In yesterday's App 3B announcement, I read that 8 million shares are a 1-off fee payment to commence the funding facility and 20 million shares are a non performance security ... this being the case, it wont be repeated in subsequent months ... lets wait and see.
This month the share purchase is $125,000 of shares and it looks to be the same next month and then it drops to $100,000 per month.
Based on the above, there appears to be effort to minimise dilution at/close to current sp levels.
As other have pointed out over the past day or so, the Cougar China Direct Invest MOU lapsed some time ago.
Direct Invest did introduce Cougar to China and for that we can be thankful, but it seems that subsequent local relationships now have a life of their own. Looking at timing, I can see that Direct Invest might have had GFC 1 related issues that limited their ability to continue investing in emerging technologies like ucg, but that is supposition on my part.
Nowhere in yesterday's announcement does it say the push into China has diminished or is at risk. I recall staff on the ground in China being engaged around mid last year.
Imo, it is responsible to secure funding on the most favourable terms well ahead of when it is needed and when the negotiating position would be weak.
Cheers Dex
CXY Price at posting:
1.6¢ Sentiment: Hold Disclosure: Held
