Something I was pondering on the weekend...
Why did NST decide to buy on market...?
Why did they not propose to EAR, do a 20% placement, I mean, even at just say, $0.32 ( a premium above the market at the time), they could have poured approx $31m into EAR coffers. Ironically, enough almost fully fund the plant with the cash they have! (although I concede that perhaps NST may not want EAR to be a producer in the near term for whatever strategic reasons they have)
Or.. spend $10m+ on a very aggressive exploration program to their north.
As buying on market has meant that yes, they have 19.8% of the company, but.. with future cap raising, NST will have to participate anyway if they want to keep their 20%, plus it just pushes the can down the road, why not push EAR to do what I assume NST wants anyway, both companies would have likely benefited?
Too late now of course, but.....
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