The following is from the preliminary final report - "CHUSA (North Pratt Coal Mine) For the six months to December 2015, Avexa continued to pursue its investment in the North Pratt coal mine, the proceeds from which were to be used to finance the development of Avexa’s research programmes, in particular its late stage HIV drug ATC. The North Pratt coal mine of Alabama has not realised the projected returns which would have funded the final development of ATC. Following a review of the forecast cash flows to be generated by the coal mine, the current financial performance and position of CHUSA and the continuing depressed state of the local coal market, the directors have unanimously decided to cease any future funding of the CHUSA interest, rather concentrating the Company’s strategy on TALI’s breakthrough technology for the assessment and treatment of children with developmental delay (and associated symptoms such as inattention). As a consequence, Avexa’s investment in and loan to CHUSA has been fully provided for."
I don' know what they mean when they say "Avexa's investment in and loan to CHUSA has been fully provided for." Can anyone explain.
AVX Price at posting:
3.3¢ Sentiment: Hold Disclosure: Held
