RE:Deposit for Due DiligenceThis conditional offer, being legalized in hard copy, was essentially a very definitive LOI ( Letter of Intent ) backed up by $3.75 million US which is $5 m in cad.
As these so called break fees are almost always in the 1 to 3% of gross value, this offer was substantial even at a 3% break fee ( $5 million times 100 / 3% = $165 million CAD....the entire company ).
Exchange regulations require that such transactions should be press released right away.
Such was not the case, as disclosure was not disclosed until Sept 17th and even then was by a single line of text buried in the back pages of the 2020 annual report, without any management commentary .
Subsequently, Monument advanced the AGM from December to October.
Yet, we have the agenda for the AGM in October which has no mention of this offer which would require shareholder approval.
Nothing makes sense except ...
1...the offer was a fake, intended only to convince shareholders to vote for management
2...the deal fell through subsequent to Sept 17th but before the AGM agenda was made....and management again violated exchange rules by not issueing a news release.
3..The exclusivity clause was used to fend off potential offer from parties that might be low balled
4..Due diligence has been extended until the results of recent drilling and mining of another high grade zone at Peranghi become available .
Pehaps others have another theory to explain this illegal and bizarre TO exercise.
I tend to favor #1 and #4, with a heavy weighting towards #1, as #4 implied price of $0.50 per share
is too rich for a first offer ......unless my estimates of newly discovered oxide gold at Peranghi and Mentique are on the mark..