Given how much stock you have shorted, I can well imagine you will certainly load up at 35c (or whatever the placement price ends up being) in order to cover those shorts you have outstanding....and book yourself a nice little profit.
Well done. Its a strategy that has worked handsomely for the hedges & instos over the last 3 months :)..and now doubt explains your downramping!
(mate...I am a little tongue in cheek there so please don't take offence)
I tend to agree with what you have postulated, to be honest, and the 5m that were queuing up to buy the stock at 40c this afternoon suggest the "push" is on to get GMG closer to 50 than 40, and a placement at 35c is likely. But who knows...it may be closer to 30c. But without a placement, the shorters will be left high and dry, as we have seen dueing the recent runs to 50c than precipitated the MQG & CIC deals (what I mean is, there was clearly short covering as the news leaked and people feared they would have to buy back their positions)
I have anticipated a placement for awhile (a 1:1) but then at subsequent times, the MQG then the CIC deal, seemed to suggest the raising would be delayed and leave the shorters to buy back on-market.
Anyway, we are closer to the answer it seems, so some interesting days ahead.
I will be taking up any entitlements offered as I (obviouslY) I believe GMG will survive, take some write downs, reduce debt ratios and recovers as the investment cycle marches on.
Coop
GMG Price at posting:
36.8¢ Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)