The company is actually -$10k cash as the SA government has allowed them to draw $622k from their rehabilitation bond (of $1.709m) and they now have only $612k left in their account ($1.097m in their rehabilitation bond). The current monthly cash burn is~ $500k/month (with $5.1m debt). This means that they must be on their uppers now with ~$100k cash. I can't get my head around why Chimeara allowed them to borrow a further $1.325m when they had defaulted on their interest. I still see the directors are paying themselves $134k a quarter (I hope CD did not get a termination payment - assuming he went). I can't see what has happened to the trade creditors and outstanding (and unpaid) interest payments - nothing stated; a few questions to be asked?
VXL Price at posting:
11.5¢ Sentiment: Sell Disclosure: Held