News: C@ to raise $28m to fund exploration on new, page-19

re: News: C@ to raise $28m to fund exploratio... Its basic economics- if the demand is there, the placement will go through at 5c.

If the insto's want to be a part of this (and a big part at that) then they need to participate at an agreed price. They cant buy $25Mill worth of stock on-market!

It is a two-way relationship. CEO needs to keep the insto's happy (low issue price with a substaintial holding) and the insto's need to keep CEO happy as CEO have a lot of potential which the insto's dont want to miss out on. The big question is "is there a great demand for CEO" and if so, CEO has the upper hand as they can just go to the broker to raise the funds. Thats of course only true if the SP remains around 5c.

This company is in the position it is becasue it didnt take opportunities when they had then. Now they have had to scramble for funds before the world falls over.

What a shame to say the least.