Their justification for the raise doesn’t pass the sniff test. The timing of the last raise was pathetic as well.
Its all but a given that they will be taken out as this mob don’t have the capacity to take Maricunga through to the mining stage. It’s a shame as Maricunga will end up being a world class lithium mine.
The potential suitor for Maricunga will eat these guys alive in the negotiation process as LPI management have dragged the chain in developing Maricunga and it’s now obvious that they were counting on being taken over.
After 5 years of holding LPI I’m furious with managements handling of the last 2 raises. But all I can do now is wait for the suitors offer and take their cash when it finally goes through. There is no point discussing the merits of Macuringa, as LPI will not be advancing the project through to the mining stage, it’s plainly obvious. Instead shareholders will have to be content with a average take over price. A take over is great for those that have just recently got in and for the favoured mates on the last 2 raises, as they will quickly double their money in a short time frame, but long term holders who were holding for the big reward of seeing Macuringa through to the mining stage and significantly higher prices are being shafted.
Anyway that’s my rant and mentally I have accepted the outcome.
LPI Price at posting:
65.5¢ Sentiment: Buy Disclosure: Held
