The rights are for purchasing additional shares at 6 cents each. You could have traded them up to 26 Sep (if you have a CHESS account they would have been listed with your other shares as as MDSR). Attached with the offer are some options with an exercise price of 10 cents. Not certain if this is a good deal or not, prior to the anoucement shares were trading at around 8 cents which has expectedly dropped to to be in line with the issue price of 6 cent. However, over the last few days it has increased a little to around 6.8 cents, indicating the market sees some value. I would expect, now that the rights issue have ceased trading, for the SP to go back to 8 cents. The attached options have an expiry date of 30/9/09, so there may be some value with them. As this company has quite a few interests around the world and gold is still likely to move higher, along with other comodities (dispite the current doom a gloom sayers) I think on balance, its probably not a bad punt. Based on past movements in share price, getting above 10 cents seems likely.
MDS Price at posting:
0.0¢ Sentiment: Buy Disclosure: Not Held
