Six Sigma Metals Limited Loses Interest In Acquisition of Mirrorplex Pty Ltd

  • Oct 19, 2018 AEDT
  • Team Kalkine
Six Sigma Metals Limited Loses Interest In Acquisition of Mirrorplex Pty Ltd

The independent board members of Six Sigma Metals Limited (ASX: SI6) has decided not the exercise the six-sigma option to acquire an interest in the Mirrorplex Pty Ltd pursuant to the option agreement which was between Six Sigma, Mirrorplex and its shareholders. As per the option agreement, Six Sigma has an option to get 80% interest in two projects of Zimbabwe namely, Chuatsa Vanadium-Titanium and Shamva Lithium by acquiring the stake of Mirrorplex through three phased share acquisition earn-in.

However, the company and the shareholders of the company believes that exercising the option would not add any value to the company and not best in the interest of the shareholders. The company believes that they should now focus more on the current base metal assets in Botswana which will add value to the company and side by side look and identify some better alternative opportunities.

For the past 10 years, Six Sigma is operating in Botswana and is able to maintain its portfolio in the Limpopo Mobile Belt in the eastern region of the country over 1500 km2. There is a number of quality assets in ground of SI6 that include Maibele North NiCo-Cu-PGE resource and the high-grade Dibete and Airstrip Cu-Ag discoveries. The company is planning to begin the geographical survey in regions of Dibete and Airstrip in order to identify the deeper source of these high-grade deposits. 

For the period ended 30 June 2018, the company has made a net loss of $1,469,576. The total asset of the company is $9,327,224 and total liabilities worth $225,070. This indicates the company has the ability to clear its long-term obligations. The total current asset of the company is $1,864,888 and total current liabilities worth $225,070. This indicates that the company is even capable to clear its short-term obligations. The total shareholder's equity is worth $ 9,102,154. There was a major cash outflow under the operating activities in regard to the payment done to the suppliers and employees. As the result of which the net cash used in operating activities was $1,559,594. The company has made an expenditure on exploration and also purchased plant and equipment. This resulted in the net cash outflow from the investing activities worth $315,303. The generated cash by issuing the share capital and also made payment of share capital issue cost. As a result, the net cash generated from the financing activities worth $3,500,028.

The performance of the company remains negative through its entire journey. The performance throughout its journey remains -97.11%. The 1 year, 5 years and 10 years performance of the company are -50%, -83.33% and -97.01% respectively. The current market price of the share is $0.006 with a market capitalization of $ 2.75 million. As we see the chart, the moving average convergence and divergence line is moving below the signal line. This indicates that the price is bearish in nature.

Dividend Stocks To Buy

The Income available from dividends remains attractive for many investors.

We take a look at the best yields on the market and assess what they say about a company’s prospect.

One Thing is certain, though, Australia interest rates are still low, making income difficult to come by and keeping the focus for many investors on high yielding stocks. Kalkine’s team of analysts bought you handpicked report for “Top 25 Dividend Stocks For 2018.”

ASX-relevant Special Reports are published year-round to provide a detailed analysis into an investing opportunity or a potential risk to your portfolio.

Click here to get your free report.


Disclaimer

The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkinemedia.com and associated websites are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.

 

All pictures are copyright to their respective owner(s).Kalkinemedia.com does not claim ownership of any of the pictures displayed on this website unless stated otherwise. Some of the images used on this website are taken from the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image.

 

There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.

Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.

As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.

CLICK HERE FOR YOUR FREE REPORT!
   
x
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK