Ann: Tawana & Alliance to Merge and Capital Raising & SIA, page-211

First thank you clik444c. Fun and informative blog post.

Reading the translation of the Chinese blogger it makes it so much easier to understand. We, TAW are getting married to AMAL, having previously been in de facto relationship.

In this instance being married gives more legal legal rights or the ability to easily get a loan that a defacto relationship.

"The wedding will begin in early October, and the final name will take the Alliance"
Bit sexist. The woman Tawana taking the man's name Alliance. What about a double barrelled name or Amao Mountain Resources.

"Each Tawana will exchange 1.1 AMS shares, then TAWANA delists from Australia and AMS visits the ASX."
Not sure about the differing value of the shares between Singapore and ASX

"This exchange ratio is based on the fact that each party holds half of Amao Mountain, and the total number of AMS shares is 556 M which is 1.1 times the total number of 505 M shares of Tawana. It is not related to the current market price of both parties."

Well that is clearer.

1. Wan Wanshan Lithium Mine (COWAN, Hillside)
2. Yalari Lithium Mine (YALLARI, Ma Runshan)
3. Murphy Creek Iron Mine (MOFE CREEK, Libya)

These three assets, which will be packaged under the wholly-owned subsidiary SpinCo, will be spun off. In mid-June, 85% of SpinCo shares will be distributed to Tawana's existing shareholders. After the divestiture, the Tawana price should be around AMS 1.1 times.

Personally I think as a shareholder of the current TAW that this is the booby prize. Every man and his dog has got lithium in the ground, the mines with off take agreements and producing are the ones with value.

Also:

Taking into account that SpinCo is not a public company, holding it is a bit of a hassle. Now that you hold Tawana, you may as well take the opportunity to trade back to AMS.

This is the news we are excited about but we seem to have lost control.
The underground treasure chest door finally opened.
Yes but who for?

I think SPINCO, as the name suggests is spin and of little value to current TAW shareholders.I could be totally wrong.

I am mainly interested in Maoshon Mountain and getting the lithium and Tantalum out or that "underground treasure chest".

Not sure what the blog writer means:
One of the details is very interesting. McGovern holds 4.3% TAWANA, while AMS is now a director, holding a total of 0.1% AMS, which makes people laugh.

As a retail shareholder I am not sure long term if this merger is to my advantage, I would prefer SPINCO was sold off and money invested in current mine.

The new company won't need the Cowan or Yillari, current Tawana already has in all probability massive resources of lithium in the ground.

I hope I am proved wrong. I was going to keep Tawana long term and bought more last week.