Ann: Annual Report to shareholders, page-8

First 8 Last

Share
Profile

Follow
MeToo

7,639 Posts.

483

31/10/18

13:41

Post #: 36332823
Share

Originally posted by Purpose ↑

Having mentioned a future raising/funding in the 2018 annual report which hand an end date of June 2018 requires the company to now produce the September quarterly, which has a deadline of today.

Failure to provide the quarterly will once again put the company in breach of the listing rules.

Shareholders should review two previous company announcements `market updates` referring to funding and farm purchases.
1/ Market update 24/02/2016, A funding offer received!!!!
2/ Market update 1/05/2016 , To immediately proceed to purchase the first two farms.

There has been plenty of funding commentary since then regarding imminent funding and a $150 million bond raising. Now there is NO mention of any funding outside of a promissory note from a company with a $2 capitalisation that the company itself admits in the annual report is a related party of the company..

The funds now mentioned and promised appear to be required to save the company from being insolvent and the company makes a claim that these funds would be required to be repaid within forty eight hours of the boards removal. Such foresight.. Why couldn`t they see the current mess they were going to create years ago, with such insecurity of there position..

Any set of directors who believe that a 48 hour demand would stand up in court should not be in a public company position as it suggests the company is trading insolvently and it invites the companies creditors to now seek immediate payment for their accounts, and failing that they could issue a winding up notice.

Creditors are above the amount of the promissory note according to financials at the end of June and with the majority of the company costs being human operating costs, it reasonable to assume that another $165,000 of creditor/debt obligations has been added since June on a pro rata rate.

All of this with $4,500 of income over the last 2 years.

Of note is that the directors have either chosen or were unable to obtain Directors insurance. Trading while insolvent then creates a very real personal risk.

Anyone who is confident that any promise of funds will materialise just because it has appeared in print should go back and add up the number of times were have all heard that song before and what happened...
Nothing, except for another promise of funding is so close.............just trust us..... Yeh right...

A public company succeeds for its shareholders by generating income, not making endless promises that it fails to keep.

Expand

Well written, directors are supposed to act in the best of the majority of shareholders, it will be impossible to act in the best interest of all shareholders!

They are meant to make money / generate income for shareholders. Unless it’s a so called “life style” company where the money is not in the company business but in director’s fees, rent, advisory fees, backroom office fees etc. etc etc....... I am sure that you know how it goes?

PDF Price at posting: 2.9¢ Sentiment: None Disclosure: Not Held
2 Upvote

0 Great analysis

Reply

Top Stories

Rokeby, BHM, more: The 10 hot stocks HotCopper users watchlisted in Week 30

What is going on here? Watch out for DroneShield, Pure Hydrogen, and Nel ASA

Most investors will get this earnings season wrong. Will you?

RNU

Renascor produces graphite concentrate at Siviour, right on time to meet ex-China demand

ASE

Astute delivers high-grade lithium hits at Red Mountain

Listen: HotCopper Wire Podcast 019 – Dreaming of the 9,000s

Friday's HotCopper trends: Renascor concentrate, Larvotto raise | July 25

FTL

Firetail scoops up untested land around Excelsior – including juicy mineralisation target

ASX Market Close: Fading miners drag bourse as iron ore price slumps | July 25

SGQ

St George banks $5M from placement to ramp up Araxá Rare Earths Project

First 8 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

Ann: Annual Report to shareholders, page-8

Top Stories

Rokeby, BHM, more: The 10 hot stocks HotCopper users watchlisted in Week 30

What is going on here? Watch out for DroneShield, Pure Hydrogen, and Nel ASA

Most investors will get this earnings season wrong. Will you?

Renascor produces graphite concentrate at Siviour, right on time to meet ex-China demand

Astute delivers high-grade lithium hits at Red Mountain

Listen: HotCopper Wire Podcast 019 – Dreaming of the 9,000s

Friday's HotCopper trends: Renascor concentrate, Larvotto raise | July 25

Firetail scoops up untested land around Excelsior – including juicy mineralisation target

ASX Market Close: Fading miners drag bourse as iron ore price slumps | July 25

St George banks $5M from placement to ramp up Araxá Rare Earths Project

Featured News