Member Info for Smellyben

I’m sorry but the potential for ANS to increase its equity was announced months ago and so I take it as a vote of confidence - remember they are investing in TK at a much higher price than the share price currently is. $8m for an effective a reduction in our share of 4% values our shares at $100m not the $16m or so that the current share price indicates - all excluding the other assets we have !!!!!

Great senior local businessmen are on the board and great that all consents have been issued - expect to be over 2.5p today !!

New pictures of Tulu Kapi on Twitter

how do you know where Harry is ? Is that you Harry LOL

I disagree - if the money comes through it will be a massive boost to the share price - also the gov sign offs are required for the bond issue so it’s a win win - course going to the wire on financing is disconcerting and if it doesn’t come through then that would be really bad but at least there will be news. !! God I’d love Kefi to be ahead of the curve and over deliver for once !!!!

Ridiculous!

You may well be correct, and i certainly hope it's an admin delay rather than anything more serious but one of the reasons this share is rated so lowly is because of the constant moving of goalposts from the Board.

Only two weeks ago they said they fully expected and were confident the money would be received by year end - it hasn't happened - we are now pushing up against Ethiopian Xmas. I think Harry and the Board should reflect on that - tis better to underpromise and overdeliver than their norm of over promising and underdelivering - at least in the financing side of things !!

The gm meeting apparently had around 100m votes cast out of 550m !!! What’s going on people that’s 450m who didn’t vote one way or other - at that level basically management can do what they like cos they have a huge proportion of that 100m - shareholders need to be more engaged !!!

On a separate point - the latest RNS appears to fully expect the 9m by end of year - a matter of days now it would be a massive shock if it doesn’t arrive so I,m topping up on the expectation of 2.5-3.5 p by the new year - good luck all !!!

If I was a betting man I would imagine there will be an rns re receiving the 9m on the day of the general meeting- nearly always happens!!

I hear what you are saying about the repayment will probably actually happen in 12 or 18 months but in that case why say they will do it in 6 ! It just raises more questions and the reality seems to be the bond will not be ready and as this proposed bond issue has been “subject to due diligence “ for about 18 months already we have to question whether it will actually happen surely - why can’t management update is on real progress - how many banks/ institutions have expressed an interest what level of funding is covered etc etc - it is the complete lack of transparency that is just killing the share price - now 50% down on just a couple of months ago when the last find raise happened. Heads should surely roll. We know the ops people are making good progress and we know the gold is there and there are good partnerships but the finance side of this company is a shambles

Please do correct any misunderstandings in my logic - not pretending to be a maths or investing guru - but if we assume only the first £2million is drawn and repaid as planned in Q2 2019 the fee for this loan is

1. £150K for the 7.5% committment fee
2. £80K for the prepayment option (what is this ???)
3. £100K as a fee for the option or a second and third tranche which may not be needed and if it is comes with their own expensive fees.

so £330K.

If the company pays back at end of Q2 as they say they intend to - that will mean, I think, the average loan for the period will be around £1.2m - so annualised we'll be paying something like 60% interest - on a secured loan !

Who can support that ! - it is giving away all our equity - what other routes have they explored - sounds like a sweetheart deal at our expense - insanity - lets oppose !!

The operational update was positive but we seem to be have been waiting for these permissions and the due diligence for YEARS !!!! and I'm sorry but this loan facility is massively expensive if as they say they only need it for 6 months to be paid back in June 2019 - the total payment will be huge in relation to what we are getting -more like a Wonga loan FFS - surely a rights issue would be far far better value for investors or at least wait until the ANS money comes in and raise the cash off a higher share price - this is usury in my opinion and I will be voting against unless someone can convince me otherwise if I have the wrong end of the stick.

Agree - what has happened to the proposed agm to sign off on the loan facility ?

I’m not a fan of the deal but the absence of the promised AGM raises questions - if delayed much longer we,ll be into Xmas and the ans money is due which if successful could transform the SP and then the deal will look truly poor

Hi I realise the following contradicts my previous post but I think just exemplifies confusion/ concern and a poorly worded and explained rns. It could be read that the 12m shares are issued in treasury and only given to the lender when drawdowns occur. So it could be read that the lender is given shares at 2p when we use the facility- so if we only needed 1m say and assuming we paid it back on full funding they could ask for 2.5m shares ( half the loan at 2p ?? Truth is I’m confused and would appreciate clarification from the company !!!!

If your numbers are correct - and they look sensible to me - it is deeply concerning and I for one would vote against. If they need cash why don’t they get the Ethiopian investors to release their money early ffs.

Market still hasn’t recognised value here but taken the opportunity to increase (my already too large!) stake - gold up , operations progressing, finance progressing - the 9m stuff if sorted - bond bond bond news please ASAP !!

Couldn’t agree more - the board have been despicable across the board! If the Viking wants to set up some kind of vehicle to personally hold them responsible and suing them for recoupment of salaries and bonuses I’d happily contribute - don’t mind losing money here if it happens as I went in with eyes open but the way the board have just wasted money on consultants, bonuses etc smacks of them operating entirely for their own interests and their mates rather than shareholders or indeed employees

Not sure if any of you saw the webcast. In my view Harry was very confident about progress particularly over the few months and seemed like a man with lots to do but with everything in line and great partners with skin in the game to make this work. A significantly derisked project which makes the bond more likely than ever along with more fallback positions if that were to fall through for some reason

He also cleared up the whole $9m dollars not received yet issue which some people (including me) were worried about - so much happier - wish I had more to put in but the last few days have hurt some of my other investments !

I think my point was that I can see very solid progress over the last 2 or 3 months - methodically ticking off must dos before construction and production begins - I guess I’d like to know from knowledgeable posters (not rampers!!) what more do kefi have to deliver before the bond holders sign up (and therefore rerate) - they have equity committed, they have gov on board both local and national - and they have been doing paperwork in Luxembourg for a year now - what else before they sign up ??

I think we all agree that for the project to work we need the gov to support and the local community to support - all of which has happened in the last couple of weeks with serious local investors bought in and now the gov. All of this would be required by bond holders before signing off on the funds so it is a significant step in the right direction. The market seems to be saying that they won’t believe anything until the bond is sorted which is fair enough given the various false starts but for me this is another advancement and what I would like to understand is what other hurdles the bond holders require before they sign off on the money

From Kefi website - no placing required assuming bond comes in as expected

Q: Has the ANS signed a heads of agreement or a final binding agreement?

A: The heads was signed in August and the final binding agreement on Friday last week.

Q: Can the first instalment of the ANS subscription be used to fund or refund KEFI’s G&A?

A: Generally yes, because KEFI’s costs are mostly for project financing or project preparations.

Q: When do funds flow from the ANS deal?

A: Q4-18 upon the stated conditions being met.

Q: How reliable is ANS’s own investor base?

A: The founders of ANS committed the first $3M of $30M up front. All of the rest has turned out to be with financial institutions which are solid and subject to similar rules of conduct on deals as institutions elsewhere. If ANS had had to go to private groups or to the retail clients of the local institutions, as it had originally assumed, it would have had to ask for deposits in escrow.

Posted 01 October 2018