For the objective observers here, there were no surprises in what has transpired this week. They were entirely expected and flagged as such by myself and several others. Of course, for pointing out the obvious, we had to put up with sustained attacks from those whose agendas are perhaps now a little more transparent!
With the SKI issue, the forum actually became quite the comedy club. For months - leading into the Dec 31 deadline and then the Feb 20 deadline - we had to put up with hyperbole about how SKI needed AUZ more than AUZ needed SKI and how taking up the options at 12 c was a 'no-brainer' because of the need and the discount and the board seat and the need to exert control etc etc. Then, when the options lapsed as they were always going to do, we get a complete about-face from heaps of the bulls with them now asserting that the options were never a good idea - that the discount would impact the bottom line, that SKI would have too much control and that Marcus had realised this and 'terminated' the options.
What a lot of bulldust! Obviously, if AUZ wanted to terminate them, there would have been an announcement between 3 Jan-20 Feb, saying as such. But there was not because AUZ wanted them taken up (obviously badly now that they are raising at 2.9c) but SKI was not interested.
For the bulls pushing that line - and there were many of them - everything that happens with AUZ is a matter of "tails we win, heads you lose". Talk about deluded!
At least some of the previous bulls see the two announcements for what they are and kudos to them. As for the rest, seems they will never learn. Or perhaps it is just part of their plan.
Hopefully we won't have as much nonsense plied about the SKI partnership in future. SKI management are hard-headed. Look what they squeezed out of Florence, Georgia over the planned US plant. It was ludicrous to ever think they would invest $80M in AUZ before financing was secured (i.e. the main condition precedent) let alone pay 3 times the market value of the stock. It was also ludicrous to believe that, after having 6 months to take up the options between July and December 2018 that they would miraculously change their mind in the few weeks after 3 Jan 2019. Flippa 3 times rejected my offer to explain why they would take them up, after lapsing 31 Dec, and not one other person filled the void.
SKI don't need AUZ. They need battery metals and there are many other options for them. They are clearly interested in the AUZ option but only if it makes sense in terms of economics and risk. Hence waiting for the optimised BFS and financing package.
The 2.9c cap raise is manna from heaven for Bergen who will now be able to convert their remaining $1.5M or so options to shares under 3c - so the combined SI and Bergen dilution will be significant - at around 230M additional shares.
At least its a bit clearer who the 'real' sheep in wolves clothing are.
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