an orderly market. The shares are currently “suspended” . The Board can make whatever announcements they wish; whenever they wish and not limited to regular progress updates. The Board have failed in their relationship and transparency dealings with the minority shareholders. My concern is that in the past 8 months they have said nothing of any consequence… a trading statement would be good to give us confidence that the basic business is flourishing should this deal not proceed.

If the deal folds I don’t think the Company will be able to pay the vast professional fees associated with this Cross-Border Reverse Take-Over. As shareholders we are being held to ransom with this big financial problem and no market in the shares whatsoever. Depending on how many new shares are issued to acquire the Mexican Jumping Bean and to place for cash flow… I calculate an approximate Opening Price of 0.29 to 0.34.

Thanks Citi : what’s your thinking behind your view of “pleasantly surprised”?

Thanks Citi : what’s your thinking behind your view of “pleasantly surprised”?

Citi : the shareholders have been lit on an invidious position: if you want the quote back then approve the deal.. so , Citi, there are matrix for the delisted share to price…. What do you think it could open at? You have always been very bullish about the prospects .. please let us have your considered opinion.

The truth will be in the share price when/if re-listed. There is nothing we can do or say to influence that other than vote NO to the proposed RTO if we don’t like the deal.

Pity the Chairman didn’t tell all of us of the Extension through an RNS…

The Extension is partly irrelevant as MoS has effectively, due to the size of the deal and financial matrix, had its Quote cancelled. Mos need to apply on the basis of this being a brand new Listing. If the deal falls then the Listing will, in all probability, have the Suspension lifted. The Listing requirements for a new Listing are somewhat more onerous than an acquisition and lifting of a Suspension. It’s the size of the deal that causes the problem. They have to get past Schedule 4 of the Rules and particularly setting out the value of the assets of different from the consideration. I’d be surprised if we see any documents in the foreseeable future.

Christmas Cracker joke????

I’m asking the Board to do the decent thing …!!!!

No wind-up. To get the deal done within the 6 month timeline it needs approval by Shareholders. To get that approval Formal Notice and papers need to be sent to shareholders 16 days before the EGM. To get that done within the timeline of 6 months should have seen the EGM Notice issued on or before Sunday, 14th September. This has not happened so they are in breach of the AIM Regulations as they can’t get the deal approved within the period. My “narrative” is that the Board should have made a statement to their shareholders about this matter and details on how the deal is progressing with a possible new timeline. This information should have been made available to ALL Shareholders; large and small. If you’re not worried about- tell us why please : what information do you have to back up this opinion - it’s not price sensitive as the shares are suspended.

Good morning “Citi”. I’m glad you agree with my concerns about the way the Shareholders are being treated and the fact you have confirmed that they aren’t taking any notice (so just lump it). Would you trust your Children’s’ Trust Fund in their hands? My narrative is very simple: Abide by the Rules and respect your shareholders. The AIM Rules are all about transparency between all Stakeholders. Since the Suspension notice nearly 6 months ago we have had 1 RNS update.. What I find bewildering about your posts is that very few, if any, have researched substance to your statements. You make totally uncorroborated statements as if they were facts… I enjoy your postings and would enjoy them even more if you could provide researched opinion. Thank you.

The problem is, Citi, that the company is already in default of the Stock Exchange Regulations and should have had the common decency and respect to inform its owners (the Shareholders) what it is doing to rectify the situation and a timetable when they expect to have an EGM. Their actions prove to me they don’t care about the small shareholder… only themselves..

Yes Citi .. so why haven’t the Board had the courtesy to inform its stuffed shareholders that they have been granted an extension and an update on the timetable. This is classic “mushroom management”. Total disregard for the owners of MoS; the shareholders.

So now we have accepted that they have missed the Stock Exchange Regulations deadline.. we’ve now seem to have decided to bet on the fact that this could be done by the end of 2025 / 9 months after the Suspension. We are stuffed into this share with no real prospect of a market…