The resignation of management puts the company in play - many...

The resignation of management puts the company in play - many company's get a takeover bid when there is noone at the top and I expect UML to be no different.

To avert this, or to at least try and extract as high as possible, whoever is now in charge of this ship should get a share buyback going. Reading through the posts, I can see people complaining about the lack of a divvy. Unfortunately, it is not possible for a company that has not announced a profit and has accumulated losses to declare a divvy. However that $2.5m (500m shares @ 0.5c) saved could be used to buy back shares, nearly 5% of the issued capital.

Many of us would love to see this as all recent investors see value in this stock -

1) 8c/share cash,
2) 2c/share in Goldstar,
3) earning 4c/yr at current Gold price at $1000/oz cash costs (and after $10m exploration spend), and
4) accumulated losses of $350m (worth a lot to one who can structure a takeover properly)

A buyback would be very accretive and would also be seen as a good sign by value investors who are frightened by what this management did with BCD. I find it very ridiculous that the company has not contemplated this before, although given the poor histories of the CEO and CFO it is not entirely surprising.

If you agree with me, then join me in voicing this opinion to the company at [email protected]