Hi HCould the Acuity facility be a life boat? When I read this,...

Hi H

Could the Acuity facility be a life boat? 

When I read this,

"As to why they didn't Max out Acuity at 4 cents now to pay Lind "

I thought I might have missed something important and bailed unnecessarily.

The details of the Acuity Facility took a bit of tracking down as there not in any new issue announcement


The Acuity $10m facility is buried in a throwaway line in a quarterly report and then there was a 25M share issue to Acuity at nil consideration in a 3b that was all about Lind. Was that 25m Acuity's fee ?  Or was it an advance of shares to sell on market at an agreed price? no explanation seems to have been given unless its buried somewhere, like the original brief announcement was.

Now were told, also as a sub line to the LIND placement of $750K at 2.7c, that they have issued 6.4m for a consideration of 4.06c to Acuity.

I presume Acuity have been working since they were given the 25m shares trying to sell shares on market at 4c+. They have managed to get 6.4m away and have now been topped back up to 25m I wonder what price management have dropped the target to, given the SP has crashed?

It seems Dixon has a credit card with a $10m limit (subject to placement limits). The facility is called an ATM. !!!!  Not funny in my opinion.

The details on Acuity's web site explain whats behind the few word disclosure in the quarterly report.

Its basically a questionable arrangement that allows the company to issue new shares to an uncontrolled number of unsophisticated investors without a prospectus.  Punters buy them on market form Acuity without knowing they are a new issue.

How much of the $10m can be accessed? The AGM approved the issue of the first 25M so apart from any capacity in the 15 % and approved 10% uplift to 25% thats it.

Sorry if I'm boring you with details but thought you might like a heads up on what seems to be the correct facts.

Whilst I have walked out with a big loss I'm ready and willing to buy back in if and when the fundamentals indicate its a potential multi bagger as they did after the first quarter 2018.