You should not ascribe any value to your current and (possible) future shareholding.
The whole point of this exercise is to pass control of FDM - or rather, its lifeless carcass - to Crest Advisory and then to Crest's investors. As the explanatory document states, the entire 1,077,022,552 shares currently on issue will control 6.15% of the Company, instead of 100%. Your ownership of FDM will be devalued by the same proportion.
Even if the new management make a success of the business, current FDM shareholders are not going to see much benefit unless they are asked, and agree, to invest more capital.
Also, FDM will probably not be relisted, so it will be difficult to exit (or buy).
Your choices seem to be: to agree to the proposal and hope that you won't just be trapped in Shelob's web,
or vote it down, hope that FDM is liquidated, and claim your tax losses (if applicable).
As far as tax is concerned, it would be advisable to get professional advice.
FDM Price at posting:
1.1¢ Sentiment: None Disclosure: Held
