cmipc buyback at 95c is bloody rude !!, page-2

Hmmm... so Troy gets $385,000 plus $130,000 to cover his costs for a case that never went to court in exchange for his support to pay shareholders 79% of what CMI sold for? I more sceptical person could perceive this as a bribe.

Of course an independent expert will be employed to show why this is fair? Apparently, despite the company selling them for $1.20, buying them back for 95c is fair – despite the financial metrics of the company being superior now.

For anyone that wants to humour themselves read the CMI prospectus issued back in 2006 to buy back your ordinary shares – 2 shares for $1.20 plus 1 Class A share. The most humorous part “What makes the offer attractive” – I quote “The offer allows ordinary shareholders who wish to minimise their exposure to the adverse trading conditions outlined in this prospectus the opportunity to receive a cash payment plus a higher ranking share paying a fully franked dividend which is greater than what is currently provided to them.”

It took 1 year for the directors to stop the fully franked dividend. So in actual fact you didn’t get the dividends promised and for the privilege of waiting 4 years without a dividend we will low-ball you with an offer that is substantially less than the face value. Or around about the grossed up value of the dividends you didn't receive.

How this legal I will never know – but I think it’s time someone contacted the regulator.