@Noobtrader1In relation to 7.1A we’re being asked two things. Firstly, to ratify the shares they issued to Bell Potter under the previous 12-month placement facility.
Secondly, we’re also being asked to vote on extending that facility for another 12 months, giving management the right to issue a further 10% equity, and up to 25% without seeking shareholders approval for 12 months.
Don’t get me wrong, Rick and the management team have done a great job, but they are cashed up and should leverage a commercial debt facility for the refurb of the mill (IMO), so why do they need this facility extended for 12 months?
I would have liked to see that explained in section 3.2 or 3.3 of the Explanatory Statement in more detail.
Yes, Rick and the management team have a good track record of being responsible and respectful of shareholders, but given the cash they already have on hand (approx $7.55M) why do they need this facility?
