27 Nov 2019farm in farm out agreement● Neutral
On Nov 26, 2019 the company was told by Cosmic Equity Group Limited, its majority shareholder (115,000,000 shares, 81.48%), that Cosmic had given sales agents options to buy up to 69,209,658 of Cosmic's own shares at $1.00 each: 35,706,720 offered in May, June and August 2018 (2-year term) and 33,502,938 offered in December 2018 (expiring about Aug 31, 2020). Cosmic wants to extend both option periods to Dec 31, 2021; if all were exercised Cosmic would hold 45,790,342 shares (32.44%). These are existing shares held by Cosmic, so the company issues no new shares and receives no money; the filing says president Liu Wenxin is Cosmic's principal shareholder. This gives context to the Sept 2018 company option grant that was cancelled in Nov 2018, though the filing does not say the two are linked (inference only).