Member Info for Quady

I started when I was 19, I was 59 recently.

addicknt is wrong, in this scenario, you can issue new shares, and exclude the bidder.
This is just one way of doing it, others exist.
Sorry addicknt, but in the interest of accuracy, it would be good if you could clarify your statement.

Hi Tos1963 it doesn't say that.
I will post in the relevant part.

for instance, if any one shareholder buys 20% of the company's shares, at which point every shareholder (except the one who possesses 20%) will have the right to buy a new issue of shares at a discount. If every other shareholder is able to buy more shares at a discount, such purchases would dilute the bidder's interest,

Hi ToS1963, I am reasonably certain that the pre exemption rights ended, when the standstill agreement ended.
Are you sure they are still in place.

Whoops I logged out, and can see Earthlings posts, he really doesn't understand anything at all.
However logged back in now, and can only see green lines.
That's much better.

addicknt, I have seen this happen in various guises, I have just had a look at wikipedia. It says that you don't have to offer the cheap shares to all parties, and that you can exclude the bidder, will post in below.

https://en.wikipedia.org/wiki/Shareholder_rights_plan#:~:text=A%20shareholder%20rights%20plan%2C%20colloquially%20known%20as%20a,corporation%20%27s%20board%20of%20directors%20against%20a%20takeover.

Allthatguff, I am not sure what to make of you, sometimes what you say adds to the conversation, other times you dig in with silly assertions.
Try reading up on shareholders right's plans, as this is just one of the ways that what I have said could be done.
Remember I have seen this done, from what you are saying, you haven't.

A shareholders' rights plan triggers immediately after the potential acquirer reveals their takeover scheme. These plans give existing shareholders the opportunity to buy additional company stock at a discounted price. Shareholders are tempted by the low price to buy more stock, thereby diluting the acquirer's ownership percentage. This makes the takeover more expensive for the acquirer and could potentially thwart the takeover entirely. At the very least, it gives the company's board of directors time to weigh other offers.

years not tears, don't know why autocorrect does that, second occasion now.

allthatguff, you are obviously not acquainted with the fortune oil story, I know others on here are, maybe they will chip in.
Yes facts matter.
So let's review what I have said.
It takes time to launch a hostile bid, this means that the acquirer has to talk to various parties to find out what would it take in principle to acquire their holdings.
No way, can that be kept secret, so at that point more shares are issued, and someone like Valuestone and maybe DGR and maybe Tenstar, or maybe we bring someone else on the book, to diversify further, and dilute the acquirer.
The example I gave earlier, I realise was poorly worded, and hence your question I suspect.
Only the Fortune Oil scenario is in my mind, as happened over 7 tears ago.
If I remember some of the others I will post, but these are companies I never invested in.
This can be done, I know it's not what you want to hear, but please read up on the Fortune oil story, and be pleased that we have such a diverse register.
All the best.

Morning Jerry, again like addicknt, I am sure you understand the rules better than me.
But we have excluded NCM and BHP in the last two share issues. ( that is a fact )
We will continue to exclude them, and we will defend, with many strategies.
Slowly BHP and NCM, will not be the major players.
Imagine if more stock is offered to DGR raising their stake.

correct allthatguff, it was made that no hostile bid could have succeeded. ( also our shares were acquired at about 2% of NPV )
Addicknt I know that you and others understand the regulations better than me, you add a lot too this forum. But I have seen this happen more than once.
Let's see how this pans out.

addicknt, sorry on this occasion it's you that are wrong, I have seen this happen more than once. Not always in a good way.
The fortune oil story, is my most recent memory, I know others on here, were in that share.
Look into it. This happens.

Thank you Iceberg.

Fair point ToS1963, I think the pre-emptive rights expired with the standstill agreement, allowing BHP to buy in the open market. ( that would be nice, and raise the share price considerably, so probably not going to happen )
This has never been simple, and if someone wants us, then as addicknt says, let them take us over, but not cheap.
This is going up in value all the time, I have laid out this morning some defense strategies.
I think the takeover window has come and gone, and when we get the PFS and CFP, then surely, our route to production is almost certain.

Good morning RogueNation, may I suggest it's a really good idea to back this, as it stops us being taken out cheap.
I bet you that the majority of shareholders will back this motion, for that very reason.
Only reason not to back it, is if you want a cheap offer.

Good morning schlemiel, it's simple.
I am in a minority, but I believe that the most likely path is production.
Enjoy life, and concentrate on the rest of your portfolio, and hopefully like my portfolio, your dividends are seeing signs of recovery, and can fund your lifestyle.
If I am wrong, then you get a payday sooner.
But the outlook is the same, enjoy life.

A quick explanation on options: We currently have 2.072 billion shares in issue.
Options are awarded to directors, should they meet certain milestones, resulting in increased value for shareholders ( I don't really like this type of reward, I would rather they invested their own money )
So when certain price points are reached, then more shares are issued, increasing the 2.072 figure, and diluting all shareholders marginally.
Should they fail to reach those targets by the expiry date of the options, then they are cancelled, and no dilution takes place, but then a new set of options with a different date is issued.

Good morning bm3121uk, I believe we have over 100 million shares as options.
However you are correct they are at different prices, and 60 pence are the memorable ones.
But if we get a bid at say a pound, and the price rises to a pound, then those options can be exercised, and we go from 2.072 billion shares to 2.2 billion shares. ( those figures are from memory, so I could be a bit out )
All the best.

Hi rcgl2, I think your summing up is correct, and yes the scenario you paint would be interesting.
But it does two things in reality.
First: I think the actions the company are taking makes a bid almost impossible at this stage, and so it won't happen.
Second: If I am wrong, and using your scenario, and say BHP offer 1 pound a share, and the company issues 500 million shares.
Then the share price still goes up, just with the dilutive effect, share price may only reach 80 pence.
So it will be an exit point and defended at the same time.

Lastly, what makes anyone thing that the other stakeholders would take a 1 pound bid. Some investors are looking at this from personal gain.
Someone please tell me why NCM and others, would sell their stake for 1 pound a share, when for no extra investment, they get a percentage of Alpala, and every other project we bring to fruition. ( that wouldn't make sense to me )
All the best.

So much can be done to defend Solgold from a takeover.
1) A diverse book.
2) The issue of more stock, excluding the main holders.
3) Bringing in more parties, at nominal holdings, to make the book more diverse.
4) Proving up other tenements.
5) Announcing a good PFS, and improving the NPV of Alpala.
6) The announcement of a conditional funding package for Alpala.
7) The commencement of work constructing Alpala next year.

As shareholders, we must continually ask ourselves, why no bid. NM is telling us constantly, we are going to production.
Vote with NM, and reap the rewards. I will add, that this is my opinion, to make some people happy, but in truth, everything here is opinion.

Hi newtoit. I fully accept that, but it has been said twice now, that I can remember in webinars, no one can bring this to production faster than Solgold.