Hi Cspor
Again the Res 8 is to allow them under both rule 7.1 (15%) and 7.1a (10%) to issue more shares.
If you remember back to the Sept 2014 AGM. Res 5 allowed them to issue 500,000,000 shares 250,000,000 options. passed
Oct 2014 saw Res 7 Allowing an additional 10% under 7.1a passed
Regards to the New Res 8 (80 vwap. Now 15%)
Here is Res 4 Oct 2014
Resolution 4 – Approval of Options 6.1 General The Company announced on 19 May 2014, it had secured a $2m debt facility from sophisticated investors. Key terms of the facility are 10% interest rate, $2.4m repayable in tranches with total settlement on or before 30 April 2015 at any time and 66m unlisted options ($0.015, 3 year expiry) (Loan Options). These options were approved to be issued at the Company’s General Meeting on 3 October 2014, however subsequently, the lenders have agreed to extend the tranche repayment terms and in recognition of this, the Company seeks to replace the previously approved (not issued) loan options. Therefore, resolution 4 seeks Shareholder approval pursuant to Listing Rule 7.1 for the issue of the balance of the 66m Loan Options being 57,250,000 Loan Options pursuant to the terms of the debt facility. 6.2 Listing Rule 7.1 Listing Rule 7.1 provides, subject to certain exceptions, that Shareholder approval is required for any issue of securities by a listed company, where the securities proposed to be issued represent more than 15% of the company’s ordinary securities then on issue. The effect of Resolution 4 will be to allow the Directors to issue the Loan Options during the period of three months after the Meeting (or a longer period if allowed by ASX) without using the Company’s 15% placement capacity. Resolution 4 is an ordinary resolution. 6.3 Specific information required by Listing Rule 7.3 Pursuant to and in accordance with Listing Rule 7.3, information is provided in relation to the approval of the issue of the Placement Securities as follows: (a) The maximum number of Loan Options to be issued is 57,250,000. (b) The Company will issue and allot the Loan Options no later than three months after the date of the Meeting (or such longer period of time as ASX may in its discretion allow). (c) The Loan Options are to be issued for nil cash consideration as they are pursuant to the terms of the debt facility (d) The Loan Options will have the terms and conditions in Schedule 3. (a) The Loan Options are to be issued to the lenders under the debt facility, who are sophisticated investors and who are not related parties or associates of the Company. Page 9 (b) No funds were raised from the issue of the Loan Options as the Loan Options were issued pursuant to the terms of the debt facility. (e) A voting exclusion statement is included in the Notice.
Res 5
The Company announced on 19 May 2014, it had secured a $2m debt facility from sophisticated investors. Key terms of the facility are 10% interest rate, $2.4m repayable in tranches with total settlement on or before 30 April 2015 at any time and 66m unlisted options ($0.015, 3 year expiry) (Loan Options). Since the drawdown of the facility, the Company has issued 150,000,000 fully paid ordinary shares to the lenders in part settlement of the debt facility, with 30,000,000 fully paid shares having been issued on or about 15 August 2014, 60,000,000 fully paid ordinary shares having been issued on or about 8 September 2014 and 60,000,000 fully paid ordinary shares having been issued on or about 23 October 2014. Resolution 5 seeks Shareholder approval for the ratification of the issue of the Loan Shares pursuant to Listing Rule 7.4
And what have you got for all this dilution for A-5??? Nothing!
IMO The white knight and his merry bunch took the risk. They dumped their cheap shares on you and crashed the price further.
If you remember. He got all of you to give him leverage, stating it would put a stop to the on going issues of share at lower prices. Only to have him partake in exactly that.
Admin would guarantee they would never see a cent.
Expand
(20min delay)