available for posting, page-4

Hi benhua,
Bit of a ghost town in here... I don't know for sure but it looks like Optimism at its best.... If the financier is prepared to agree to accept shares at 100% premium on the current SP as collateral (or what ever) then the company's representative must have shown them some figures that project quite well not only in the long term but also in the short term... I can't believe any institution would agree to such terms unless they had prior knowledge or proven projections on the company's earnings...
Perhaps the timing of the 100% capacity announcement following the cash flow ann. Ie revenue from the mill... Has everything to do with it... 30c per share may be very very cheap come the release date of the next quarterly cashflow ann.

After re-reading the announcement. I would be excited as a shareholder given that from this deal the company reduces its debt (interest) by 52/54 = 0.96
so 96%...Take that off any schedualled interest repayments.....
With an allotment of shares that equate to less than 6.5% dilution.
a current MC at 16c =$49Mil....(according to my westpac info)

And a revenue income and or asset backing sufficient to convince the (4) financiers to make this deal.....not 1 financier but 4... $$ is the best influential tool when it comes to financiers.. They are expecting to clean up here is my guess.


I think this could be a very very very (thats no echo) lucrative stock.

Good Luck if you decide to buy...