trading halt, page-19

If you assume there will be no debt funding whatsoever now and you also assume we need an additional ~30m, either way you run the numbers (taking an issue to be at ~80c) whether you assume the options will be converted or not you end up with approxmiately another 40m shares on issue. This means we will be hitting production, fully funded with a total of 120-125m shares on issue and no debt. If the 35-50m Year one profit prediction comes true I can still quite easily see a sp north of $1.50 by the end of 2012 and quite possibly beginning with a '2'.

Typically CR's do mean a sp drop to issue price it's true, but not always. The scenario here is a little different in that in all likelihood it means the last significant hurdle to becoming Australia's next iron ore producer has been removed. I can see the market actually viewing the outcome very positively, particularly if the issue is to an entity that will assume the role of a long-term cornerstone investor. Surely even in this financial climate there are still some of those about! If I had a cool 30m sitting in my back pocket I would take a real good look at getting my hands on a significant chunk of IFE at 80c.