No, that’s what THEY are saying in this report. This company is ill, and with only a further two months to the end of the year, I don’t see things getting better. Shares suspended, and from their own admission, have been on the lookout for investment, merger and acquisition initiatives, since September of last year. Their only hope is now gone with Rights Issue being pulled; because of someone finally doing some due diligence. Is there are chance of coming back? Not sure. We aren’t seeing a lot of money being raised on the ASX by explorers/miners and then there are ore prices, high costs, and a plethora of other issues going against it. SOL took 20% at listing, they also own two operating mining companies, yet they weren’t seen at the Rights Issue (you’d think DTQ would advertise that they were drilling for a major shareholder if they were, but in the statement they say “about” a quarter of the rigs are working). The original owners paid out their debts at listing and then kept a huge bundle of stock, on top of a handsome salary. As for the rest of the management, let’s not go there! It’s obvious they didn’t! Now we are seeing the death of a company and all the small holders around town who bought in aren’t going to see their original investment value again. In short, I believe that DTQ will require funding to stay afloat (hence them going for the Rights Issue), which will further dilute current shareholders (a failed one looks worse than a shortfall, so who and at what cost will it now take to get another party interested). There’s doesn’t seem to be any turn around in the resource industry so service companies like this will suffer and be the last to see the recovery. If, DTQ management now need to do a full review of its operations, and wiping aside their previous projections, trust in this board’s level of competence has to be questioned! Tick tick tick, till we see the first resignation. Nobody will want to be stuck with this if it tips over.
DTQ Price at posting:
3.6¢ Sentiment: Sell Disclosure: Not Held
