The initial negotiation, when AGO was insolvent they gave the company away at 2.3 cents per share, to the creditors, instead of negotiating a better deal. I wrongly thought that was the end. But no, look at the last announcement.
They're paying millions in order to keep their own money, and instead of paying it in cash they're issuing some 108 million shares, basically giving the company away to the creditors.
Why would anyone willingly pay millions of dollars in order to keep $45 million of your own money, instead of simply just pay the loans off and be done with it. This is a clear cash grab, stalling the company, in order to benefit creditors.
I agree, the current and former CEO's had creditors interests ahead of shareholders.
Why bother with taking the company over, when you can instill a CEO that milks it for you?
AGO Price at posting:
2.5¢ Sentiment: None Disclosure: Held
