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Longford Energy Inc V.LFD



TSXV:LFD - Post by User

Comment by kdcalgary74on Feb 17, 2012 8:29am
365 Views
Post# 19548132

RE: How can they return 40% of our interest for fr

RE: How can they return 40% of our interest for fr

We have to come to grips, mgmt has handled this so badly that the only solution is to sell the asset. This is KRG driven as they are sick of the delays of this poorly run operation. The threat of sell or have nothing is real. Longford is so far offside in meeting both their cash requirement and minimum work obligations that they are lucky the KRG is allowing this orderly exit.

So on the sale, we have to vote yet.

Now on the other hand, once the proceeds are received, the shareholders do have a say in how the funds are handled. A shareholder can put a special resolution to the board to wind up the company and liquidate all funds back to the shareholders as a return of capital. This is the play I am hoping for. Soros is in the game and there has been a large increase in holdings by Salida and First street. Got to hope these folks champion the liquidation of the company rather than allow management to steal away shareholder funds. Keep in mind, this team that has netted less than 60% of the moneys raised on liquidation of the asset is reepaing $4MM in bonuses following the disposition of all or substantially all of the assets. Truely sad.

If anyone is going to the meeting, I will gladly provide my proxy to support this liquidation.

 

thanks

 

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