Market Discussions

Shareholder discussion

According to the museum rules, shareholders must approve any new share sale.
I am asking the permission of the shareholders to launch a new sale of 1000 shares, and at the same time increase the value of each share from 20 to 30 million ISK.

The Background:
There are 10,000 museum shares altogether
1,000 shares were sold in July, for a price of 20 mil ISK each.
9,000 shares are still with the museum.

Use this thread to discuss the proposal for 1 week, then a vote will come up that will last 3 days. The share sale will begin immediately after next dividends in start of December.
Anyone can post here, you don’t have to be a shareholder.
For more info and discussions, find us in the “EVE Museum” chat channel.

Points in favor:
a) The museum will use these 30 bn to immediately pay out the current collateralised loan we have, and thus will no longer pay 2% interest on that loan every month. This money will go directly to future shareholder dividend payout.

b) The current shareholders will see their shares jump in value

c) I foresee increasing donations from Cista2 = increasing dividends, and therefore a higher value of new shares is justified.

Points against:
Problem: A higher share value will mean relatively smaller dividends per share.
Answer: This only affects new share buyers, as you paid 20 mil for your shares.

Problem: Current shareholders will immediately sell back their shares for a 50% profit. This will bring the museum to its knees.
Answer: there is currently just around 30 bn isk cash in the museum, so this covers the entire sum that could theoretically be sold back.

Problem: The public liabilities of Cista2/CistaCista will grow by 30 bn isk +10 bn in value increase of the first shares. Total public exposure will thus rise by 40 bn to 95 bn isk. This is too much unsecured money.
Answer: around the time the first share sale ended in July 2015, my exposure was 74 bn isk until I paid down my Cista2 bonds. I also recall that back in 2010 when I had my bpo trading fund, exposure was around 90 bn isk.

It is valued at around 130 bn atm.
Only 2,000 shares are on the table for the public, which will have a face value of 60 bn if the vote goes through.

Fair enough if all 10,000 were put on sale.
For all intents and purposes only the shares offered to the public are of interest though.
But that's what we are discussing.

I think everyone should be looking at this venture not as a business that makes isk through shares. This should be something celebrated by the community and shares should be a representation of somewhat of a donation. Yes, you may get some isk back but really the point should be to do something fun and different for the Eve community. I think we all have enough isk to throw away at fun projects and as far as legitimacy of the project, Cista is doing his best by having Magnu oversee the financials.

Hell just look at James and his bumping and his success with the fun people have had with it!

I believe that the upcoming website will play a large part in the fun of the museum, I see where you are coming from Jerry but I still have hope for this one.

For the avoidance of doubt, this is Cista2's venture. I have no access to funds, and no access to assets. I have just enough access to view transactions etc so I can do the accounts and provide the open accounting and visibility that Cista2 asked of me. I also do the accounts for free. I would not do the same for anyone else - it is part of my support for the venture. I advise when asked, but this is not my show. Cista2 is ensuring that public funds and assets acquired with those funds are not at risk from anyone but himself, this is part of the constitution.

Just so everyone (including Jerry) is clear about my perspective, I don't actually know wtf this venture is about. I was going to read the original offer but decided to drink beer instead. So I drank the beer and then I bought some shares. True story.

tl:dr I still don't know what this venture is/does but I am still drinking beer.

/finger

In brief, all this venture does is buy artefacts and put them on public display.

The museum does not MAKE money, it only SPENDS money that is given to it. However, many of the artefacts become more and more valuable over time, contributing to the overall worth.

The money that is paid as dividends come exclusively from Cista2. As Cista2 I am pledged to continue to pay out fair dividends to those that support the museum as shareholders.

I will vote yes for shares as I think this whole thing is a great idea!

So, the vote is over. Of those who voted, 100% voted yes :)
The number of votes is given as 0,65 - which I suppose means either 65 votes or 650 votes.

Because of a minor bug it appeared that nobody have voted until I had relogged my client. Because of this I renewed the vote.
I apologise for this - the second vote should simply be ignored.

Thanks for the support, there will be a new share sale after the dividend payout in December.
On the day that share sale starts, the value of any released share will be set to 30 million ISK instead of 20 million.