AR9 1.20% 8.4¢ archtis limited

AR9 $1+, page-650

  1. 1,917 Posts.
    lightbulb Created with Sketch. 403
    Reading the AGM papers(assuming I'm reading them correctly):

    Minimum Price
    Any Equity Securities issued under the 7.1A Mandate must be in an existing quoted class of Equity Securities and be issued at a minimum price of 75% of the volume weighted average price of Equity Securities in that class, calculated over the 15 trading days on which trades in that class were
    recorded immediately before:
    (i) the date on which the price at which the Equity Securities are to be issued is agreed by the entity and the recipient of the Equity
    Securities; or
    (ii) if the Equity Securities are not issued within 10 trading days of the date in Section 5.2(b)(i), the date on which the Equity Securities
    are issued
    .

    So, Yep, the price will be held down until the AGM. I would have liked to see a bit more accountability on how the $'s are going to be used:

    Use of funds raised under the 7.1A Mandate
    The Company intends to use funds raised from issues of Equity Securities under the 7.1A Mandate as cash consideration for the acquisition of new assets and investments (including expenses associated with such acquisitions), continued research and development expenditure on the Company’s current projects (funds would then be used for the project and ongoing project administration) and general working capital etc.

    I can only interpret this as general expenditure cash burning - I would like to see some funds spent on marketing.

    I think the re-election of Miles Jakeman and Leanne Graham is a no brainer - Very impressive backgrounds.

    They have already raised about $8M though issue back in November
    RESOLUTION 6 – RATIFICATION OF PRIOR ISSUE OF SHARES – LISTING RULE 7.1
    7.1 General
    On 12 November 2020, the Company announced that it had undertaken a
    placement to raise $8.4 million at $0.33 per Share (Placement). amicaa and MST
    Financial acted as the joint lead managers of the Placement.


    Overall. I'm ok with the resolutions other than would like to see more accountability on how the money will be spent. We the Shareholders are doing our bit - we now need Management to do theirs.
 
watchlist Created with Sketch. Add AR9 (ASX) to my watchlist
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.