@andyno3 - I read the announcements perfectly. Your post is disconjointed and a slap dash response which makes very little sense (not to mention that it is very poorly written).
I apologise if you were unable to capitalise on the past share price spikes of CBD, as I personally have profited from trading this stock. I don't know your investment strategy, however if you intent to buy micro cap miners with the intention of riding it up to a $500 Million market cap company, then I think you need to rethink things. The key to a lot of stocks is to trade the announcements rather than riding out the ups and downs.
I believe that CDB can do a deal and to be honest change of use for a company is not difficult. Why are you making it out as though a prospectus is so difficult? CDB could easily announce a deal which is subject to share holder approval and then have the change of use approved. I feel as though you have extremely limited knowledge of ASX listing rules and the Corporations Act as you make it out as though a change of use is a feat in itself. It's simply not. Why don't you have a look at the hundred's of mining shells that have recently become tech companies.
I don't think Mr Farquar can help in the short term (or the long term to be honest). I don't really have the patience to sit here and watch this Farquar person, whom we really have no knowledge of, attempt to take control of the CDB shell, with the hope that he is going to vend in some sort of viable project. Reverse take overs take time, not only from a due diligence perspective, but also to actually negotiate a deal which is viable for both parties. I know this as I have personally been involved in a number of shell deals myself so I understand the variables very well. If Farquar does get involved in CDB we could be waiting another two years to see something done. We all know that CDB is currently looking at a number of deals and with the additional pressure of the recent announcements, in my opinion, I think we will see one done very soon.
I can't comment on the 50 million shares, however from a corporate law perspective, CDB isn't really breaching any rules. Yes, I admit that it's not the norm and people are upset, however companies are allowed to place shares in escrow. For example, a company can issue shares to a third party for the purpose of a finance facility (where shares are sold and proceeds sent back Company) and this is totally fine. Regardless, with or without the 50 Million, I'm not certain that Farquar is going to have the votes. To be honest, I'm not sure if this is what is really after. Do you really think he wants to take of the Company or is he simply applying some pressure to the current directors to get something done. Maybe it's just expediting the deal.
