Versarien Share Discussion Threads

[runthejoules] 15/4/2019 13:54

Yep not sure i’m Happy with 15% dilution every time they want to open a factory unless it’s at a considerably more than 15% premium. I liked the original ip licensing model. This backseat CEO would like to hear more.

[festario] 15/4/2019 13:52

Well, they can't ALL have 15% of VRS PLC or pretty soon there's nothing left!

[mac_steven] 15/4/2019 13:51

Any reason why not Dave?

[mac_steven] 15/4/2019 13:45

So,NR visiting Capitol Hill next month.Another signing ceremony?

[dafad] 15/4/2019 13:38

thanks must have got it wrong

[bisho4] 15/4/2019 13:37

DAFAD, Neill confirmed on twitter that it is 15% of VRS plc.

[dgduncan] 15/4/2019 13:37

It would just be a normal fund raise for that specific purpose by issuing up to 15% of new shares - not a 15% stake in the existing company.

[dafad] 15/4/2019 13:36

Hk -listen from 5 min forward Neill explains the holding co based in Hong Kong which is already set up and was a long term plan not something recently done/registered

[sportbilly1976] 15/4/2019 13:35

DAFAD,

"The Term Sheet envisages that BIGT will provide funding to Versarien for the proposed subsidiary and other corporate purposes in the form of an equity investment in the Company, providing BIGT with a holding of up to 15% of the issued share capital of the Company, although there can be no certainty that a formal agreement will be entered into, nor the specific terms that any such agreement may take. It is the Company's current intention that in any fund raising of this nature existing and prospective private and institutional investors will be given the opportunity to participate on the same terms."

Looks to me from the rns that the 15% equity would be in VRS ("the Company") and not the subsidiary

[boilingfrog] 15/4/2019 13:33

Great podcast. All very exciting. I'm amazed the price hasn't taken off like a rocket from when the market opened.

[dafad] 15/4/2019 13:31

obvious from poddy it was for vrs's wholly owned subsidiary

[herschel k] 15/4/2019 13:24

"This 15% model will be a global template for those who want to engage with us"

------------------------------------------

Hmmmm........don't see how that can work then, if it's relating to a 15% share of the entire company.........

That strategy needs some clarification ASAP.

H

[shavian] 15/4/2019 13:21

Great poddy from Neill. key words:

"BIGT is a beacon of graphene in China similar to UoM / GEIC in UK"
"Unprecedented"
"PIs to participate in fund raising"
"Chinese investment ultimately from Chinese Government"
"HK subsidiary to focus on other SEAsia opps - Korea, Japan etc"
"This 15% model will be a global template for those who want to engage with us"

Or words to that effect

First thoughts only

[bisho4] 15/4/2019 13:21

This type of ground-breaking deal must have taken a lot of time and delicate negotiation. It would have been so easy to jump at the first deal to inflate the share price and placate the moaning shareholders.

Congratulations to the whole VRS team for sticking to their guns and not taking the first offer on the table.

The scale is mind-boggling in its scope, but when you join the dots of the information we have been publicly given (the initial interest from China, the DTI secondees, not just one but two of them, the UK govt interest, the reports from Peter Jay at the AGM, the sheer number of MOUs and LOIs from China), it has all been leading to something like this.

Some have been too panicked/wilfully blind to see it, but it was there. No wonder NR was/is so confident.

And this is exactly why someone like Club/Ian isn't CEO of a company with massive revolutionary potential :)

[rocket fuel] 15/4/2019 13:18

NR seems to have a very deep and wonderful hat!.. he keeps pulling rabbits out, left right and centre!

I fancy he’s got a big old Harvey rabbit somewhere down there too, waiting to spring out, sending vrs into the 500 trading range!

[sportbilly1976] 15/4/2019 13:11

looking at the traded volume (still low against the recent average and given the news) and the share price movement - my suspicion is we have some background accumulation/buying going on

[scottishfield] 15/4/2019 13:11

Good news indeed Festario, Hope you have some grapes with you, and perhaps some bananas.

