Rightly or wrongly (time will reveal all), the reason I finally took a stake in AVB was after they had done the cap raising - dilutionary as it was.
Can you imagine what share price might be today had AVB managed to take on debt (on what would have been onerous terms from Banco El caballo Blanco?). With no revenue yet, AVB would have had to capitalise interest payments while the shares continued to trade in an environment of falling copper prices, domestic political turmoil (in Brazil), Chinese worries etc tc etc. To me, the fact AVB managed to have its raising underwritten was a positive sign and Phil is absolutely right in his comments re Appian/Greenstone etc (in my opinion)
I didnt think they could do it. They did. I was wrong.
I'm still not sure of PB yet - but that is a story/debate for another day at this stage.
The sand pit is being built as I write - and I genuinely believe the current share price merely reflects what happens in equity markets: there are always buyers & sellers.
AVB has just had a massive dilutionary placement which the market is currently "digesting" and there are few catalysts to purchase stock. This should not be (and is not) a concern for the AVB faithful.
They are indeed well positioned as much as ANY company should copper prices inevitably turn.
