Ann: Notice of Annual General Meeting/Proxy Form, page-27

LH

You might very well be an investor in EMH, but common sense suggests that that might not be the real reason for the style nor the content of your posting.

Any listed company has a throng of people that feed off the business, like brokers, corporate advisers, investor relations, marketing and communications businesses or even Directors. Their interests are not necessarily aligned with those of minority shareholders.

Unlike you, who constantly makes - based on track record - appallingly inaccurate but persistently bullish share price predictions, what I do is calling a spade a spade.

If we end up with 49%, we have lost control of the project - that is merely a statement of fact, wether I say it or not. I have experienced directly how a majority shareholder can screw minorities out of their investment, so I am sorry if I can not feel more positive about this.

Of course, anyone sucking money from the business will want the party to go on as long as possible, as there are fees to be earned, money to be made. It would be in their interest to embellish the real situation of the business beyond what is supported by fact. Unfortunately, those interests do not necessarily align with those of minority shareholders.

I usually get suspicious of small companies where some or a number of posters write overly bullish posts - especially if those posters only ever write on a single stock and even more, if they make outlandish statements.

For example, the following sentence:

"The Cinovec Project Will Go Ahead and EMH will have a 49% stake in an asset with a CURRENT NPV of $1.108 Billion and the uncertainty of the viability of the project has been removed."

Where do I begin?!? Let's just focus on the statement "... and the uncertainty of the viability of the project has been removed"

Has it really?!? Even with a shareholder vote in favour of the CEZ deal, all we will have gained is the certainty of who our "partner" is going to be, but I challenge anyone to predict how that partner is going to behave towards its minorities. So called "market valuations" are notoriously easy for a controlling shareholder to influence such that they deliver their desired outcome. In reality lots and lots of uncertainty remains.

But let's for one moment say that you are tight, the CURRENT NPV is $1.108 billion - how come we are trading at 27.5 cps?!?

You are completely misrepresenting the real risk of an investment in EMH.

I would have considered an outcome were EMH remains as majority shareholder of the Cinovec project as a WIN WIN. Perhaps it simply is not possible to achieve that outcome in the current situation, but then there is no need to start pretending that the proposed outcome is a unambiguously positive news.

If the proposal goes ahed, certain Winners will be some of the Directors who will continue to collect Director fees and any number of service providers to the business who can continue to work for the EMH entity. They might very well sing the praises of this proposed deal.

As for minority shareholders, based on the information provided in this document, I believe little of the uncertainty has really been removed. If it was the lay-down misere that you pretend it is, there would have been a more euphoric share price reaction to the announcement.