Creat Res Ld Share Discussion Threads

[acta_topup] 14/6/2013 15:38

A few more buys today, and things are bubbling up nicely. Not too many free shares around. With the rights issue at GXY looking like it will be kicked into the long grass, the money is on CRHL being the big winner here. I reckon we will be back to a more reasonable valuation of 1.5p+ in the not too distant future. Plus the Creat Group could throw something new into the mix at any time which could move us up very steeply

[rhuvaal2] 12/6/2013 16:07

I know, and before any news, the mind IS allowed to boggle @ what could be !

[acta_topup] 12/6/2013 15:45

A few little buys. GXY are restructuring their fund-raise at the behest of major shareholders. While this may not significantly improve things for PIs of GXY it looks like this is going to be far more favourable for large shareholders - i.e. us! I suspect that Creat through CRHL are going to be the major winners from this turn of events. Iggy Tan removed - could this spell a takeover of leadership in effect by the Creat Group???

[rhuvaal2] 12/6/2013 09:07

Something like 15 capital raisings in 5 years by GXY = completely over-done it methinks.... now in seat-of-pants territory.... wish they'd kept it neat n' small as of a couple of years' back.

edit: British M&G, Deutche Bank and Creat Group could all triple their holdings at a higher price to avoid such dilution = but GXY is likely to get a conclusion soon now that the scenery has changed, and completely so.. we may not have to imagine for long

[acta_topup] 12/6/2013 08:17

Iggy Tan resigns and now this:

ANNOUNCEMENT / MEDIA RELEASE  

GALAXY RESOURCES
Perth, Australia 12 June 2013

PROSPECTUS DISPATCH DELAY AND CANCELLATION OF SHAREHOLDER BRIEFINGS
Galaxy Resources Ltd (ASX: GXY) ("Galaxy" or "the Company") wishes to advise shareholders that it has delayed the dispatch of the prospectus to shareholders regarding its recently-announced pro-rata entitlement offer. The Company has received a number of positive approaches from some of its major shareholders regarding amending the structure of the capital raising and is concluding those discussions in the best interests of all shareholders.

Consequently, the Company has cancelled the shareholder briefing sessions announced to the market on 5 June 2013 and due to be held in Brisbane, Sydney, Melbourne, Perth, Vancouver and Toronto until further notice.
Galaxy will update the market with further details as soon as possible.
--ENDS--

Fascinating turn of events. And I wonder who these "major shareholders" could be...!

[kman5001] 06/6/2013 14:19

Great news that galaxy have secured a bridging loan especially from deutsche bank, obviously their share placing is going well or they wouldn't have lent them the money. Can't see any reason for the drop in share price but when I dummy sell it goes straight to negotiated trade??? hmmm good news due in 4 weeks so hold or top up but whatever you do don't sell these little beauties will be a cash machine soon its only a matter of time

[sniffer78] 24/5/2013 13:43

I really think CRHL will be taking this option up good news for us, we have paid back 5 million to Creat Group I think they will use that ;-)

[rhuvaal2] 23/5/2013 10:31

With all that's going on at Galaxy, Creat Group could engineer a fabulous profit for little ol' crhl what with stepped warrants and stuff........ let's see if/how we profit from the curve

[sniffer78] 21/5/2013 22:14

convertible note.


Convertible notes are often used by angel investors who wish to fund businesses without establishing an explicit valuation of the company in which they are investing.

When an investor purchases equity in a startup, the purchase price of the equity implies a company valuation. For example, if an investor purchases a 10 per cent ownership stake in a company, and pay $1m for that stake, this implies that the company is worth $10m.

Some early stage investors may wish to avoid placing a value on the company in this way, because this in turn will affect the terms under which later-stage investors will invest in the company.

Convertible notes are structured as loans at the time the investment is made. The outstanding balance of the loan is automatically converted to equity when a later equity investor appears, under terms that are governed by the terms set by the later-stage equity investor. An equity investor is someone who purchases equity in a company.

Example
Suppose an angel investor invests $100,000 using a convertible note. Later, an equity investor invests $1m and receives 10% of the company's shares. In the simplest possible case, the initial angel investor's convertible note would convert to 1/10th of the equity investor's claim. Depending on the exact structure of the convertible note, however, the angel investor may also receive extra shares to compensate them for the additional risk associated with being an earlier investor.

[sniffer78] 21/5/2013 22:12

Very interesting

Whats the placing price for Galaxy cap raising $0.8

The Convertible Loan Note may be converted at any time at the option of the noteholder into Ordinary Shares at a conversion price of £0.06 per Ordinary Share.

