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Yes, cash is good. Obviously, you don't have any.
Message from Carol, secretary to Mme. Lagace:
"Aurus is a real company with real assets. And Mme. Lagace also said, 'Trust Aurus.'"
Just to give you a bit of news after speaking with Mme. Lagace's secretary:
They have narrowed the choice of host city for the shareholders' meeting down to three.
Mr. Parkin is planning to attend the shareholders'
meeting.
The PR to be issued by L2I will not be released this week.
It will be out by Monday, August 6, the latest.
Coin - I applaud your decision. You're starting to think more like an M&A guy than an old-fashioned securities investor. It will be very interesting to see whether an acquisition comes first (as you propose), or if the completion of a plant or two takes priority (as I suggest). Either way, the Company needs the authorized shares to grow.
I think it's great to see the strengths AND weakness of a company you are planning to or have already invested in. That keeps us from going overboard in the way we praise them or find fault. I like the way you analyze the industry and the
market for ethanol in making your investment decisions. You
have done a great deal of investigative research, and this is a great example for young investors and traders to learn from.
One important step I take before investing in any company
not on a major exchange is to get a feel for what is going on
with the company internally by speaking personally with either the President and CEO or someone high up in management. In the case of AENS, I spoke with J.B. Voss. I also had an email exchange with Mr. Beemer. Nobody invited me to lunch, but my questions were answered and I felt secure in my decision to invest.
We're in the early stages here, and an investment is just a notch above seed money. In my estimation, this company has the potential to become one of the big fish in a sea of ethanol that will continue to grow over the next ten years. With AENS, we have a ground floor opportunity and can get in at the same level as insiders, and that is a chance that is hard to pass up.
Coin -- I would be interested to see if Beemer invites you to lunch after you talk with him on the phone. It wouldn't surprise me, as he seems quite friendly and outgoing. As an old-fashioned investor, would you accept his invitation?
My main concern is that even though a stock issuance is required for expansion, investor sentiment always seems to have a negative effect on pps when the Company announces it will dilute. Of course, the value of the company will increase with production and/or acquisitions, so the pps will rebound. I only wonder about the best entry point before making a large investment.
Because we are still in the early stages, I am planning to buy in gradually over the next three or four months.
You're right. This is a startup enterprise but with experienced management, and it will endure the hardships and setbacks faced by most any startup enterprise. There will be unforeseen delays and surprises that come in the mail, but I, for one, am planning to stay the course.
I like my chances with an ethanol producer that is gentle to the environment and which has won so much government support in its first year of exietence. I like the availability of management and their willingness to speak with investors. I like the fact that management has a buy and hold strategy when they invest in their own company.
The Company has only existed for a year, so I don't see how they could be that far behind schedule. They've been dealing with one government agency after another, and you know how time consuming that can be.
I don't see the advantage to shareholders of having an IR guy
replace the CEO as our contact person. An IR guy usually doesn't know more than a shareholder who has done his DD.
The plan makes sense to issue as many shares now as will be needed in the coming years for acquisitions. There are plenty of "co-op" type ethanol producers and I would expect some of them to have problems competing as the market grows. They will be primary takeover targets, and AENS wants to be ready. They are planning years in advance, and indeed they should. They plan to have three plants in operation within two years. After that, it's acquisition time, baby.
Coin, looking at this opportunity to speak with the CEO from another perspective, it would be nice for shareholders to contact the Company to give the boss and his team some friendly encouragement. They will reciprocate by keeping us in the loop.
Coin -- I wouldn't expect the Company to make a public statement about the obstacles they are encountering in financing the construction of ethanol plants unless these difficulties have caused serious delays in their timetable.
They are weighing debt vs. equity financing and have proposed
an increase in authorized shares as expected. How many and how soon shares will be issued remains to be seen. I'm sure the Company will be sensitive to shareholders' aversion to dilution since the officers themselves have a big stake in the Company.
Coin, you're a savvy investor and you've already got money in this stock. Beemer is inviting you to call him, and you owe it to yourself to establish a relationship with him. You have questions, he's got answers. If I knew what you know about business dealings in this industry, I would be on the phone with the CEO to have my doubts removed and to give him the feedback he should be hearing from investors.
