My Thoughts on the AGM

Hi EVM’rs

Having had 48 hours to digest my first EVM AGM, I thought I would share some of my observations with you all and see if anybody else who was there has the same thoughts as me.

First of all I thought Roger was extremely confident and if you have read the Chairman’s Address he basically read it out word for word at the start of the meeting. What I found amazing was the attitude and comments that EVM were innocent of misleading the market, had complied with all of the requirements and it came across as though he thought it was an injustice that we were still in suspension and that EVM had done nothing wrong.

There was a gentleman in a suit in the front row at the left who probably asked the most questions (I think his name was Steven) and to be honest every single question he asked I thought was perfectly legitimate but he seemed to get under Roger’s skin particularly towards the end. With regards to all of the various voting items it was clear that with Roger’s shareholding and other substantial shareholders all of the items got across the line and I thought it was quite poor that there was no powerpoint slide showing the votes, although they were read out and published after the meeting as an ASX announcement.

ITEM 1 Financial Report – I think it is pretty obvious to all that we are broke and until money comes in from Valentia or other potential investors then we are in deep trouble, I did note that the auditors were in the room.

ITEM 3 Renumeration Report – At least 2 of us voted against it, but I am not sure if anybody else did. Steven asked the question about the management considering reducing their salaries and having bonuses based on funding received. Roger did reply and comment that they have not been getting paid and he is EVM’s biggest creditor. I asked a question that I thought the composition of management was strange having a Communications Manager whilst not having an Engineering Director, or Operations Director, or Research and Development. Roger did advise that Kim’s job is not just Communications and she does lots of other things but her title has not changed, so I then asked if they would consider re-evaulating job descriptions and changing titles where necessary, he agreed they would look into this.

ITEM 4 Approval of Additional Placement Capacity – The question was asked if this was required for Valentia and the answer was yes, the question was also asked why wouldn’t Valentia just buy at 10 cents on market, to which Roger rightly replied that with EVM’s historical liquidity they would not be able to build up such a large shareholding without paying such a premium.

ITEM 7 Issuance of Unlisted Options – The question was asked why are these shareholders being granted options to replace ones that had expired ie. why did these shareholders not exercise their options as other shareholders had done in May, Aug and Sept whilst still in suspension. The answer was that they were unable to exercise them as “they were not in the money”, and these shareholders I think were for the most part original or large investors in the company and so that is why they were effectively being reissued using the closing price prior to suspension and having one year sunset clause.  It is worth noting that Kim and Andrew Forte were issued with 20 million between them. I expressed concern about the dilutionary effect and some others agreed with me.

ITEM 8 and 9 – Similar story to above

ANY OTHER BUSINESS – Roger did advise that he had been on the phone with Takeshi the night before and that he fully expects the money to arrive by Friday 2^nd December, and if it does not he “May” decide to enforce an undertaking to recover some monies from Valentia for breaking the terms of the Heads of Agreement. Roger also mentioned Trump and Brexit as some of the mitigating factors behind Valentia’s delays which didn’t seem to make any sense, but then Roger referred to some section in the HOA that talks about uncertain market conditions could be a legitimate reason for hold ups with Valentia, this is the first time I had ever heard anything about this.

There were a few comments from other shareholders in the room who I am pretty certain are named in Item 7 that were very supportive of Roger and again showing extreme confidence in what Roger is expected to achieve in the next week or two, I think somebody made the comment that “when” we build these tower(s) it will be the biggest building in the world and EVM will become very famous.  Now is this supreme confidence in Roger’s salesmanship skills or is it possible that some shareholders know something that other shareholder’s do not, I guess only time will tell.

Roger also commented that if Valentia falls through they have other investors lined up and indeed the Saudi’s have advised that once the first one or two towers are built then they will be lining up to build a few.

Somebody made the comment about Solar Panels coming down in price so how will our Solar Towers be cost competitive to which Roger replied that a lot of the materials and technology required for the Solar Towers have also come down in price, he did not want to put a figure on how much a tower would cost but was very confident that they would be less to build than original estimates from a few years ago.

So wrapping up, Roger seems extremely confident that there will be big news this coming week and/or before Christmas that will be extremely positive and quite a few substantial shareholders in the room seemed to have confidence in him that it will come through.

If Roger pulls this off then I think we will all be very happy and some people will become very rich, though if it doesn’t come off I think there will be a few people who will lose a lot of money.

Either way I think we should have an answer before Christmas and I for one am glad that we are in this suspension as I think I would have multiple heart attacks watching the price fluctuations over the last nine months.

If anybody else was there and you think I have misrepresented anything please let me know, or if you want to add something that I have missed please do so.

Regards
BoroBoy