Originally posted by mconsult
CR being run by Bailieu (the mob who did the extensive broker report) CR is for working capital to complete DFS and to "explore other opportunities in DRC" and is contingent on recieving funds for acquisition either the deal with FT $35M or Magna for $10m.
Magnas deal is not the greatest.. not a fan of them either.
Strange because the second tranch of FT is $10m to conduct the DFS.
If you want the source... get your hands on the CR term sheet. Theres a bit more info there.. but not much. Happy to chat directly on the bird.. Dyor
pretty spot on mconsult, lets break this down a little more, we are currently sitting on 2 cents per share and there is a small CR going to occur at a slight discount with shares going for 1.8 cents per share, the backers who are funding us to the tune of $USD55 million any shares they take as payment of either principal or interest will be at 2.2 cents per share, thats at a premium to where we are at the moment, this is the spec end of town and 1 or 2 pips in either direction is of no consequence, how would you like to be invested in a mortgage broking firm at the moment, if we are worried about 1 or 2 pips here then it would be resuscitation time over there, one firm has dropped from a high last week of 1.07 to a low yesterday of 69 cents, things can only go up from here I think, we still have 3.2 million JORCed ounces and gold is currently trading at 1314.60 an ounce, I believe once this gets going it should rerate very quickly and all this talk will be like the SP and be long forgotten
