Ann: Group Gold Mineral Resources Increase 39% to 5.1Moz, page-16

im puzzled why they did a spp, which favours the small holders to increase their relative stake greater than pro rata - whereas a CR rights is pro rata.

Its a question of where they thought they would have better take up ?

SPP = small hands can dig deeper, but limits large positions to contribute.
CR rights = even contributions.

Its a puzzle, as the assets are good, but the cash is running out.
Is simply, south africa so on the nose, in this speculative downturn worse than others? Were sophs exhausted or avoiding SA, and the retail the best bet ?

I gave the market time to lift this out of its malaise, but cash is critical.

Looking ahead, they need to preserve cash, and get any remaining shortfall placed, or additional placement to boost the purse.

great assets, but that requires a market willing to have sticky hands.
Dont do a placement that is simply looking for a discount, to crash the price.

They need a strategic investor, to hold on to this, as well bolstering its purse, to see it through to where speculative money might be more keen to flow, ie july - dec typically, or when they are in a position to start mining.

otherwise, i see a suspension, and a recapitulation to occur , not necessarily favoring old holders.

GLTA