This was always on the cards and I am happy that they are doing this. With 230 million shares on issue post consolidation, price movement will be far greater on positive and negative announcements; But my general feeling is we will have more positive than negative.
If we are going to go all the way and mine this had to happen. No way would we fined the capital to do so without a consolidation.
A line from the announcement says it all
"The proposed consolidation will also align the Company’s capital structure with its peers and increase its appeal to international and institutional investors"
What it also makes us post consolidation is a very attractive takeover prospect.
Either way I feel that $1 per share mark will appear in the next 6 - 12 months.
Interesting and exciting times ahead
Timbo out
MOD Price at posting:
4.4¢ Sentiment: Hold Disclosure: Held
