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Well we have mcap 1.95mill and 2mill cash payment due.
Problem and it is a huge one at that, the market doesn't trust Palumbo whatsoever.
And it appears the overhang has a long way to go as we are back under the placing price and you can fill your boots. if you look at the last couple of Palumbo stock pumps he issued carefully worded RNSs that led to short spikes that were then heavily sold into. Palumbo, i suspect, knew very well what he is doing and helping his venture fund mates rob PIs caught on the spike unaware what was going on behind the scenes. i am just not sure if the recent £500k is now on top as as the 30th June lock in ending
"The YA-RF Lenders have undertaken to the Company, for a cash fee of £50,000, not to convert the remaining £600,000 syndicated facility, until after 30 June 2024."
That will almost certainly be another share exodus? Catalyse who was described as a "special situations" bought some of YA-RF and literally sold the whole position within 1 week. YA-RF has 26m warrants. That was really unbelievable because many investors bought on the news, thinking it was a good thing, unaware it was the opposite and i am sure Palumbo knew exactly what was going on. Did he mention to long term investors that Catalyse were going to dump all their stock? Anyway i am very positive on the tech and potential but Palumbo has damaged so badly investor trust and why not a single strategic investor is willing to go near Eqtec because they can see what Palumbo has been doing to every investor who has come into his orbit.
The other near-term issues to be possibly aware of is the £500k "settlement agent" placing that will land around the 10th June.
"The issuance of Placing Shares is conditional upon cleared funding from the Subscribers, being received by the Company on or around 29 May 2024, save for c. £500,000 of the Placing which is to settle through Global Investment Strategy UK Limited, an existing broker for the Company, acting as a settlement agent, on or around 10 June 2024."
This is prior to the 30th June lockin so if this £500k holder expects Altair/Pitcole/YA-RF to sell after the 30th June would they not try and exit their position before this time? Its hard to know given Palumbo form if any of these parties will hold any shares or if Palumbo is going to help them exit by releasing an RNS that surprisingly will look great but wil be sold into. We will find out as i am still unsure exactly what is going to happen. only good news is the main syndicated loan of £5m was refinanced but this leaves a lot still hanging over Eqtec.
Dumbo’s refinancing RNS and following interviews were clearly meant to paint the picture that dilution funding was ended, all to boost prospective shareholders confidence and prompt existing shareholders who were holding back their levelling down until they thought Dilution Dave was done.
However Dumbo has show his attitude to shareholders hasn’t changed an inch, his drunken Friday night meeting with Gunn is clearly market manipulation from both companies to get their placings done, Why front up £150k when the same engineering options could have been achieved with a collaboration agreement with INSP, in the same way we have with Wood etc. last weeks placing was criminal from EQT, GIS and INSP designed to shaft retail investors.
The volumes being traded this week must be getting GIS very nervous with the fear of left holding the baby growing daily.
The placing has demonstrated that Palumbo looks at issuing equity the same was as a junkie looks at a wrap of coke, he says knows it’s wrong but can’t stop himself sticking it up his nose.
Next four weeks will see audited accounts , AGM, news of Logik payment and equity lock-in removed, possible news from the US and France, how the market handles the news we wait and see but Palumbo has forced so much equity in the market it will take something monumental to move the Shareprice forward.
No one can work out who has large holdings in the company now because of the refinancing and share purchase agreements that have or haven’t gone through, EQT are so shady with this information it drives mistrust from the market, that mistrust always drives the worry that the management will look to make the ultimate shafting of shareholders and take the company private, last weeks refinancing to non equity based finance is a step along that road unfortunately.
If Palumbo and Co do look at a management buyout after flooding so much equity onto the retail market surely it would be criminal actions, but AIM is so shocking the feel they can get away with anything
The refinancing has indeed provided a stay of execution at a time when Riverfort clearly held all the cards. This, along with the placing, should also mean that the auditors can sign the AR of as a going concern due before the end of June; the absence of the refinancing and the raise would have made this unlikely one would presume.
Irrespective of the longer term viability of the business it does feel like an opportunity might present itself to cash in on a change of sentiment. For me though the sensible play is to sit on hands and wait out the inevitable churn post lock; perhaps pick some up circa 1p end of summer for a 3-5 bagger then run for the hills and never look back.
I would like to see Saint become the CEO asap and clear the shady deals setup by DP from the company. Shareprice would boom/ Plenty of time for Yoel who over the years has been a consistent buyer of shares and now well under water by a good amount while DP has mostly got freebie shares or salary sacrifice. I would expect internal pressure by Yoel and Saint as well as staff to push DP out and move away from his disastrous mismanagement and dodgy deals. The most recent is astonishingly dubious. We should be a £20-£50m market cap company, which i fully expect we will be over the coming years, but DP is now the roadblock to achieving that. he should step aside. His financing experiencing is nothing more than doing deals with bridging loan sharks and venture debt vultures. Has he ever been able to convince a single long-term strategic investor who is here for the long-term? not a single one even as we stand at a market cap so low. Things will change for sure and we will rise but i am not sure we have seen the bottom yet as we have no idea how all these remaining shareholders are going to play it over the next 3 weeks when they can exit if they chose to and some might be forced sellers. we just do not know and DP has said nothing to help pis understand what is going on.
To sum up, shareholders treated with utter contempt.
@Simms45, I can not agree more with your statement that Dumbo Palumbo is a roadblock to the company’s Shareprice recovery.
All PI investors should throw their vote behind exiting Palumbo as a director at this years reelection vote, this has to be done now if any resemblance of a viable company is to exist for much longer, his jumping into be with Gunn and INSP is a utter disgrace when the EQT finances are in such a shambolic state, it’s unforgivable and paints the whole company as dubious for potential investors
I would say Palumbo exiting would triple the Shareprice overnight, him remaining will see the continual drift to oblivion he has overseen accelerating as he becomes more desperate
#Vote_Palumbo_out
"Has he ever been able to convince a single long-term strategic investor who is here for the long-term? not a single one even as we stand at a market cap so low"
Back in the day before Palumbos mask slipped he did manage to snare 3 institutions janus Henderson, Amaiti and Chevron in a £16m placing .
Those were the days when he could churn out the promotion pump webinars and the stock would rise .
Nobody trusts Palumbo anymore hense the disastrous shareprice.
Down 92.97% in last 12 months due to Palumbos mismanagement.
Wonder will Palumbo still be blaming the markets and legacies again come the AGM ?
One things for sure it's certainly not Palumbos fault , isnt that right Dave ?
The whole sector is down. Cost of living crisis is to blame.
BB, cost of living crisis might make it difficult for some to buy food or pay bills. It doesn’t make it impossible to sort cashflow, complete a project, focus on income or tell the truth.
The smirker is ok, that's for sure..., £6k a week and plenty of juicy 'background deals' to reward the abject failure.