Finally we have some actual disclosure on this transaction.
As usual, whilst is gives a little more information it still glosses over several issues. They have still not given any detail on the supposed due diligence into Gambier, apart from the statement "conducting UK Company House searches that confirmed Gambier was in good standing".
Gambier was only incorporated in June of 2018, by Terry Richards, one of the Directors of both Jenepe Ltd (UK) and Jenepe Ltd (Australia). In fact, he was the only director of Gambier and all he ever did was increase the shareholdingof Gambier in October 2018 prior to selling the controlling interest in Gambier to Credenxia two weeks later in November.
Remember, Baum presented Gambier to the shareholders as "a technology holding company headquartered in London UK. Gambier providesinnovative regulatory and compliance based technology solutions across a diverse range ofindustry sectors. With a customer driven focus, Gambier seeks to provide its partners withan unmatched user experience for both the enterprise and the individual."
This was a gross overstatement of the capabilities of Gambier which was, at the time of TKF's release to the market, a one-man,50 day old entity.It would be very intersting to see what, if any, other business that Gambier Holdings ever undertook.
Remember, TKF's management were supposed to carry out due dilligence on the entity(s) to whom they inended to "dispose" the main business. It took me less than two minutes online to discover Gambier's (extremely short) history and the link between Gambier and the Jenepe characters. I assume that if TKF's management (sic) actually had carried out some due diligence, that they woud have discovered this, and more! In which case, why present Gambier in such a blatantly mis-leading manner?
Finally, let's look at the issue of the Credenxia tie-in.
Credenxia is another off-the-shelf vehicle created in London for the purposes of this transaction (apparently). Incorporated in August 2018, less than two months after Gambier, it included one of the top managers of TKF as a Director from the very start.
In this current release to the market, TKF make a few more remarkable claims; one is that "Mr Terrence Jones’ title of Business Development Manager wasamended from time to time by himself to CEO, on the basis that this title would enable him to haveeasier access to larger businesses."; another is that neither he nor the other employees who "jumped ship" were ever directors of the Company nor involved in themanagement of the Company.
Terry's Linkedin profile states that he was, in fact, the COO of TikForce Limited from Jul 2014 to Jul 2018 (presumably when he was canned?), as the release seems to imply. The release states "the business relationship between Mr Baum and Mr Jones ceased on 15 July2018, when Mr Jones was terminated from his position with the TikforceBusiness" This seems to imply that his removal was forced and yet does not offer any explanation as to why? Was this because Baum had reason to believe that Jones had been involved in this sale all along? If so, should not the shareholders have been made aware that the COO of the company had been termnated for cause (if, indeed, that was the case)?
The piece goes on the to claim that "Mr Baum does not have a current personal or business relationship with MrJones and does not intend to develop a future personal or business relationshipwith Mr Jones." and yet, in the preceeding paragraph, they state that both are, in fact, still co-directors of Silikonrok Pty Ltd, a pivotal orgain in the creation of TikForce.
Whilst I apologise for the length of this post, it probably makes no difference as messrs Baum, & co are obviously confident that shareholder apathy will once again win the day when it comes to the General Meeting. They have succesfully relied on it so far and managed to fritter away millions of dollars of shareholder money with little return nor, apparently, conscience.
The idea that "The Company intends to activelyconsider new acquisition, merger, and investment opportunities, both in Australia and overseas, in order tocomply with ASX Listing Rules 12.1 and 12.2 and which the Board believes could have potential to add valuefor the benefit of Shareholders" is just nonsense. The idea that anyone would want this team anywhere near their investments in the future is completly laughable and they have repeatedly demonstrated that adding value for the benefit of Shareholders is far from a priority.
If, amazingly, the shareholders could wprk together ad reverse this deal, would any revenues earned whilst Credenxia has had the reigns, be due TKF? Just wondering!
Messrs Baum, Usher and Anderson should, at the very least, publicly apologise for losing their shareholders; money and take ownership of this shocking farce.
