AMG’s Timminco Promotional Claims Called “False and Misleading”

An article on published August 14th states that Timminco Limited’s (TSX: TIM $12.25) majority shareholder AMG Advanced Metallurgical Group N.V. made “false and misleading promotional claims” regarding Timminco’s planned $65 million capital expansion. (To read the Stockwatch article, click here)

Stockwatch previously questioned conflicting claims about the expansion in an article from July 31st (To read the July 31st article and’s associated report, click here). AMG had publicly claimed that Timminco’s capital expansion would be fully funded from its capital raise last year. Timminco, on the other hand, had claimed in regulatory filings that the expansion would be funded by “cash on hand, solar grade customer deposits, cash flow from operations and the company’s credit facility.”

In Timminco’s second quarter earnings conference call, Timminco executives confirmed that the expansion would be funded primarily from customer deposits and the company’s credit facilities, making AMG’s claims “false and misleading.”

The Stockwatch article also questions whether Timminco will be able to meet production demands for the customer deposits it is expecting to receive. Timminco is counting on $61 million in customer deposits, representing 938.5 metric tons of solar-grade silicon at an average selling price of $65 per kilogram. For the first six months of this year, Timminco only produced 321 metric tons.

Stockwatch lastly questions the financing for Timminco’s installation of an ingoting furnace, which was mentioned in the conference call. A report by from July 21st first addressed the question for the financing of the furnace (To read the report, click here). Stockwatch wrote to Timminco CEO Heinz Schimmelbusch and CFO Robert Dietrich asking about financing for the furnace, but “neither of the Timminco executives has replied.”

Posted in Timminco Limited

Manuel Asensio doesn’t bet often. But when he does, it’s wise to pay attention.

Paul Kaihla
eCompany Now
1 2 3 4 5 6 7 8 9
About Our Founder
Learn more about's founder, Manuel P. Asensio, and the website's origins. Click here to be directed to Mr. Asensio’s professional biography.
Media Record
Click here to see selected articles that discuss's work and its unique legacy. also strives to maintain a complete record of articles dealing with the companies that are the subject of research.
Investment Record
Click here to view a list of the companies that have been subjects of reporting and click here to see the complete investment record.
Asensio and FINRA
Asensio & Company, Inc. and Manuel P. Asensio are the only dedicated short sellers ever to have been members of FINRA. This unique-minority membership created complications in the regulatory relationship. Being the first activist short investors and among the first FINRA member firms with a website added to the complexity. A statement by Mr. Asensio is available here. Information necessary to obtain a meaningful understanding of the dispute is available in complete form HERE.