Ann: Close of Entitlement Offer and Notice of Shortfall, page-5

First 5 Last

Share
Profile

Follow
PS

2,900 Posts.

2149

28/04/20

10:53

Post #: 44296581
Share

Originally posted by jake0002: ↑

Wow - if you had any concerns as to the outcome of the voting on the PIOP proposal, then some of those questions may have been addressed now.
Takeup of the entitlement was 59.95%
Todd holds about 52%, and declared it would take up all of its entitlement.
The shortfall announcement shows that Todd took up their entitlement, which was approx 52%, so other shareholders took up the balance of about 8% approx.
So clearly the bigger s/hs did not take up all of their entitlement, (or maybe any of the entitlement??) so they have been heavily diluted.
Everyone else has been diluted.
Now FMS will be conducting another CR in order to repay the Todd loan which is due for repayment in by June 2020.
FMS will need to also raise further funds for working capital.
Todd will again agree to subscribe for its share of next CR.
So really debt for equity swap.
So again further dilution.

WHY would anyone vote FOR the PIOP deal, then NOT take-up their entitlement at year lows of 2.5c?
If anyone thought the deal was good enough to vote FOR the deal, then why not put in further funds to keep FMS solvent, in order for FMS to get the benefit of that terrific deal in the future??
Doesn't make sense IMHO.

This process will be "rinse and repeat" indefinately.
We were told FMS needs $4m p/a just to remain listed and operational - thats before repayment of loans.
There is at least the other $3.5m loan due about June 2022.

So Todd will steadily creep up the register at cheap prices.

The process outcome runs minorities out of money.

Expand

”Take up of the entitlement was 59.95%
Todd holds about 52%, and declared it would take up all of its entitlement.
The shortfall announcement shows that Todd took up their entitlement, which was approx 52%, so other shareholders took up the balance of about 8% approx.”

Another unbelievable act by OCJ. I am dumbfounded that they voted for the latest agreement and then did not participate in the CR!

Just a correction on Jake0002 figures. TIO hold 55.56% so other shareholders that took up the offer was just 4.39%!

FMS Price at posting: 2.8¢ Sentiment: Buy Disclosure: Held
12 Upvote

1 Great analysis

Reply

Top Stories

M4M

Macro, Norden set up transport solutions initiative for West Pilbara

SNX

Sierra Nevada raises $2M for silver exploration at Blackhawk

MTH

Mithril's drilling in Mexico picks up silver at 997g/t, gold at 28g/t

TLG

Talga Group wins key permit for flagship graphite mine in Sweden

IRX

InhaleRX snags $38.5M in funding from VC biotech funder Clendon

SWP

Swoop lobs $18M offer at microcap telecom Vonex – in which it holds 19.9%

What's causing the cost-of-living crisis, and how to navigate it

NVU

Nanoveu surges 10% after benchmark testing for new AI chip begins

MKT

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

Week 42 Wrap: HotCopper's top picks; new ASX 200 record; world yawns at war