Klaus Eckhof is back: mere mention of his name sends Lachlan Star shares up 64pc
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Klaus Eckhof was never going to stay out of the limelight of Australian mining for long, and sure enough he’s popped up again, in newly-recapitalised Lachlan Star.
Mr Eckhof is joining the company (ASX:LSA) as an executive director, meaning he is also works on the business as well as sits on the board.
He owns 2.65 per cent of the company, having bought in during the recapitalisation.
Mr Eckhof’s entrée was followed by a 64 per cent share price jump to an intraday high of 2.3c. The stock cooled to 1.8c by Monday’s close.
This means Mr Eckhoff could receive his first parcel of 20 million performance rights through reputation alone.
Mr Eckhof will receive four parcels of 20 million performance rights once Lachlan Star’s share price stays above 2.5c, 4c, 5c, and 6.5c for 20 days.
From Chile to the Congo?
Lachlan Star had three months from March to find people willing to recapitalise it, after going into administration in 2015, before it was booted from the ASX forever.
Led by lawyer Gary Steinepreis, the formerly Chile-focused miner found $3.2 million to spend on a magnesite project in Queensland and a copper project in NSW.
The entrance of Mr Eckhof however suggests it will start looking overseas.
Mr Eckhof’s speciality is the Democratic Republic of Congo (ASX:DRC) where he set up lithium explorer AVZ (ASX:AVZ) and sold more than half of his remaining stake earlier this year — much to his followers’ chagrin — before stepping down as chairman.
AVZ became a 10-bagger stock after its share price rocketed from a low of 3.1c in June last year to a 52-week high of 37c at the start of this year. But it’s share price has since slumped to around 10.5c.
Mr Steinepreis and Mr Eckhof have been contacted for comment.