Ann: Non-Binding Term Sheet Signed With Shapoorji Pallonji, page-9

the capital raising was obviously necessary since at least $15M was required to finish the feasibility studies

however, your idea that this protects ELM from a cheap takeover appears non-sensical

Dingyi were no longer a threatening shareholder since Harlequin & EMC diluted the Dingyi shareholding (down to 17%) with the previous capital raising

this current capital raising reduces your shareholding by 20% and any takeover price by 20%

further, if this new shareholder takes over the company, they have already bought 20% if it for 19 cents a share