Ricar3,I agree with everything you say...but the unfortunate...

Ricar3,

I agree with everything you say...but the unfortunate thing is that i believe we are screwed either way regardless of the proposal going through or not. If we vote no on the sale and vote no on the ratification of shares the company has to pay $400k regardless, it doesn't have that money to fork out which leaves it in a bit of a bother! (this is poor form from the company to put shareholders at ransom which is effectively forcing them to vote yes).

I'm under the impression that this is there only offer they have and as such have no bargaining power. If the sale doesn't go through they are as good as gone anyway, regardless of what the assets are worth you'll be lucky to get a 1c back per share. If it does go through and eveything happens the way they set out they may have potential.

Their capital structure is useless, they can't raise debt given their poor mgt and for many other operational and finance problems, they couldn't raise enough equity through shares to be able to mine and build the port, let alone a toaster. If they have no other buyers or JV options (which i believe is the case), this company is gone i believe. So, with these scenarios if the company folded today you'd be lucky to get the same price as the sale that is proposed now, if the sale goes ahead you get the possibility that things go to plan, or, if it doesn't go to plan and it goes bust anyway you are in the same boat as voting no. Either way, the risk of the company going bust is very high, but the only way out of that i believe is what they have proposed, it is their only option i believe (IMO).

I'll let you make the decision on what to vote, but to me the outlook for this company is decided with this vote. The company would take its best offer, if this is its best why would we consider the 2nd best if there was one, which i don't believe this is any other than default.

However, i believe that there still needs to be some careful investigation into these dealings, there appears to be fishiness and regardless of the outcome they need to be accountable.

I will be voting yes, that way i believe i have a better prob of getting some return. But in saying that, i will be keeping a close eye on and make investigations if there are illegal practices. This forum is good at uncovering things whether they are all fact or not, i believe they are well aware they are being monitored like a hawk by many many many investor who are angry and who are waiting for them to make a mistake.

I also think, if the company were being too shifty and doing things illegal then you would have a few large investment banks (top shareholders) taking matters to ASIC.

Is anyone going to the AGM?