I guess I hold them for the same reason I hold TGS. I cannot...

I guess I hold them for the same reason I hold TGS. I cannot believe that the market values both companies as poorly as it does. But in both cases, which have been persistent, the market cannot be wrong for so long. Something is not right here, and an inking of that was visible with the huge multi-million share dump in Feb with no subs holder changes.

I thought the wait was finally over with the recent rise to 20c after that dump, only to see sentiment smashed again with this placement near the lows of which the market appear to have shown some prescience.

I have 95% of my capital in the market continually (right through the crash) so for me to fund my $40k for my rights, I have to sell another stock like IOF and either:
1) have the capital tied up for three weeks for a ST trade 2) have the capital tied up for months as a long term trade hoping management deliver something (or having a bit of 'luck' with a new buyer turning up).
For 1) there are better chances for ST trading on a daily basis. For 2) I cannot take the risk, I would rather leave my capital in IOF which is paying a div and trading at 50% of NTA.

But you are correct, this has been a long and painful journey and I should consider selling out and redeploying capital elsewhere. But I will probably wait another few months for the inevitable overhang of 11c shares to be dumped at around 13c and then maybe there will be some good news in a few months time and I can sell at higher prices. But then again there might not be, which is why I am reluctant to put more cash in.
If fact, from the way shareholders are going to react to this rights issue, if the company needs more funds in a few months for Tanz/Italy, the chances are that the company will deliberately do a discounted placement to private as it will know it's register is weak. So if anything the risk goes up on this poor reception.

I still cannot believe T.E. cannot attract any investors to this at this price with a gas discovery and 'large' upside. It boggles my mind. What a low opinion the fund managers must have!

All that had to happen was for him to attract A SINGLE investor, and the SPP would have been 13c, and the rights at 1c, and almost everyone would have converted.