The thing that has me most worried, is the fact that they did a major 3b fundraising BEFORE they announced the possible funding arrangement, Blind Freddy could see that to wait until after the announcement to issue a 3B would have doubled the amount raised?
Is this just bad management?, or a shady deal done to line someones pockets? Or was it timed to avoid scrutiny, If everyone's focused on the JV funding arrangement, they are less likely to look closely at the details of the 3B.
My other concern is what happened to FRL? did they drop FAS as being a bad investment, or vice versa?
And last but not least, What percentage of the profits will be sold off to raise the remaining 64 Million required to get funding? Are we going to end up selling off more of the farm?
Everyone seems to be focused on the BIG announcement cause it sounds wonderful and gives everyone a sense of hope. But lets not be blinded to the big picture and asking the questions.
I'm sure I'll cop flack for being a Naysayer, but I'm a realist and going by FAS's track record, nothing is ever as it seems, there is always a catch. The FRL deal was imminent, The best possible outcome for Shareholders because it retained full control. Suddenly it's off the table, and we are being told that a deal that reduces our profits by half and still leaves us needing to raise funds, is the Bee's Knees. Too many unanswered questions for my liking.
Regards Incognito.
FAS Price at posting:
1.3¢ Sentiment: None Disclosure: Held
