How the mcl deal works, page-23

@djgold

And thank you for posting a reply without flaming or baiting - appreciated!

"As I said bas its only a theory mate."

Yep - no probs that's why I left the intent of your theory open.

"I know you hate qbl management but what are your thoughts on the mcl and medcan deal?"

That is incorrect. I don't hate anyone. I find hate to be a very destructive emotion and of no use whatsoever to anyone.

However, I do think that QBL must be held to account - they have control of millions of dollars of shareholder funds - would you agree with that premise?

Just to be clear, the efforts and existence of ASIC, the ASX and the ATO e.g. as well as the many Acts of commercial / contract law in Australia, also expect directors of public companies to be held to account. I am not on my own here! Fiduciary duty is a very real legal doctrine - much of it is about accountability.

My thoughts on the MCL and the Medcan deal is that there is probably some very good possibilities there for QBL holders.

However, holders are entitled to ask relevant questions. One is - how have the values of the MCL and Medcan been assessed. I have seen figures of $60 million as a value for MCL. Really?

If true - who valued MCL as being worth that figure? After all, it is your capital that will be diluted in these deals.

Was there an independent valuation of MCL / Medcan prior to the agreement to acquire those companies?

From memory, I think that QBL is required to include a statement in the forthcoming prospectus commenting on 'key risks and investment overview' or "risks" (or similar). That will be worth reading in my view. I just wonder how expansive it will be?

Have you ever bought a property or asset without obtaining a fair valuation? Try borrowing money from your bank for an asset that has not been independently assessed and valued. In fact, what do you imagine a commercial lender would have said had the QBL directors applied for finance to fund the purchase of MCL? I imagine that the first sentence that would have been said in response - "... do you have MCL's audited accounts available please?"

Bauxite - South Johnstone

Given that the QBL rep has, this evening, responded to a bauxite question - I wonder if he might have any comment on point 4 of this document. This was released in 2016? As I read it - QBL were onto the ML back then - apparently! What has happened in the intervening 2 years to progress the ML?
https://www.asx.com.au/asxpdf/20160810/pdf/4396pf83r7lh00.pdf

And what happened to China Bauxite, Trading and Investments (CBTI)? They received 65,000,000 shares back in 2015 for $910,000
https://www.asx.com.au/asxpdf/20150306/pdf/42x3s84d41xnc0.pdf

And did QBL ever draw down any finds from the $2.88 AUD facility that was et up with New York based investment firm Magna?
https://www.asx.com.au/asxpdf/20151102/pdf/432nfxpbprvtq6.pdf

And whatever happened to the 2014 claim that the South Johnstone Scoping Study confirmed the, "Potential for Early Production Start"? Perhaps, I am just guessing here , it was due to the "current market conditions" (at that time) maybe?
https://www.asx.com.au/asxpdf/20141030/pdf/42t9xnv25jv7jk.pdf

Just keep reading and asking questions.