4 questions lodged at 2025 Loyal Lithium virtual AGM
May 30, 2025
Below is the text of the 4 written questions submitted at the 15 minute Loyal Lithium (LLI) virtual AGM held on May 30 2025, plus a summary of the answers and some video grabs via Twitter. See notice of meeting and voting results. Stock was suspended on day of the meeting.
Q1. I'm a new shareholder. Please summarise how we wracked up accumulated losses of $73m and now only have net assets of $3.7m, leaving investors down around $70m.
Answer: The executive chair Peretz Schapiro was right to say these numbers were wrong as they've only dropped $20 million. He suggested I'd gone to the wrong meeting. The numbers were from Lithium Universe which appeared one above Loyal Lithium on the AGM calendar. Watch video of exchange via Twitter.
Q2. Resolution 3: "I'm generally against proposals which give boards the unfettered power to issue 25% of the company's capital to anyone they like with no shareholder approval or rights for the existing shareholders to participate and avoid being diluted without compensation. Could the chair please comment on why we continue to raise capital through selective placements, rather than doing pro-rata raisings which treat all shareholders equally and don't require any specific shareholder approvals. Please focus on pro-rata raisings in future and don't ask for this extra 10% placement capacity at next year's AGM."
Answer: The executive chair Peretz Schapiro read the question with dismissive haste and then said I'm welcome to vote against before saying placements are cheaper. Watch video of exchange via Twitter.
Q3. Resolution 8 question: "Surely 5% is a good limit for staff incentive schemes. How high are we hoping to take this and did any shareholders raise concerns about the potential dilution from such a constitutional change? Is the 5% limit common in public company constitutions or peculiar to us?"
Answer: The executive chair Peretz Schapiro claimed some shareholders were concerned the 5% limit was too low, hence the proposal to quadruple it to 20% with a constitutional amendment. Watch video of exchange via Twitter.
Q4. Is a recording being made of this meeting and will it be published on your website for the benefit of the hundreds of shareholders who were not able to tune in live to today's AGM. I had 2 other AGMs at the same time today because by waiting until the last possible day, you have clashed with 37 other disorganised public companies holding their AGM on the last possible day. Please hold your AGM earlier next year.
Answer: The executive chair Peretz Schapiro claimed it is normal to hold the AGM on the last Friday in May and they won't change because that's what everyone does, which is a ridiculous tactic that undermines shareholder scrutiny. They also won't publish an archive of the AGM online so this is the only place shareholders can find out what was debated at the AGM. Watch video of exchange via Twitter.
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