I was going to leave it alone after my last post and wait for the results to reveal themselves, but my overactive imagination is doing cartwheels. Let's look at the major parties involved and crunch some numbers:
Tanah Capital - The CFO's golf buddy (or was that BB Lee?) comes along when GMC are on the verge of administration and loans them $350k at 12+% interest to keep operating. Later gives GMC another $877k to pay back the loan and continue trading long enough to raise more funds. Receives 175m shares @ 0.5c for their kindness. Also agrees to invest a further $3m for 200m more shares @ 1.5c, providing much-needed confidence for anyone also considering taking part in the CR. Later pulls out of the CR on the basis of their preconditions not being met, despite the market being told they had been. The CR is fully subscribed, the company lives on, and their saviour walks off into the sunset with $1.75m profit for his efforts, after selling his 175m shares at the CR price.
GMC - Enough has been said about the company before. The 3 directors get to split $270k in performance rights, with a fixed value of 3c/share (double the CR price), if the raising is successful. Employees (which, exactly?) split an additional $240k.
Triple C - Collects $720k in placement fees and 80 million options, which they can exercise @ 0.5c for an additional $800k if sold on market at the CR price.
Perhaps I'll give everyone a break and go write a book about Capitalism instead.
GMC Price at posting:
4.2¢ Sentiment: Hold Disclosure: Held
