Ann: Termination of Scheme of Arrangement, page-3

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Tian8824

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23/06/22

14:55

Post #: 62164509
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Originally posted by phutbol: ↑

I got the email below today from Jason Peterson at CPS Capital (the only ones that have made anything from this 'winner'...)

I wont be throwing any more money into whatever 'recapitalisation' plan they cook up. Will cop the dilution and just book up a near 100% loss to carry forward. Looks mostly like thats where this is heading. If it somehow manages to resurrect itself it will be a bonus but this one is a write-off.

Quote:

Good news!

The proposed merger with ZLD has been terminated.

Given the structure of the proposed deal – this effectively valued HHI at less than $1.5m based on the ZLD share price.
This is appears to be a ridiculous valuation and one major share shareholders weren’t going to support given its valuation is closer to $15-20m!
When the transaction was proposed the valuation was closer to $10m.

All major shareholders are supportive of a recapitalisation plan in order to retain the substantial value built in HHI.

Details are just being worked out and will be informed to the market as soon as practically possible.

Thanks for your patience.

Jason

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Just what the doctor ordered. Now that share price is not tied down by the Zelira SP. I knew once this stock drop below 2m, there would be demand for this stock. This is evidenced by the indiscriminate buy orders defending 1.2c. They probably had inside info deal was not going through. Otherwise why not just buy Zelira? Even better buy Zelira at an even lower price given market conditions will remain uninspiring for a couple months yet.

Trouble is that’s not how bear markets end. Or how bull markets start. They end and start before you know it.

CRO 1m market cap to 210m market cap. LTR 2000x appreciation from a few million to 6000m market cap.

No matter the quality of the asset. No matter the potential value the 2m market cap asset can achieve in the future, it can drop below 2m market when the market is down and disinterested. The market is only interested in what the value and demand of the asset it is today

Tremendous buy opportunity given the risk how much CPS Capital can pump this stock n the near future. Read the above email again. And again. And again. Read between the lines.

Last edited by Tian8824: 23/06/22

HHI Price at posting: 1.2¢ Sentiment: Buy Disclosure: Held
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0 Great analysis

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