share dilutiion may come for capital spend, page-16

G'day PeterH.
I think that what has happened to the old directors at Regis should be a lesson to all directors of publicly listed companies.
Maybe a lot of us long term holders were wrong in our opinion of just how the company was travelling and maybe, just maybe, they were doing a much better job than we gave them credit for.
But, whose fault is that?. If they treat the shareholders like mushrooms, telling them nothing and have terrible relations with sharebrokers and shareholders who try to contact the company, then it is only their own fault when everyone thinks that they are taking the company nowhere.
So many of these small companies are run by engineers and geologists who are only interested in having their heads down a mine shaft, digging rocks, and do not realize how important company promotion really is.
We often see companies that have no trouble raising money, have high share prices relative to what they should be, and are generally the darlings of the stockbrokers and market place.
When it comes time to raise money they have no trouble raising it because everybody loves them and feels that they know them and anyway they are good blokes who put on that great party last Christmas for all us advisers and brokers.
When they raise they do so with minimal shareholder dilution as they have kept the shareprice bubbling along and everyone wants to be in on it at any price.
I think that the new team will understand how important this all is and I am over the past directors who had every chance to impress a frustrated long term shareholder like myself.
I maybe tried on average to talk with someone at RRL once every 18 months, only to be told on one recent occassion, that management were far too busy to talk to me.
I have never had this happen before with any company in which I had shares, no matter how big the company was, let alone a little penny dreadful like RRL. In other companies, if they were busy at the time they would always call me back when they had time.


Kind regards

Lockitt