This is just a suggestion, of course, but I know a lot of us would like to hear your take on the Company after talking with Beemer.
It's a shame that negative posters are able to get young and weaker hands to sell at a loss by creating panic and pandemonium. No one should be swayed by false arguments for or against any company. Everyone should do their own due diligence and buy at a suitable entry point with the aim of making a profit. Make bank and put it to good use, and remember to give a percentage of your gains to help a good cause.
Bashers are generally a frustrated bunch because they are too lazy intellectually to study a company and determine its intrinsic value. Because they know so little about the strengths and weaknesses of a company, they are left helpless and without conviction as to when to buy and when to sell. All they can do is criticize the buy and sell decisions made by others who have done their DD.
Aurus Corp. has recently made two moves that add credibility to its corporate image: They have hired Heritage Trust to act as transfer agent and they have contracted Lagace and Legault (L2I) to serve as the Company's IR and Communications arm.
Aurus announced a special shareholders' meeting that will take place in six to eight weeks and which will no doubt be confirmed by L2I this week. Their first press release
on behalf of Aurus will include additional substantial
information of great interest to investors.
You don't want to end up chasing this stock on good news.
And you don't ever want to be on the outside looking in if trading is halted because a buyout has been concluded.
There are many possible scenarios, but the negative posters
cannot grasp the winning scenarios. Nor do they have the patience to buy and hold. They do not want others to succeed where they have failed.
So, do your own due diligence, trust your own instincts and intelligence, make your own decisions and have fun making money with Aurus.
Coin - That's a powerful letter. Did you send it to Beemer yet?
You should let him hear your point of view. I'm sure you represent the feelings of many shareholders besides yourself.
Eik, Euddogg -- That wasn't my impression of Gerald Parkin. He's not at all the gangster type, and he was quite naive when it came to understanding the pinksheet market. It took him a long time to grasp why shareholders wanted to move NDOL to a higher exchange. He thought it would be the next PetroKazakhstan if we stayed on the pinks.
When BTSI became NDOL, it was Mr. Amyot who was manipulating
everything. Along with Makarov, he was the one going to Russia, not Parkin, and I believe his influence continued as long as he was on the BOD. Parkin was just a conduit for information coming from the Russian side, and by that I mean from whoever was running NDOL's businesses in Russia at the time. I would be surprised to learn that Parkin went even once to Russia to handle business concerning NDOL/NWOG.
I don't know who was feeding information to Parkin back then, but we will certainly squeeze some answers out of him at the special shareholders' meeting. I think next week's PR from L2I will reconfirm that the meeting is to be held somewhere in the U.S. I feel it is my duty as an American to attend. And, besides, if it takes place in New York City, I can get there by subway.
Paul, although I was amazed to hear that a shareholders' meeting would take place in the U.S., I have no reason not to believe it will happen, especially since it was announced in the same PR that named L2I as the company's investor relations firm, an arrangement that has been confirmed by L2I.
I am definitely going to that meeting, even if I have to sell some of my AURC shares to buy a ticket.
I've spoken with him in the past, maybe nine or ten times, and exchanged emails with him about both NDOL (long before the merger) and AURC. I could not picture him intentionally giving the shaft to us shareholders. Of course, that's just my impression.
invenstor -- I just called back to Heritage Trust to confirm what I heard previously about the dividend. I was told that they know about the dividend based on what shareholders have told them and that they are waiting for instructions from Aurus Corp.
What you say is true jstick, but Parkin was the fall guy. He released the PR's about the NDOL/NWOG deal, but only conveyed information that came to him from the Russians. I'm not saying he was totally innocent, but it was not Parkin who was calling the shots with NDOL.
I personally asked Malyshev about the 2.17 buyout price and he told me during the conference call that NWOG was never contemplating a buyout of NDOL and that he did not make such an offer. I believe Parkin was misled by the Russians in NDOL management and that he will absolve himself by doing the right thing this time for AURC. Just my opinion.
ToTheBank
Please give us a straightforward answer. Do you have proof that our shares are non-voting?
The company would not ask for a proxy vote until the special shareholder's meeting was set in terms of time and place.
