what price the cap raise?, page-8

hi orchidc11,

there has been quite a deal of media speculation on this one, so something is leaking somewhere. I think Stabilo's point of view is a fair one.

hi JID,

Understand where you are coming from on the placements. You raise the $64 question - sell now, or hold? Only hindsight will tell us (unfortunately).

That said...not sure FKP is a good example as that issue is a MASSIVE dilution and - actually - what the industry used to call a "takeover by stealth", which is what will jappen given MULFA is taking up their entire entitlement AND underwriting the issue.

a 1-1 issue will not halve the GMG NTA (although after writedowns the expected NET result of the two factors combined - a placement AND some writedowns - may be ahalving of NTA).

But your main point I agree with - will GMG slump back to the placement price...or hold up somewhere north of 40c.


Finally, as beijing suggested...GG may pull another rabbit out of the hat!!

AS you can see...I am sitting on the fence. I haven't a clue (but suspect from the recent buying, that a placement is underway)


Coop