Appareciate your input as usual! I agree re your point about the 34c vwap and cost to raise however like most shareholders I still believe it is trading well below it’s fair value and we can’t forget that not all credit raisings to Sophs are completed at a discount.
Toho gave us 90m for 40% of the project, we have just given away 25m shares ( + 5m options if the choose to convert) in the company for 10m.
After the toho deal is signed a credit raising at 40c with two free attaching options won’t seem like such a great a deal is more my concern. The flip side to this is that if the toho deal isn’t signed it will seem like a great deal but will probably be a lot of holders last concern.
As I said I’m still here nor there about the deal, we needed money as could be seen in the half yearly. I just thought they could have waited it out for the toho deal to be signed first.
Investors like the one signing on don’t do these kind of deals because they are giving the organisation a leg up, they do it because they can see that something is undervalued and make the most of it.
G1A Price at posting:
37.0¢ Sentiment: Buy Disclosure: Held
(20min delay)
