ECM has too many shares & options on issue really to reach $2 to $3
for example, GXY has raised $266m, has around 264m shares & big money options on issue and a market capitalisation of around $400m
ECM current has 633,6172,142 shares & small money options on issue and will probably need to issue another 400m to 500m shares if they are going to build a plant and get into production.
On a very conservative 1,000,000,000 million shares on issue, a share price of $2 represents a $2 billion market capitalisation in comparison to GXY's current $400m market capitalisation.
In my opinion, ECM will not reach 50 cents in 6 months time.
This would imply a market cap of $300m, with little cash in the bank.
ECM Price at posting:
41.0¢ Sentiment: None Disclosure: Held
