0R15 9025.0 0.0% 0R1E 9410.0 0.0% 0M69 None None% 0R2V 247.99 9682.643% 0QYR 1567.5 0.0% 0QYP 439.3701 -2.9016% 0RUK None None% 0RYA 1597.0 1.2682% 0RIH 195.55 0.0% 0RIH 191.4 -2.1222% 0R1O 225.5 9683.0803% 0R1O None None% 0QFP 10475.8496 107.8542% 0M2Z 252.573 0.2373% 0VSO 33.0 -7.3164% 0R1I None None% 0QZI 622.0 0.0% 0QZ0 220.0 0.0% 0NZF None None% 0YXG 222.05 -4.1318%
The Offer
Company Overview
The Company is a Canadian exploration and development company with a focus on creating a gold platform in West Africa. The Kobada Gold Project, which houses a sizeable Mineral Resource and is the subject of exploration and development efforts, is the company's main project. The Kobada Project has not yet received funding, had a permit, been built, or mined. The Kobada Project is described in the Feasibility Study as being mostly a free-dig operation, requiring little blasting, and processing ore using a tried-and-true gravity plus CIL plant with recoveries of over 95% in both oxides and sulphides. The Kobada Project's very appealing economics is highlighted by its ability to generate sizeable free cash flows after taxes and modest capital investment.
Key Highlights
Primary Offering: An offer to purchase 27,500,000 CHESS Depositary Interests in the Company is made in this prospectus (CDIs) over fully paid common shares in the company's capital (Shares) at a price of AUD 0.20 per CDI to raise. With the ability to accept oversubscriptions of up to an additional 5,000,000 CDIs at AUD 5,500,000 (before related charges), a price of AUD 0.20 for each CDI with the purpose of raising a further AUD 1,000,000 (before related expenses) (Offer). The CDIs consist of 1 CDI given for every 1 share.
Use of proceeds:
Dividend policy: The Company does not anticipate paying dividends any time soon since its main priority will be using cash on hand to fund exploratory efforts at the Kobada Project. The Directors will ultimately decide whether to pay dividends on behalf of the Company, and their decision will be based on a variety of factors, including the availability of distributable earnings, the company's operating performance and financial condition, anticipated future capital needs, general business conditions, and other relevant factors. Regarding the payment of dividends or the possibility that such payouts may attach franking credits, no guarantees are made.
Financial Highlights:
Key Management Highlights
Risk Associated (High)
Investment in the IPO of “TRE” is exposed to a variety of risks such as:
Conclusion
TRE’s performance over the past year shows decreased expenses in FY21 compared to H1FY20, resulting in reduced operating losses and net losses for the company. The company had a net loss of USD 1.66 million and a diluted loss per share of USD 0.01 for the first half of FY22, with currently no revenues. Currently, not just Australia but all the global markets are experiencing a major correction in the valuations due to rising interest rates by the central banks. With such bearish sentiments in the market as well as the pre-revenue profile of the company, a listing gain would be difficult.
Hence, given the financial performance of the company in the six months ending June 30, 2022, decreasing net losses, pre-revenue, associated risks, and current financial market volatility, “Toubani Resources Inc” IPO seems “Neutral" at the IPO price.
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