Reading that message is a real disappointment. Even though I don't hold any shares in the company I really feel for the holders that put their dreams on a positive outcome.
What we have seen and are seeing is a far cry from the many discussions had this time last year on where the sector is going. What we are seeing is a buildup of almost every negative one could image build together to create a bad scenario. Unfortunately, most of it seems to be have designed to be that way. Some will be winners from the design and many more losers.
The problem for A40 or anyone else is it is clear that a short term fix won't cut it. We are many months away at least until things will change. For the A40 holders that may be reading this all that I can say is use this as a lesson in history and learn from past mistakes. Hopefully, some outcome will be better than no outcome and some sort of salvage of the situation can be made.
As a GXY holder I am getting extremely caught up on what this means for the company and their strategy. I appreciate @Thesi pressing some interesting questions of late. There are so many different variables at play and the problems with us being mere shareholders is that we can't see how each variable is being played. There is so much uncertainty in the world at the moment that forecasts could come crashing down just as they did GFC time. My long term narrative remains the same, my belief that GXY is the best positioned in the sector remains the same. The only thing changing in my head is how are all these games being played. It is 'games' at play. Very dangerous games and lots of people in many companies can get hurt.
All that I hope right now is that AT and the board are taking all the lessons they learned from the destruction of GXY 1.0 and using them all to great advantage to make GXY 2.0 a dominant player. About a year ago AT was talking about where he wanted the company to be in terms of market power. Are all these games a part of that play? Is the plan to swallow and grow? I guess we will find out soon enough.
All that I care about though is that at the moment they look after our cash and use it very wisely. I can't clearly see the plan, but I hope it is clear in their minds and we all benefit from it.
If GXY picked up control of A40 and put it on care and maintenance, how many other companies would also need to go on care and maintenance to change the short term supply and demand equation? Anyone done any maths on that? If they can take out supply on the left hand, how much to they increase the value of supply on the right hand? Can it work like counter weights?
Anyway I will stop there. I think this is my worst HC post to date, but has allowed me to explore my thoughts on the current situation. I guess we will know a lot more in 2-3weeks time.
Interesting week ahead.
GXY Price at posting:
$1.13 Sentiment: Buy Disclosure: Held
