You may be right there Captain.The underwritten DRP is a capital raise which has been common at Pioneer Credit Limited. It seems this was not planned as I have not seen anything significant being mentioned in the end of year presentation justifying a cap raise which is the reason to underwrite. I also see the low cash balance which indicates the higher debt purchased does not necessarily mean enough cash is collected. Obviously more cash is collected compared to last year because Pioneer is buying more debt but is it making enough cash returns? Why has management even declared a dividend if it was not going to pay them. My shares have been sold now. These my views only.
PNC Price at posting:
$3.12 Sentiment: Sell Disclosure: Not Held
