People who say the "market has spoken" don't seem to know much or have learned much about the share market or how it works unfortunately!
But I guess it is one's own expectations that can make or destroy their sentiment and ultimately their wealth.
It is quite naive to think that whatever the time, whatever The circumstances, every time a positive ann comes out, the share price of an entity will shoot up, have a spike, every beginner trader make heaps of loose money and get rich quick!
It does not happen that way unfortunately otherwise everybody will be rich quick and no one will ever have to work a day in their lives.
I have quietly warned people from these expectations before the ann and over the past many months, this is a medium to long term play and anyone who comes here for a quicky will be up for a disappointment, look at volume, if you know what this is, to get some a clue on what I am saying.
If you good at guess work and needed a clue about why the price is kept at below 2 cents you need nothing more than to read the ann, see where the number 2C is, see what approvals needs to be obtained, and ask yourself is it easier to get these approvals at 4 cents for example or at the current levels, traders and big players will do what they have to do in order to get their hands on what they want, and in this case we now know what they want, a slice of kaboko cake!, 15% of the company and a board seat!
Sorry to hear some news has been a killer for you, people who want play the share market needs to toughen up I suppose, don't let any stock or news kill you, that means you had no proper planning, the company will and should announce the details of the this and other points in the right time, rememebr it has not been finally signed off yet, so some information might needed to be kept private for time being.
LIBOR plus fixed rate is like what we pay for our mortgages. the percentage, if it is 10% is $600K for the 6 Million, and even at 15% it is $900K, looking at the size of deal and the income expecting from it, it is far from a killer! rememebr this is all assumptions till we get the definite numbers from the company.
I would not personally worry about same calculation about the whole $10M because by then kab is producing and selling and should be on different league all together then.
In the mean time some will keep googling aimlessly!
LOL
KAB Price at posting:
1.4¢ Sentiment: Hold Disclosure: Held
