RXL 3.70% 14.0¢ rox resources limited

The key commercial terms of the agreement are:1. Rox will...

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    The key commercial terms of the agreement are:
    1. Rox will acquire 100% of the Mt Fisher project for a consideration of twenty million (20,000,000) fully
    paid ordinary Rox Shares issued to Avoca.
    2. Additional Rox shares will be issued to Avoca if the following milestones are met:
    a) Twenty million (20,000,000) fully paid ordinary shares if a JORC Resource greater than two
    hundred and fifty thousand (250,000) ounces of gold at a 0.8g/t cut-off is identified; and
    b) Ten million (10,000,000) fully paid ordinary shares if a JORC Resource greater than one million
    (1,000,000) ounces of gold at a 0.8g/t cut-off is identified.
    3. The offer is subject to a 30 days Due Diligence period.
    Shareholder approval will be required to issue the shares to Avoca and will be sought immediately the
    due diligence is successfully completed.
    - ENDS ?

    So up to 50 million shares could be issued. My question is, would Avaco prefer Rox sp to increase signficantly before they receive their shares?

    if, say, 30c a share @ up to 50 million shares issued = $15 million worth. Avaco could immediately dump half (or all) that, even if sp dropped 20c - 25c they would make a considerable sum (+ tax deduction for "loss"?).

    ??
 
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14.0¢
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14.5¢ 14.5¢ 14.0¢ $35.31K 246.6K

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Last trade - 13.37pm 19/08/2024 (20 minute delay) ?
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