volatility, page-12

I heard many times around the traps in Perth that the stock was being shorted heavily because these shorters were predicting a placement. I thought.."ahh they are predicting a placement so they are pushing the price down in an attempt to drive the price lower when the placement arrives". Also when you hear of a placement you know its going to be discounted.

The one thing I didn't count on was that the placement would be used to cover the shares already on short positions. Thats frustrating. win win scenario for those fellas. The company needs to be more careful with whom they are placing these shares with. They would of been better off bank rolling the whole lot through NAB and getting a larger debt facility. It's quite frustrating that the shorters were rewarded for driving the price down..in the end they got a get out of gaol free card from the company. Thats what it looks like.

I guess the positive is that we are now funded to the end of 2014. At least if they start shorting the stock now..they wont be given shares by the company any time soon in a placement to help aid them in covering their positions.