Choo12 Don't get me wrong, I'm not for a consolidation (I won't hang around if they announce it) and I am looking LT because I believe in FML's great potential but if you're looking LT I believe you have to at least consider the amount of shares on issue and compare that to what we want FML to become. Will the SP be held back because of the amount on issue? I believe it will. How do we get around that? By increasing the value of the company, increase in reserves, Nepean development, acquaring other attractive assets, etc. as you have pointed out. How can we afford it? Cash from the gold proceeds is a good start but how long will it take for the proceeds to be enough to reach our full potential? I don't know, and there is the rub. If an opportunity presented itself say in 6 months time that was too good to pass up how would FML fund it? Smarter people then me will have to answer that.
Look at the history of the big miners, I'm sure you will find they have had cap risings to fund their projects. With 2.8bil in shares do we have that flexibility? I don't think as flexible as we might need.
I totally agree with you that FML will be one of those "If only..." companies. I was in Fortescue when they were 44c with 15000 shares and sold out at $2.35, a few months later they were $60. I'm not making that same mistake again so I'm here for the ride with FML and if they consolidate I will sell the lot and buy back when they drop (not an original idea I know).
I'm a small investor and don't normally post too often unless I want to bounce some ideas of people who sound like they know what they're talking about so I appreciate your points of view.
Cheers CD
FML Price at posting:
6.3¢ Sentiment: LT Buy Disclosure: Held
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