So anyone who believes in this company I thought would have been pleased to highlight the detail contained in the cleansing notice regarding the current state of play. Annexure A of the Cleansing Notice has the most detail for anyone who is interested in understanding what this company is currently doing and aiming to do. This is what the purpose of a Cleansing notice is for. To keep the market informed of what they are up too especially if the shares that are being issued are going to insiders.
Wonder where the money for line item 8 Acquisition of business and assets will come from... Oh yes that is right they have now disclosed in the cleansing notice (which is what the purpose of having such a document issues is) their advisors and them have had discussions about a possible raising but nothing is finalized but it may or may not happen depends on how we feel....
The people/entities who were issued the shares are identified in the Court notice announcement Annexure A. The former Chairman Peter Huljich is African Resource Consulting Pty Ltd And John Smyth was a former Director of the company I believe.
The issue here is the company issued shares without the need to disclose material issues that are effecting or could effect the company when the shares were available to be traded that could influence the price people are prepared to buy and sell at. A cleansing notice avoids the need to issue a prospectus where all this detail is listed/provided and scrutinized in detail as it is formally submitted to ASIC for review ahead of being issued to the public but the company did not do this.
what we can learn is that if any of these listed deals get through the company will be issuing more script at diluted prices to get money in the door. The people (who are all close associates or past directors of the company) have been issued shares on the down low that they could have traded since they were issued at prices that are lower than what the market is trading at and certainly lower than what it will trade at if any of these deals get over the line calling for a capital raising. Transparency and ethics are called into question here....
(20min delay)