Replies to post #1209 on Sunrise Energy Metals Ltd (SREMF)

[rubberworm]

I don't know yet still looking into it.

[rubberworm]

Regarding delisting from TSX that still is a if. I asked about it cause one of my kids his CLQ is on the TSX. Seems Clean Teq will assist SH in move of shares to the ASX from TSX with no extra fees. If one is a large SH that may help with greater liquidity. Regarding the OTC most likely it will continue to trade on OTC and OTC contract holders would be issued with an additional contract for whatever company is demerged. This is is subject to confirmation and change but most likely will be like that.
The water spin out is still a if. Reason's why to spin were laid out for us.

Later

[rubberworm]

I got this E-Mail from someone you like on Aussie board ...

I think that the share consolidation is the right move to make. It will not really change much -- the market cap of CLQ should stay exactly the same. As noted by Ben, one of the only changes is that with 10x less shares on issue, the share price is 10x higher, which may change the perception of the stock -- BUT any savvy investor should surely understand that what matters is market capitalisation and not the share price itself.

In terms of the spin off of CLQ Water from Sunrise, this was always the long term plan. However, I personally thought that it would take a few more years before they spun it out. I think the ideal time for a demerger is when the water business is growing fast and can stand on its own two feet with positive cashflow. However, in saying that, this demerger now presents an opportunity for the Water entity alone to do a capital raising to supercharge the growth of the water treatment business.

I will certainly continue to hold Sunrise and CLQ Water (if they are demerged) -- I think both entities have a bright future.

T.E.P.