Ann: Capricorn Metals to acquire Warriedar Resources, page-367

Really dislike this on so many levels.

Firstly, is there a measure of impropriety? A confidentiality deed between CMM and WA8 was signed on 25 March. Since then, there has been no less than five change of Directors interest notices and four Cleansing Notices during which time discussions were taking place on a change of control transaction between CMM & WA8. How does that sit with shareholders trading shares & not privy to what those Directors knew? It does not sit comfortably with me.

I think CMM are brilliant in their business execution but we're on the wrong side of this transaction......CMM are attemping to establish their 3rd production pillar again for nix. That's great for CMM holders, not so for WA8 holders. No shareholders on this forum it would seem supports such a small premium paid with what is arguably expensive CMM scrip. If this was on offer 6 months ago when CMM was trading at circa $7 I'd have been more open to it but in truth I'd still have said "no".

So, the BoD were negotiating a takeover and yet still conducted a combined Capital Raising & Shareholder Purchase Plan totaling $21m only to cave to a low ball offer a month later ...this whilst they still had access to almost $8m at the end of the March Quarterly. How's that for diluting existing shareholders? Further, the Board commissions paid analyst coverage during this time that purports to see the company valued at multiples of what they have just accepted. We have only just received the first assays of a very comprehensive forward drilling program that had outstanding results with the promise of much more to come. What gives? As good as Amanda comes across & yes she's delivered to date, i have many questions around the process of accepting such an appalling offer at such an early juncture in the company's growth. To be honest, I've lost confidence in the Board to look after shareholder interests. Very disappointed with the proposal presented and under the circumstances it was delivered.

This puts WA8 into play and there could well be further interest from other parties. The problem is, this low price the Board accepted will anchor price expectations in any possible future negotiations. The damage has been done.

There's way too much potential upside & until the current planned drilling/exploration program has finalised, I don't want to field offers until that potential has been tested. There's too much left on the table here.

The Board have a demonstrated capacity for growing the resource but it's arguable they don't have the commensurate skills needed with regard to corporate nous.