RE:RE:RE:Time to light the fire under WPX spBlackwood
This is from the release
Under the terms of the investment agreement between Western and Tairui, Tairui will have the right to appoint four nominees to the board of directors of the Company. In addition, the investment agreement provides that the number of Common Shares issuable to Tairui and the per share issue price of C$0.3213 based on 248,989,860 Common Shares, are subject to adjustment in certain circumstances where additional Common Shares may be issued on or prior to Closing, such that Tairui will, in all such circumstances, hold a 51% ownership stake in the Company on a non-diluted basis on Closing.
So they get controlling interest in the company by way of share holdings
They get a controlling vote in the BOD by way of appointment
They have a top up clause that says if more shares are issued (China Blue) they get topped up to keep their 51%
So when people say 70% they are wrong it will be closer to 80% depending how CBs 19.9% is calculated.
The next step after they get their seats on the BOD and their controlling interest in shares will be to take the company private.
Also. You state they want their money back. It wasn't a loan. Based on what you say (getting their money back) their cost end up being nothing and they end up with control.
Regardless of what part of the resource is involved is irrelevant. Control has been lost.
Non voting seats on the BOD and non voting shares should have been negotiated. How could this company not get an 80 million dollar loan based on the pilot project numbers?
Doesn't Sask have a development arm?
Doesn't the Can government have a development arm?
At only 80 million why didn't the BOD offer a rights offering to the existing shareholders? That would have been 1 share at 33 cents for each share you own. They could have easily added a warrant for future consideration as a cherry.
Or they could have used that new rule that allows an inhouse PP to shareholders,
Multilateral CSA Notice 45-313 Prospectus Exempt for Distributions, Saskatchewan General Order 45-926
No matter how you slice this. The BOD has decided to sell the company and have done it very unscrupulously Don't forget the opening line
Western Potash Corp. ("Western" or the "Company") (TSX:WPX) (FRANKFURT:AHE) is pleased to announce that Beijing Tairui Innovation Capital Management Ltd. ("Tairui") has agreed to