This gig been consuming me since last Friday I am wresting with what is the best scenario for shareholders and I am conflicted between the two extremes: (a) That the ASX delists CLI and that the officers are referred to ASIC for breaches of the Corporations Act & that CLI goes into admin. OR (b) That the Atlas finance deal holds and that CLi manages a 2020 cropping deal which will likely pay down the Atlas debt with crumbs left for shareholders.
The Sept Qtr report indicates that an extra $3 mil is likely required to keep CLI liquid to 31st Dec & no doubt the ASX will be checking out the Atlas funding deal for that.
A further $1.5 mil of Atlas support will likely be neccessary to see CLI out to 31st Mar 2020. (without the sale of trimmed flower)
That should amount to close to $9 mil Atlas debt without any provision for 2020 cropping IMO.
I'd better not suggest possible solutions for 2020 because negative posters would be over it like flies !!!
i would like to see the CEO & Board forego salaries & other monies until this is sorted out.
CLI Price at posting:
3.1¢ Sentiment: None Disclosure: Held
