I think CSAM's comments in the convertible note release would be best described as 'talking their own book', it looks like they certainly got themselves a reasonable deal, 10% capitalised interest over 2 years for a loan secured by 'a registered mortgage over real property' and an 2 year call option at 54c. I doesn't say anywhere in the release that it is mandatory conversion so I assume they can call in the loan for $6m after 2 years if the option is out of the money, refinance the deal, or indeed call in the mortgage.
As a loooonnnnggg term holder (since 2008!) I hope the new management is planning on a more proactive approach than "hope and pray" in order to deliver a revised DFS in 2022. They have got plenty of prior form to overcome with the promised revised Donald DFS in 2017 never seeing the light of day, the Donald EPC contract settlement dragging for years before finally being kiboshed in 2018, the Gambia award never settling and the demerger of the PRC processing business (fortunately IMO) being scrapped last year, among other own goals over the years. I must admit my heart sank when I looked at the last quarterly cash flow report where the numbers on page one did not add up, at least they rectified that quickly...
I'm looking forward to seeing the revised Donald DFS later in 2022, that will be the moment of truth for ATR and we will see if your optimism is well founded. GLTAH!
ATR Price at posting:
70.0¢ Sentiment: Hold Disclosure: Held
(20min delay)