Interesting development here @GobbleDok Looks like CPS...

Interesting development here @GobbleDok

Looks like CPS underwrote the last placement so they could take control of the company via a 249D motion.

I can understand CPS wanting to bite the bullet and turn AVD into a shell, as oil looks like being low for a long time and the company don't have any price driving newsflow till 2H 2016. At the same time, the current directors have done a good job in difficult times; continual buying on-market, pay reductions, carrying out the biz plan, as earmarked in the prospectus.

You'd think CPS wouldn't have that much difficulty getting the motion passed. The UK resource fund (Havoc Partners) will probably back the current directors in but they only hold 8%. Current mgmt about the same. Haynes, JP and PW also hold that much and you'd think will be looking to turn this into a shell for an RTO.

Could be some cheap shares coming on-market if directors and Havoc end up selling out if/when directors are removed.