Ann: Change in substantial holding, page-38

Part 2:

1/ Going by the chart you posted, I wonder how they calculated Aus Super's average buy-in price was 73c. The SP was never below $1 in the chart when Aus Super was accumulating. From memory, we had a discussion on what Aus Supers ave buy-in was 2 years ago and someone did mention 73c. Must have been a fin review subscriber.

2/ If they convert the 3 series into shares, it's roughly 10% of the company ( at the conversion rate of $1) putting them well above the 19.9% threshold. I don't think Aus Super would have any trouble gaining shareholder approval to go above the threshold. Afterall, they did save SYR's bacon by issuing the CN's.

3/ So this doesn't explain why Aus Super sold 6m shares unless they intend to continue selling. They have until 28/10/2024 to convert but even just converting series 2 now would put them over the threshold.

4/ I'd prefer them to get approval to go over. Between now and 28/10/2024 the SP should be gaining momentum under favourable fundamentals and Vidalia being in production making us the first integrated graphite company ex-China. Selling 40 odd million shares would dampen the momentum. 2023 is supposed to be the year of graphite afterall.

5/ I left this out in part 1 - AustralianSuper's support has allowed Syrah chief executive Shaun Verner to tailor supply to demand, rather than maximise production for short-term cash flow requirements - I don't think this point is understood by most investors. It would have been a road to ruin to try and drastically undercut the Chinese graphite miners. They were already selling at a discount to obtain a toe hold and at maximum production, the demand simply wasn't there once China cut EV subsidies. Every lithium company nearly went under as well.

6/ AustralianSuper has raised its long-term bet on battery minerals company Syrah Resources, after agreeing to subscribe for more shares in the graphite miner, loan the company money and potentially underwrite part of its fifth capital raising in less than four years. The emphatic show of support from the nation's biggest pension fund for the ASX's most shorted stock reflects AustralianSuper's strategy to ''partner'' with companies rather than just invest, and comes despite the fund's existing 15 per cent stake in Syrah being underwater at the miner's current share price. - that was from the same AFR reporter on the 19th of Jun 2019 when the price was still above Aus Supers reported ave of 73c.