OK - for want of a better term - here is a report.Firstly - we...

OK - for want of a better term - here is a report.

Firstly - we are expressly bound by the Takeover Panel's rules that relate to confidentiality (which are written into ASIC's legislation) -

For clarity - any information that Alara provides goes to the Panel's data room - and then the Panel unlocks that folder in the data room and gives us access - and vice versa - and I will say that that system works well.

Now even if you never read past the end of point 18.1 of the rules that I have pasted above - you can see that basically we can't say anything about absolutely anything that we learned from Alara - we didn't make the rules, but we had to expressly agree to abide by them at the start of the process back in early November and we have to continue to abide by that even though the Panel has announced its decision.

But what I can say is -

• I think it would be reasonable to assume that Alara is now much more aware of what they must do to correctly structure any future rights issue
• In their announcement on the 11th of December where they announced the cancellation of the rights issue that we took to the Takeovers Panel, Alara indicated that they were talking with Al Tasnim about Al Tasnim being the underwriter for a new/replacement rights issue. Whether Alara chooses to go down this route now with the risk that they may end up back at the Takeovers Panel, or perhaps instead they go the easier route and do a placement to sophisticated investors - or go down another funding route - or just forget about wanting to raise additional funds at the moment to let the dust settle - I simply don't know.
• What I do know though is that if Alara wishes to raise (by whatever method) an amount they choose that we will call $XYZ - the higher the share price is at the time then the smaller the number of new shares that they need to issue to raise that same $XYZ amount - so basically the higher the share price is then the less the dilution that occurs.
• I think that you all know what you can do to help push the share price higher - I won't spell it out because that would be giving unlicenced financial advice and probably see this post get deleted.
• I just took a look at the sell side to see how many AUQ shares are available at the moment, and some very rough mental arithmetic says that it would take about $60,000 of buy orders in total to take out all of the sell lines below 8c - and the only sell order above 8c is someone at 15c. $60k might sound like a lot, - but over 1,100 people have read this thread since the announcement was released at 5pm. If about just 10% of those 1,100 people bought $500 of Alara shares - then that is the $60,000 of shares all gone. Likewise if 5% of those readers bought $1000 of shares each then the total is also reached - or any combination of the above.
• Given that there is nothing between 8c and 15c currently - it shouldn't be hard for the share price to go to somewhere between 12-14 cents. At that price any raise won't have too significant an effect on dilution etc - and given that issuing a much smaller number of shares would not suit what is generally believed to be the true reason for them doing the rights issue in the first place - Alara might not even bother trying again.
• So essentially you now know what you need to do to %@&* up their plans - the four of us have done the hard work at the Takeovers Panel, the rest of you just have to do the easy bit!