[bobsworth] 15/4/2019 13:01

NHS and VRS my two favourites.

Great news Fest.

Best wishes to you. Get well soon.

Great news too VRS!

Onwards and Upwards.

[shavian] 15/4/2019 13:01

Ooops. Double post

[shavian] 15/4/2019 13:01

Very significant background development:

In mid-March China approved its new foreign investment law, sending the message that Beijing wants to level the playing field for overseas investors and reassure the global community it remains an attractive investment destination.
The final draft of foreign investment law was approved by 2929 National People’s Congress lawmakers in the Great Hall of the People, with eight opposing the measures and eight abstaining.

The new law will come into effect on January 1, 2020.

Beijing rushed the legislation through the country’s largely ceremonial legislature in an effort to fend off complaints from the United States and Europe about unfair trade practices. The new law was first introduced as a draft in 2015, but its progress picked up markedly from the middle of last year to address issues identified by Washington as part of the US-China trade war.

The law attempts to address outstanding concerns from foreign investors, such as unfair treatment in terms of market access and government procurement, forced technology transfer to Chinese partners and the theft of commercial secrets from foreign businesses in China.
It was amended this week to make it clear that officials will be obliged to protect commercially confidential information they obtain from overseas businesses. The law will make it illegal for officials to misuse critical information or to provide it to local firms.

At the same time, the wording of the law, which will replace three foreign capital laws – the Law on Sino-Foreign Equity Joint Ventures, the Law on Sino-Foreign Contractual Joint Ventures and the Law on Foreign-Capital Enterprises – passed between 1979 and 1990 in the early years of China’s process of reform and opening up, is quite general, leaving many details to be addressed in other regulations and implementation procedures.
“We’ve reviewed the final draft of the [law] and are pleased with the last-minute addition of new language to further protect foreign company commercial information and trade secrets,” said Jake Parker, vice-president of China operations at the US-China Business Council.
“The addition of language imposing criminal penalties for sharing sensitive foreign company information adopts a much tougher deterrent against counterfeiting and [intellectual property] theft and will offer new avenues for the enforcement of [intellectual property] protection. Enforcement will be the key metric for evaluating success, but the business community has collectively advocated for years for the Chinese government to impose criminal penalties for [intellectual property] infringement, we need to recognise this positive progress to that end.
“We hope that delaying the implementation of the law to January 1, 2020 will offer additional opportunities for foreign companies to work with regulators to resolve our concerns around [joint venture] contracts, national security reviews, and participation in standard setting bodies.”
"We’ve reviewed the final draft of the FIL and are pleased with the last minute addition of new language to further protect foreign company commercial information and trade secrets."
Jake Parker, China Business Council

The law had received a lukewarm response from some quarters, with the American Chamber of Commerce in China complaining about a lack of consultation and detail.
“We are concerned that such an important and potentially far-reaching piece of legislation will be enacted without extensive consultation and input from industry stakeholders,” it said earlier this week.
The law does not specifically mention investment from Hong Kong, Taiwan and Macau, but it will apply to and will not change the legal status of investments from Hong Kong, Macau and Taiwan – specifically, that they would still be considered “foreign”; investments.

“It’s actually an improvement that there was a consultative period at all,” said Walker Wallace, managing partner of law firm O'Melveny's Shanghai office.
“I remember the days when it came out of a bureaucrat’s black box. Nobody had ever seen it before it came out, and everybody said it was totally impractical.”
We need democratic supervision and justice to ensure enforcement if there are any regulations issued later. Enforcement really relies on structural changes and an independent judicial system. So, I cannot say that I will be more optimistic when more regulations come out."

[johnveals] 15/4/2019 12:55

Well done Fest.

[haz101] 15/4/2019 12:53

Festario get well soon

[bisho4] 15/4/2019 12:41

Fest, I'm glad it was clear, and I wish you a speedy recovery.