The repercussions of Sirius Minerals and the collapse of the stage 2 funding will be felt for decades to come as pension pots and savings have been devasted and countless lives ruined and as a result there is little doubt that the welfare state will be further burdened in the future.” My previous email on 28 June said: So where was that support for this significant 100 year GDP changing UK project? It seems there was no support and nobody wants to disclose to investors why! The Government keeps talking about the Northern Powerhouse and how it wants to ensure that companies get second stage funding here in the UK rather than being sold off to foreign companies. Investors deserve to know what happened between Sirius Minerals and the Government in 2019 which led to Sirius Minerals BOD walking away and taking the company down the alternative and ultimately fatal (for private investors) route. Clearly the actions of Robert Jenrick (as mentioned in the Guardian article) raises some further questions regarding this matter and with circa 85,000 former private investors in Sirius Minerals there is a public interest to be served here and we would like to see the publication of the application from Sirius Minerals and the outcome with supporting reasoning along with an inquiry into the process and the role of Robert Jenrick in the matter. Did the Government turn down the application for support? Did Sirius Minerals just walk away without completing the process to take a much higher risk approach to the Stage 2 funding? Surely, this information can no longer be classed as commercially sensitive and the Government should be accountable for the decisions it makes. This is a huge sum and the reasons for this deserve investigation.ĭespite all attempts to get to the truth about what went on between the Government and Sirius Minerals nothing has been forthcoming. Investors in total lost about £1billion of their investments. Clearly this decision was pivotal and the collapse of the Stage 2 funding led to a share price collapse and the eventual sale to Anglo American which left tens of thousands of private investors with significant losses as their shares where acquired for just 5.5p each. Instead, they chose to go ahead with an alternative proposal from JP Morgan which ultimately collapsed when they were unable to place the bonds. One of the most significant decisions that the BOD took in 2019 was to stop pursuing the government support and guarantee for the issue of bonds as part of the Stage 2 financing. “The new Sirius Claim Group ( ) are working to review all previous actions and decisions of Sirius Minerals and the board of directors to establish if private investors have been in anyway misled or disadvantaged. Paul Anscombe, chairman of the Sirius claim group, which is considering legal action on behalf of shareholders, said: “We would like to see a proper select committee inquiry into the process of Government support for Sirius Minerals and their application that also may explain the Jenrick issue.”Ĭliff Weight has written twice this week to the Select Committee asking that they reconsider their decision on 4 March not to hold an enquiry into Sirius Minerals.
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