TAS undervalued - EDE and CNJ Interests, page-20

Hi whytee,

Well, sometimes these threads develop a life of their own, and get far removed from reality. It's the logical outcome of various "if" statements:
(1) the latest investor presentation says EDE may need to raise USD37m sometime in 2017/18 in a mixture of ways, including equity. As none of us know how much equity compared to debt and others, the worst case is USD37m equity, or AUD50m equity.
(2) IF EDE decided to raise equity it could be via a placement to one or more sophisticated investors, or it could be via a Rights Issue.
(3) If it were a rights issue, TAS would be up for 40% of the total, or $20m. If they didn't subscribe to the rights issue then EDE would not raise the funds they are seeking.
(4) How would TAS / Noble Energy raise $20m? By selling about 100m EDE shares.

Not at all saying this is going to happen, it's just how the thread got to this point

However it happens, if there is an equity raise by EDE, I still maintain that there will be a small dilution in the "value" of TAS's EDE shareholding . Doesn't necessarily mean that there will be a fall in the value of TAS shares, because as noted in the OP, TAS is currently undervalued.