Ann: Received ASX letter of 18 December 2019, page-96

Spanky, thank you for the well thought out and detailed explanation of the use of a Coin backed entity!

Anything written at this point is purely speculative as to what moves Animoca might make depending on the outcome of the ASX demands!
I like to think in a realm of what is probably most likely to occur, in the event a delisting would occur and what would be required to get the Company in a liquid position again as quickly as possible!

There is too much drama that has been created right now that is causing fear due to the uncertainty of the situation!
What is IMPORTANT to remember is that the jurisdiction of the ASX starts and stops within the confines of THEIR exchange!

Once the Company moves away from ASX they will not hold any further influence over our developing young Company!

Several of our fellow posters have listed 3 or 4 options the Company could pursue if indeed we are going to delist from the ASX!
For the sake of this post, I am going to assume the most likely path the Company will pursue would be to locate an exchange (if they haven’t already done this) that is more progressive and or has a better understanding of how the Company has structured the use of the digital economy that is still under construction!

For the sake of discussion let’s say they have located an exchange and decided to continue on as a publicly traded Company!
( the reason I feel this is most likely to be the path was due to their need for the use of their shares to be used as currency in the past transactions and future transactions, including the over 1 Billion shares that have been issued to investors, partnerships and officers of the Company.)
EVERYONE issued shares and future performance based shares is in the same boat, from the biggest to the smallest investor and I am pretty sure everyone wants the ability to have liquidity) (some will hold time and or performance based restricted shares)
In other words, the decision making process should affect everyone in the same manner if we make a lateral move to a new exchange!

So assuming the Company takes the path to relocate to a new exchange, what will this entail?
(I am not familiar with the requirements or technical aspects of becoming a public entity, but there are ways to expedite the process to reduce the time required to find a new exchange and begin trading again)

With the number of Company’s and investors involved, this no doubt will be a very large scale accounting process and will require a big chunk of resources just to reissue all the shares (of the local currency of the new exchange) to the current stock holders! (Massive accounting hours and legal review)
In addition there will be additional expenses and requirements tied to listing on a potential new exchange, including more time lost from the inability to be publicly traded and potential gains that could be incurring!

At the moment, the Company has the use of their ASX shares to complete open acquisitions, but the moment if a delisting were to occur then this option dries up!

I am sure there are other complexities that I personally aren’t aware of, so yes this is definitely in my opinion a pretty big predicament the Company will need to navigate!

As far as the value of the Company is concerned, well who knows how much money it will take to complete a new listing, reissue new shares and update all the partnership agreements that are based on Animoca ASX shares today!
Secondly, if a delisting would occur would it have any kind of impact on partnership deals in place today and any unclosed deals in the pipeline?

The accounting and finance department will be working overtime for sure! Not sure of the cash position the Company maintains today?

Obviously, it would have been much better if the Company was not put in this position today. However , the interpretation the exchange has taken appears to be forcing the Company to make some much tougher decisions now.

Being in business, obstacles come at you in many shapes and forms and it is super difficult!
What I remind myself is to remember the tremendous assets that the Company has and is in the process of creating today and what the potential could be once we are able to successfully navigate this current road block !

GLTA
100% of the above is only my opinion intended for discussion purposes by fellow board members
I personally am just a small retail investor with the same issues, concerns and hopes aligned with fellow longs