so after the consolidation of capital, there are only about 12m shares on issue, and another 4m options exercisable at 10c.
the company lends $400,000 to a company, where gda directors have an interest, and if the loan is converted to shares, gda will end up with about 11.5% of the company - ie amazon resources.
obviously amazon resource does not have any money - that is why they are borrowing the money. anyway gda might end up taking over amazon resources. amazon resources must have about 36m shares on issue - ok, will be 36m shares, if gda convert the loan at 10c per share.
if gda is going to be a back door listing for amazon resources, then gda will probably issue about another 32m shares (based on the conversion price of the loan into amazon shares - which is 10c, which probably matches the gda share price.
on what basis are amazon shares valued at 10c????
GDA Price at posting:
6.6¢ Sentiment: Sell Disclosure: Not Held
