I am still in a state of disbelieve ... Just read once more through the proposal. I have given management the benefit of the doubt so far, but realise now that the amount of incompetence was much bigger than I ever thought possible.
What annoys me most is that agreement was signed at terms where every existing shareholder would object. To force the shareholder to vote in favour, a big break fee was attached to it ($400,000). So in case shareholders do not approve, then the company is tits up anyway ... who with a clear mind could possible sign up for this? As it turns out, we had the one in a million dumb crew as our management.
What happened to the Magna deal which was announced some 3 weeks ago? I actually got scared when I read Magna in the announcement and luckily sold half my shares that day. But I guess Magna deal was way superior to the current proposal (and that says something).
Also, I am unclear on the cash situation from Q to Q and what the money was used for. I should have looked into those cashflow statements more careful (I can only blame myself for that). Something smells fishy though I must say. Maybe a case for an independent auditor to have a look into the books to ascertain that nothing has been "cooked".
Or have we been under "insolvent trading" already? If so, could case be made that proposal was signed under insolvency and therefore is void (I am no lawyer, so my apologies if this this sounds hideous)
I just feel that Management should be held accountable for the mess they left behind.
QFY Price at posting:
0.7¢ Sentiment: Hold Disclosure: Held
