if an investor group is close to completing a capital raising for a company the last thing they would want is for the share price to be going up as it means that the private placement would need to be done at a higher level.
ie: difficult for GDN to justify raising funds at 5cps with free option when current price is 8 cps
therefore it is in the interests of the investor group to keep the price 'capped' so that they are assured of getting their new shares at a cheap price, once issued the price is free to run up as much as it likes... usually helped along by the investor at this time.
GDN Price at posting:
5.8¢ Sentiment: Buy Disclosure: Held
