Sino Agro Food Inc (fka SIAF)

[ks1977]

you best check the risk factors first

I might be blind (after all there is a lot of text hidden in the 151 pages of the Merkur admission document) but I can't see that warning in there.

Regardless of whether that has been disclosed or not, then there is a rule that the BOD has to do what is best for the shareholders. I believe it is a written rule (or law) - but I don't bother to check all the Merkur-rules, OSEBX-rules and laws - so let's assume it's an unwritten rule. The kind that all retail shareholders in Norway base their investments on.

How will the norwegian market react in general, but especially towards small companies, chinese stocks and the Merkur market, if Fredly points out that Solomon indeed is acting against the best interest of his shareholders and Oslo Børs does nothing? If Fredly pursues this, then Oslo Børs might end up closing the whole Merkur Market (at the moment SIAF is - in some ways - the jewel of Merkur, and Oslo Børs has already taken a severe hit on Merkur Market).

Fredly has already pointed out that the toxic loans were to dangerous and should have been forbidden, and now we learn that Solomon has accepted an even more dangerous toxic loan? A 4-month loan at 0.5% of the shareholder value that has the potential to anihilate all the current retail shareholders? (on top of that I believe Solomon's plan was to repay the loan between reports so that it was never disclosed).

Solomon is playing a very dangerous game, unfortunately on our behalf, and according to the article in Finansavisen he has messed with the wrong man. It does not help that SIAF, in the 10-K, basically admits that 2/3 of the 18.3% could have been given as a dividend last summer after all... Fredly should have plenty of ammunition to make a case towards SIAF and/or Solomon, the question is whether he will do anything (and whether he should).