Please remember that this is presented as a scenario, not as what will necessarily happen.
What do YOU think is the purpose of calling a special shareholders' meeting?
Ibreken, I don't think you have ever met or spoken to Gerald Parkin. Am I right?
But since you think you know him so well, tell us what you expect to see in next week's PR.
Are you thinking this is all a bluff and that there will not be a PR, and that a special shareholders' meeting will not take place?
Of course, anything you say in answer to these questions is
nothing more than speculation, but if you try to present your
opinion as fact and it turns out you are wrong, we expect to get an apology from you for being so arrogant.
To The Bank -- Please prove that our shares are non-voting.
Razorpockets --The good news is that L2I is a top notch, reputable firm which is now handling Investor Relations and Communications for Aurus Corp. Gerald Parkin is himself a lawyer and knows the consequences if he were to mislead L2I
and involve them in some shenanigan. It' not going to happen.
Aurus has gone legit, all the way.
L2I has been hired for three months which should be enough time for them to conclude their business with Aurus Corp.
We should be hearing from L2I on a regular basis, perhaps every other week, for the next three months. Three months is enough time to conclude the buyout deal, including the payout to shareholders.
L2I is organizing a special shareholders' meeting to take place
somewhere convenient in the United States. Since you asked me to speculate, I will suggest that this meeting is basically a formality, but required for the buyout to take place because we own voting shares.
Aurus wants to avoid lawsuits, and because they really don't know what they are doing at this stage in dealing with the U.S. market, they are putting their trust in L2I, not a bad move at all.
I think the language of the last PR was mainly fluff concerning the accomplishments of the past year and the business model, and so on. That's not why you call a special meeting of shareholders. The meeting is to get the vote they need to make the buyout official. IMO
On the other hand, there is always a chance that a better offer was made by another suitor, or that there was a decision to increase production and hold out for a pps over a dollar,
but my money is on the buyout at .55.
Sorry, but I can't tell you anything about the contents of the upcoming PR, but what I can guarantee is that it will be written in proper English and will be more than three sentences.
euddoggwyn -- I just got off the phone with L2I (Lagace and Legault). Mrs. Lagace is working on a press release that will come out next week with substantial news. I was told that the PR is being reviewed for legalities. I was also informed that the contact person L2I is dealing with from Aurus is Gerald Parkin.
L2I has assigned an employee to take calls about Aurus at extension 21. Mrs. Lagace isn't taking calls. The company said no further information will be made available for now. They want everyone to receive the news at the same time through
the PR next week.
Euddoggwyn -- Suggest you call Christine Lagace tomorrow
morning. Here's her number: 1-450-923-9381, and I think it is extension 28. I was told she will be in her office. She is handling the shareholders' meeting for Aurus in the U.S. and she should be able to answer your question about the bond.
A few days has made the difference. The person I spoke to also said he did not know anything about the buyout. So why don't you put in a call to Heritage Trust? Then you can confirm what they told me.
Confirmed, bgoody, and here is the website where Lagace and Legault operate as L2I: http://www.solutionsl2i.com/
Nice DD. Brilliant deduction that Legace and Legault are L2I.
It looks like Heritage is waiting for further instructions
from the Company as to WHEN the dividend should be distributed.
Invenstor -- Thanks for the PM. I just spoke very briefly to Heritage Trust. The person I was transfered to was aware of the Aurus dividend and he said it will definitely go through, but he said he could not give me any idea of the timeframe.
Pascal, I just spoke to Alexander Chabot at L2I in Cachan
which is a suburb south of Paris.
This is their website: http://www.l2i-conseil.com/index.html.
Mr. Chabot said his company does organize shareholder meetings for its clients, and that they have the capability of doing so in the United States. But he didn't seem to know about Aurus, so I emailed him today's press release and I'm waiting for his reply. I will post it when he responds.
I think they have done quite well for a company that has only existed for one year. I know companies that have taken a year just to get their website up and running.
When you're dealing with government agencies, expect delays. They have all of the required permits for two factories already and a third is in the works. Always allow extra time for a project that requires government approval at different levels.
