AUSTAR GOLD LIMITED (ASX:AUL) - Ann: Proposed Share Consolidation - Questions and Answers, 39558703, page-12 - HotCopper | ASX Share Prices, Stock Market & Share Trading Forum

Originally posted by numgordon: ↑

Yes autumnrain but it's a nothing announcement, I do not believe any of the holders here submitted those questions?

1. Q: Does the proposed 100:1 consolidation dilute shareholders’ interests in the Company?
We are all smart enough to know the answer to this question, its a nothing question.

2. Q: Will the proposed consolidation increase the number of unmarketable parcels of otherwise reduce trading in the Company’s securities?
I think a unmarketable parcel is less than $500, if that is all you have in this company then not much here is going to change your outlook.

3. Q: Can the Company assure investors that any future capital raisings will provide an opportunity for retail shareholders to maintain their interest in the Company on equitable terms?
This question basically indicates there will be a capital raising soon.

4. Q: Does the Company intend to increase shareholder representation on the Board?
Answer basically promises nothing.

5. Q: Does the Company plan to take steps to improve or enhance shareholder communication?
"its present focus should be wholly on the delivery of operationalperformance given the potential inherent in its asset portfolio"
So why push such a large consolidation which is a financial structure, not "operational performance"? Focus on giving Tom DV and his team what they need if that is their statement!So in my opinion, none of the above questions have said why they are doing 100:1 and what their strategic reasoning is behind it. They just say it "may" attract other investors.

I would like them to explain why none of the board have any significant "skin in the game"? Do they not believe in the company? If not, please more on!

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Hi Numgordon,
Thank you for your post. You have honest questions. All I can say is please contact the company.
Mattyedw and I organized a meeting in Melbourne, Philip a director and himself a significant shareholder himself (by the way he bought his share on the market) came but no one else. I know that many could not come because of the time or location but please contact the company. Please ask questions and convey your views. If people contact the company you will then be better able to ask your questions and the company will better understand holders views.
Personally, I am not too fused either way. Everyone is free to vote as they wish. I think what is most important is finding the Gold and processing it economically.