The facts... Apparently there are some (or one who pretends to be some), that believe the facts support a yes vote...so why don't we let the shareholder's review the "facts" for themselves...
Fact # 1 - In December 2011 RBC reported that Mine Waste Solutions had a net asset value of Cdn $443.4m and Ezulwini to have a net asset value of Cdn $276.4m, for a total net asset value of Cdn $719m. Three months later in March 2012, a First Uranium report stated that RBC had delivered oral opinions that the asset sale of Mine Waste Solutions for Cdn $335m to AshantiGold, and the sale of Ezulwini to Gold One for Cdn $70m was “…fair from a financial point of view.” Analysis of RBC valuations seem to indicate between December 2011 and March 2012 the net asset value of Mine Waste Solutions and Ezulwini fell Cdn $314m. That is a fact.
Fact # 2 - According to a Gold One media release, Ezulwini has had “capital intensive projects totaling US$ 400 million substantially completed which include shaft refurbishment and new gold and uranium plant.” Gold One is currently set to receive EZ for $70 mil - substantially less than RBC valued the asset. That is a fact.
Fact # 3 - The sale of Mine Waste Solutions to AngloGold Ashanti requires 50.1 percent or more approval, while the sale of Ezulwini to Gold One requires 66.7 percent approval. However, while AngloGold Ashanti, along with Franco Nevada Corp. and Village Main Reef Ltd. own 33% of First Uranium, they will be excluded from the MWS vote due to their status as related parties to the asset sale. This leaves only 3 other large shareholder groups, Sprott Asset Management Inc. Stratton, Patto Corporate Services Ltd. and Olma, who are objecting to the current terms of the asset sale own 17% of First Uranium.
And while it is not a fact, it is common sense that the large shareholder group are in the driver seat.
Fact # 4 - First Uranium reported a gross profit of 1.8 mil for Q3 compared to a loss of 1.2 million Q3 2011. That is an improvement...fact.
Fact # 5 - Ezulwini settled the final quarterly gauaranteed ounces requirement to Franco-Neveda, as of Jan. 2012 the mine reverted to delivering only 7% of its gold production to Franco-Nevada.
Fact #6 - The uranium plant at Ezwulini is currently placed under care and maintance. For those who are not familiar with FIU, this is primary cause that Ezulwini has been losing money
Fact # 7- First Uranium is currently a gold junior, in all but name. Literally.
Fact #8 - RBC has only delivered oral fair valuations, we have not received any credible assessement.
A departure from facts for a second - I will speculate on why we are trading at 0.14...the market is pricing in dilution. Logically, there are only two reasons why FIU is trading at 0.14, 1) The market does not believe that the asset sale will result in substantially more than 0.14/share (so those of you hoping for a quick 50%+ profit think again), or 2) the market is pricing in dilution. The simple truth is that it a mathematical improbability for the MWS vote to go through, which of course axes the Ezulwini deal, which leads me to conclude that dilution is a more likely scenario at this point than an asset sale. For my reasoning on that you can refer to this
https://www.stockhouse.com/Bullboards/MessageDetail.aspx?p=0&m=30918865&l=0&r=0&s=FIU&t=LIST
I will be pre-emptively addressing the information that will no doubt be in circular later this week for those interested.