Whiddon3, I agree with your point of view on Monash. They are not being fair dinkum in my opinion. SP3, sure they are funding up to $70m (less the ALDP and K-Coal funding), but that doesn't stop them from depositing their promised $6m.
Strictly based on timing (not being able to deliver), it appears they are waiting for the ALDP funding allocations and then making a decision to invest the $6m (assuming ECT receives some of the funding). To me this is definitely not in line with previous announcements and it feels like deceit.
How ECT management see Monash as a decent partner stuns me. It seems like whilst their cash whittles away, ECT seem content to top up with dilutive fast finance. If Monash had delivered the working capital of $6m, additional dilution wouldn't be necessary as investor confidence would return.
ECT need alternative funders lined up in the event supposed partners change their mind (it would be a disaster to receive ALDP funding and the private funder was unable to deliver). It stuns me that ECT management are happy to let their loyal shareholders sweat without a meaningful update on Monash for almost 3 months when Monash money was promised last year.
ESI Price at posting:
0.8¢ Sentiment: Buy Disclosure: Held
