As a shareholder who experienced the Leo Lithium debacle (Mail Lithium per name change), my takeaway from that is when there is a offer on the table for a pre-development African project, you take the money and run.
Mail Lithium was offered 56c a share for the project from it's Chinese suitor in 2018, a group a bankers thought they could do much better than that, so went on a campaign to discredit the incumbent Board, promoting to shareholders how under valued the offer was. These bright sparks were successful in rolling the Mail Lithium Board, and putting themselves in (and then handing themselves generous new performance rights packages and much higher salaries). They stopped the takeover and the share price subsequently dropped below 10c. Over the next 6years they nearly lost the project, the Mail government implemented aggressive new fiscals regime on miners, and after blowing through massive amounts of money and shareholder dilution, luckily the Chinese company came back and took over Leo Lithium for 43c a share.
Be careful what you wish for.....take the money and run!
PEK Price at posting:
26.5¢ Sentiment: Hold Disclosure: Held
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