In my opinion: Looking at the number of private placement shares at 10c (23,800,000 more than 100% of the existing available stock) to solely just raise capital (let alone all of the other placements) this stock will suffer significantly in the short term 3 to 4 months (i.e. considering the meeting is 26 Feb and shares may take a month or two to be allotted and then sold down).
Therefore, rather than GIVE the private financiers your profit or capital it would be a smart strategy to SELL now before they have the opportunity to dump their stock (as they do) and then BUY back in several months later at a discount, as there should be no positive movement upwards until at least they start drilling and can make announcements.
With respect to the other threads re the valuation, the valuation is at a discount of the headline price of Mn for a reason. You don't just dig it up and hey presto it is worth $280 tonne. You need to spend big on infrastructure to refine and ship it to get $280 tonne. Also you need to take into account the risk of getting the permits, finding not only the ore but marketable quality, sizable amounts to justify spending $$ on the infrastructure etc etc.
Look at iron ore for example companies who have found iron ore in sizable quantities get taken over for $1.20 tonne nowhere near the spot rate of US$124 tonne.
Hence a valuation of only $6m - which is way less than the implied value of the current share price! especially post the private placement.
Therefore, considering the run this stock has had and the significant discount to today's SP the private placement is getting, the smart strategy would be to SELL now do something better with your money and come back in at least 4 months later as this stock will go no where but down for the next several months.
So current holds protect your current profits and capital DON"T GIVE IT to the Private placements holders who will be getting their stock for 10c and then dumping it dragging the current share price down! and taking YOUR CAPITAL and PROFITS.
WTN Price at posting:
67.0¢ Sentiment: Sell Disclosure: Held
