Hi Chillout, understand your frustration, I feel the same however some parts of what you wrote are not correct.
“As for whether the options are subject to shareholder approval, it clearly states that only options related to tranche 2 for management which is the $900k worth of the raise or ~13m shares, will be voted on at next month's meeting.”
If you read the Prospectus (which was required to issue the options) it clearly states at the bottom of section 2.1 that shareholder approval is required. The Prospectus governs the rules around the issue, they can’t change that. There are other reasons I put forward in another recent post.
Unfortunately SPPs usually flop. If you offer shareholders to buy 1 share for each 6 held with a free option, the first thing people do is sell a sixth of their holding knowing they can buy them back cheaper. Thats what I’d do, because I hold the number of shares I’m comfortable with - I don’t want any more. Most people probably don't have the spare funds to buy more.
Look at the SPP Noble Helium (NHE) are trying to get done atm. April 10 it closed at 9.7c (had been as high as 12c recently). Morning of April 11 they offered a SPP at 9c with a 1:3 attaching option. That day the SP dropped to 8.8c and hasn’t been close to 9c since. Who is going to participate in the SPP if you can buy it for 8.6c on market?
MNB Price at posting:
6.0¢ Sentiment: Buy Disclosure: Held
(20min delay)