Funding of the Further Galaxy Subscription

To fund the Further Galaxy Subscription, the Company intends to raise through the Second Round Placing up to £15,118,600 (approximately A$27,280,000) net of commissions and other transaction expenses. The maximum gross proceeds of the Second Round Placing will be approximately £17,000,000. Further details of the Second Round Placing are set out below. The Second Round Placing has not been underwritten and therefore there is no certainty that all or any of the funds necessary for the Further Galaxy Subscription will be raised.

The Company has agreed with Creat Group that, in the event that the gross funds raised in the Second Round Placing are less than £17,000,000 (equivalent to approximately A$30,674,800), Creat Group shall procure that the Convertible Loan Subscriber shall advance to the Company an amount equal to such shortfall under the terms of an agreed form Convertible Loan Note.

The Convertible Loan Note will have a coupon of 10 per cent. per annum and a maturity date twelve months after Shareholders approve the Further Galaxy Subscription. The Company must repay the Convertible Loan Note (together with accrued interest) in full on the maturity date. The Convertible Loan Note may be converted at any time at the option of the noteholder into Ordinary Shares at a conversion price of £0.06 per Ordinary Share. Under the requirements of the Act, and given Creat Group's current shareholding in the Company, the approval of the Company's shareholders would be needed for the convertible Loan Subscriber to convert the Convertible Loan Note.

The terms of the Convertible Loan entitle the Convertible Loan Subscriber to assign it to a third party in whole or part if the assignee enters into an orderly marketing arrangement in a form similar to that described in paragraph 10.3.2 of part 5 of the Admission Document and (a) the Company has provided its prior written consent; or (b), inter alia, (i) the assignee is not a related party to the Company; (ii) upon conversion, that the assignee's relevant interests in the Company's Ordinary Shares will not exceed 19.99 per cent.; and (iii) notification of the assignment or subsequent conversion is not required by relevant legislation. Upon assignment, the assignee is obliged to immediately serve a notice on the Company requiring it to convert the Convertible Loan Note into Ordinary

[rhuvaal2] 20/5/2013 20:27

And thanks for the email .....

[theivorytower] 20/5/2013 18:55

rhuvaal2

It would be good if Creat pulled GXY out of the mess they have gotten in to... Iggy Tan has a lot to answer for with his cavalier approach to 'world domination' imo...

[rhuvaal2] 20/5/2013 16:23

Creat Group could give Galaxy the full loan, with warrants passed on to CRHL for a small consideration = if only ! but I trust our Board to get it right.........

[rhuvaal2] 20/5/2013 10:13

At least the top man at Creat will know what's going on in the Boardroom of gxy....

[acta_topup] 20/5/2013 09:13

Looks like the Creat Group (via CRHL) are going to be increasing their stake in Galaxy at a rock bottom price. Good news for us (less good for Galaxy PIs). Galaxy ramping up production - will be cashflow positive Q3 2013.

[acta_topup] 17/5/2013 15:35

Creat Group guarantee to support the company at least until Summer 2014!!!

[acta_topup] 17/5/2013 15:23

Short of stock in a big way

[acta_topup] 17/5/2013 15:22

that was madness - but typical AIM illiquidity driving down the price and panic-ridden PIs selling out of fear and ignorance

[barnetpeter] 17/5/2013 15:10

to think it hit 0.20 just a few weeks ago...

[sniffer78] 17/5/2013 10:58

Big news next week, likely the last of the CAP raising for GXY possible news on Sal De Vida JV with LG and Galaxy production update in next 2 weeks. Galaxy may well fall another 3 or 4 cent on resume trading but that will be recovered in next couple of months as production continues to ramp up and bring in cash flow. I think Galaxy will want to push ahead will Hydroxide plant as well so expecting CAP raising to be around $25/30 million, roll on next week ATB

Galaxy plant will produce 17,000 tonnes of Lithium Carbonate and a extra 5000 tonnes of lithium Hydroxide total of 22,000 tonnes of Lithium per annum at around $6,500/$7000 per tonne, revenues per annum of $143 million

now isn't that a nice 6.43% stake of Galaxy. In 3 months Galaxy will be producing revenues of around $10/11 million per month.

[acta_topup] 17/5/2013 08:52

With big news anticipated at Galaxy in just a few days time I am gobsmacked at the lack of interest here. This is so under the radar at the moment it's just nuts

[sniffer78] 15/5/2013 12:57

3 more trading days till Aus comes out of halt excitng times ahead, and another production update in next 2/3 weeks, Which GXY will likely be running at 70% imo ;-)

[rhuvaal2] 14/5/2013 10:24

you could well be right !!!!

[kman5001] 13/5/2013 23:44

5p or 6p I think you might be selling yourself short!!!!

[rhuvaal2] 13/5/2013 20:35

Some big guys are already in = just waiting to see their, was it, 5 or 6 pence a share back..... that'd be excellent :)