Member Info for SmoothOperater

£2m tranche pulled forward = fully funded to complete the RTO work.

Audit due end April and prospectus within 90 days, so timeline now looks compressed into the coming weeks.

Repayments don’t start until June, aligning with expected completion, so this looks like bridge funding into the RTO rather than pre-RTO pressure.

Dilution now looks structured more towards post-RTO.

Focus shifts to prospectus and GM, execution phase is underway.

Possible timeline:

The RNS states, audit completion before end of April.

So, early May for prospectus submission.

Late May for RTO approvals.

Brilliant RNS will be post-RTO for any dilution/ conversion IMO

I'm not expecting any director dealings, who knows who will be on the board post-RTO.

There's clearly large buyer(s) absorbing stock, they don't seem to be put off by possible dilution, which does suggest their expected returns are going to be higher than the current price.

Definitely seeing a lot of accumulation despite the share price drift.

Sooner or later the news machine will start, the directors buying were massive clues to the market. IMO

I estimate 7 - 12 trading days left but the turning point will be before that.

I'm not expecting 2nd tranche (£2m) to convert pre-RTO.

Short term traders getting burned again.. it's not how to play these type of shares.

I keep a close eye on the tape, the selling so far all gets absorbed.

If you're invested here, the maximum profits will come 12 months Post-RTO completion, when the insiders can sell.

Mafioso,

Mathematically you are correct, but this is an RTO when the end ownership structure is defined at completion.

Interim dilution doesn't necessarily translate 1:1 into the final economics for existing shareholders.

It all depends on how the deal is structured at completion, not just the share count beforehand.

The circular/ prospectus will contain all the relevant information for existing shareholders to make an informed decision.

As lost my mind says, they were Bed&ISA transactions.

You keep worrying about dilution and not looking at the important stuff.

Any dilution would be contained within the Circular or prospectus, but the holdings value Post-RTO overrides it.

Are they sells though

I'm going to wait for the circular to be published, it should contain all the relevant information to make an informed decision on my holdings Post-RTO value.

On the surface the dilution looks significant, but the behaviour around it tells a different story.

Directors are buying, and large amounts of stock are being absorbed without a breakdown in price.

That doesn’t align with a market expecting value-destructive dilution.

Instead, it suggests that informed participants are comfortable with the post-RTO outcome, and that the end structure is likely favourable relative to where the shares are currently trading.

Haven't you noticed there's a buyer, I think the market is going to misread the situation big time...

Chipsta, the ATM facility is selling shares into the market to raise cash.

Dilution would be the same,but they've opted for receiving shares.

It was only £50k worth of shares , they could have paid in cash from ATM facility but creditors must have wanted shares for some good reason.

Fair to highlight risks, but worth separating opinion from what’s actually happening in the market.

1, The financing isn’t unusual for a small-cap pre-RTO situation. It’s a bridge to get the deal done. More importantly, the tape doesn’t show heavy dilution selling.

2, Early-stage/resource risk is part of the sector.

3, “Dodgy RTO” is a big claim, what specifically in the structure or disclosures suggests that?

4, Director buys may not be huge, but they’re still buying into the process, not selling out.

If the finance was that bad, you’d see constant selling. You’re not.

Lol TW is such a top professional researcher, he couldn't say how much Mr Sattar paid for his shares even though his holding was the exact same number as the CLN conversion (including the price) on the previous RNS to his holding RNS.

Someone is seriously loading up behind the scenes.

Well spotted Mooching, news next week?