CNN 6.25% 15.0¢ cardia bioplastics limited

agm this week

  1. 837 Posts.
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    Well guys I am not going to be able to make the meeting so I hope some questions are raised about the Biograde deal.

    That balance sheet obviously concerns me. Current liabilities of $2.13m and associted loan of 500k will eat straight into Cardias cash within a couple of months one would think Whooskah! Gone like that. And what do we get. IMO our shares halve from his rough 2c valuation to 1c.

    I am also at loggerheads how they can value Biograde at 5c (last capital raising) with their liabilities and Cardia at 2c with $5m cash.

    They seems to be asserting CNN has no blue sky with its Uranium tenements or a possible float of Aquenox while Biograde is full steam ahead. Now that is concerning considering all the positive market action we had last year on both these activities.

    Are Cardias interests being down played intentionally with a view to revaluing their potential after the deal is struck?

    Need to also find out are Cardia shareholders going to vote on the approval of the deal or just the issuing of shares to associated parties. Surely it is up to Cardia and not Biograde shareholders to ratify this deal.

    What also is the projected income for Biograde. Cardia is also spending $1.5m on its no blue sky Uranium tenements next year which will leave the kitty relatively short in 12 months. Do they plan another capital raising, hopefully not, no more shares please.

    Anyhow I am sure you also have lots of questions but on paper it certainly seems like Santa is taking away Cardias presents and giving them to Biograde and in particular the major holders.

    My views only and I may be wrong on some points.


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