i told you cr below 10c. sp will drop to 9.5 c, page-14

I was busy with TVN this morning, so I didn't put done any reasons.
Here is IMO why SP will drop:

1. This 9.7m CR is just for 4m due on 24th Aug. The CR does not cover 2m due 30th Oct. Therefore, there is a good chance that another CR near Oct. And after that they need another 4m to acquire 100% of this project. Then, they need 60m to renovate the plant plus working capital before it turns cash positive. So, with that many possible CR in the future. The SP will go nowhere.

2. This CR comes with free options. On the surface, it looks good for current holder. However, it also shows that the management is not confident with this CR at 9.6C without throwing additional options. These free options will help the management to complete this CR however this kind of free options will limit any further SP rise in the future.

3. In the near team, the current holders are likely to sell down their holding but retain their options which will very likely to drive to SP down to 9.5c after Ex date.

4. 350K oz of MYG's 500K oz is inferred. They need to do a lot more infill drilling to upgrade this to indicated before talking about increasing production. Therefore, I think it went too far with last Friday's announcement.

5. As I mentioned before, apart from the original resources, they didn't really found anything exciting over the last 6 months. All the gold veins they found are very narrow. You can check the past announcements and their presentation to confirm this.

6. Although MYG is a slightly undervalued stock, there are numerous other undervalued gold stocks around. (Well, I can't make a cross promotion here.) I think there are too many people trying to talk up MYG here which isn't always a good sign.