I think we have known all along that financing would be a combination of debt and equity. I believe each factory will cost about $60M to construct. We don't know how many shares will be issued or when, only the number of shares that will be authorized. If the share price drops due to shareholder negativity, the company will have to issue more shares to raise the capital it requires for construction.
The "indemnification of officers" clause has become quite popular with corporations and is being voted on at their general meetings of shareholders. It is not specific to AENS.
The burning of natural gas as opposed to coal is environmentally more friendly and it was noted in the last 10-QSB as the fuel of choice for AENS ethanol factories. Personally, I think it's a good thing. The company will find other ways to save money.
Tell him: If you know who the buyer is, blink once. And if we will get our dividend soon, blink twice.
DUgly01, thanks for your input. You have a good eye for detail. One thing to keep in mind is that with AURC, you have to add in the Parkin time factor which gives the company an extra week or two to communicate news to its shareholders. Even though Mr. Parkin is no longer involved in management, the company has upheld the tradition of keeping shareholders in the dark, if only to add to the suspense of the buyout.
The acceptance of the .55 counteroffer by Aurus was PR'ed on May 16th. The deadline for acceptance of the offer was at 18h00 on May 11th. It obviously took a couple of days to get the word out to the public.
Dubble, are you trying to say they missed the deadline and the
offer is therefore null and void?
"Lochan, you post with great confidence regarding this buyout closing. What gives you such certainty? PM me if neccessary. thanks."
Bishop, it's not easy to answer in brief, but I would say that, in general (and I'm not referring to shady pinksheet
stocks here but to reputable companies) at this level, with a buyout price of around $200 million, once a board of directors announces the acceptance of a buyout offer, there is a 90% chance it will go through. Some sources even say a 95% chance.
I could see early on that the goal was to find a buyer and not to mine the gold, but they had to show production figures to prove the viability of the operation to entice someone to purchase the Company. If they worked it for another year
the buyout price could have been twice as high, but it looks like the majority shareholders wanted to get their money out,
for personal reasons or maybe political reasons, who knows?
The clincher was to get Kartix involved. This is a very reputable firm specialized in bringing buyers and sellers together and then brokering the deal. A company of that stature would not be suckered into representing a fake client
with no real assets. Aurus had to provide audited financials
and documentation of the value of its gold reserves from "The Ministry" for the deal to go forward.
Of course, there's still that 5% chance that it won't turn out as expected with a 100% exchange of cash for shares, including dividend shares, but today it sounds like the certs are in the mail, and, hopefully, within a month's time, the check in the mail should follow.
You would generally expect the deal and payout to be concluded in three to six months from the date of acceptance of the offer
which was May 16th. As stated before, my hunch is that we will see the additional shares in our accounts by the end of July and the cash payout as early as August 15th, best case scenario.
There has been a lot of negativity on this board, mostly from people who know nothing about this company and the people who run it. If you understand human nature and the nature of business deals, you automatically learn that patience is required if you want to reap a significant reward from your investment.
My hat is off to those longs who have added and held through thick and thin. May you do great things with your hard earned capital gains.
Yours truly,
Lochan
Golddust, I've been in AURC since December, 2005, always adding to my position, especially over the past six months.
The gold reserves are real, the transfer agent is real, the dividend is real and the buyout is real. 'Nuf said.
Up 30.51%! Nice. I was expecting to see the dividend by the end of July. Maybe sooner now.
Not that it's a big deal for anyone to know a company's TA,
but confirmation of the most recent PR gives credibility
to all previous PR's issued by the Company.
Not that I trusted Parkin....
I never doubted them.
Can anyone tell me how we first found out that Heritage Trust
is the TA for Aurus?
Thanks for sharing, Marcg, but how did this board first find out who the TA is? What was the public source?
Lochan
Looks like we're starting to climb out of the basement.
J.B. Voss just replied to an email I sent congratulating him for having obtained an air permit for the company's second ethanol plant. Here is his message, short and sweet, received just a few minutes ago:
Thanks for your sentiments and support.
As soon as we finance and set a date for the groundbreaking, we will issue a press release that will be available on our website.
Thanks again.
J.B. Voss
Vice President of Business Development