Alabama Graphite Corp. Com ABGPF

RE:Got this from WWR bullboards

[Realist2018]

To sum Westwater’s chronicle:
 
After the usual courtship, Don Baxter said no, after which Westwater went around him to CSPG’s Board, which also said no.  Westwater then presented an unsolicited exchange offer @ 0.10:1 to CSPG’s Board.  Tyler Dinwoodie of CSPG management and the CSPG Board responded to this offer; Westwater replied it would talk only to CSPG’s Board.  CSPG’s Board sets up a Special Committee to consider the offer.  Thereafter, CSPG proposed some non-merger alternatives, and Westwater said no. 
 
Following that, a meeting was arranged between CSPG’s Special Committee and Westwater.  Before it takes place, Tyler Dinwoodie directly approaches and meets with Westwater.  It’s not clear from Westwater’s account whether he was acting on behalf of CSPG’s Board, the Special Committee or acting in his role as management.   He and Westwater negotiate a proposed share exchange @ 0.13:1.
 
This triggers due diligence, during which issues are revealed which negatively affect the proposed 0.13:1 valuation.   CSPG subsequently agrees to an exchange rate @ 0.08:1 (a haircut of almost 40%) plus $500K more cash to CSPG and agreements with CSPG insiders for their options and warrants.
 
What CSPG has not explained:  What issues were discovered during due diligence leading to the severe reduction in value?  Hopefully those will be presented in CSPG’s forthcoming MD&A and the Information Circular it plans to complete by month’s end.