bright future, page-25

well mn, it depends what they do with the money.

If they just sit it there, well then yes EPS may be less.(although if it is sitting there it will be earning interest I would assume).

But if they expand into another project that provides earnings, then that's fine by me.

What I call dilution is when your share price is (say) $1.20 and a company does a placement at $1 for "working capital purposes" - ie to pay mgmt wages, then that is total dilution. I don't think that applies to NZOG's current situation myself.

But to get the share price up to NZ$1.50, whereby someone puts in hard cash at that level, and assuming they have a plan for that money, then I really do not have a problem with that. In fact I welcome it.

I suppose it gets back to your original point of do you trust the mgmt to do a good job with the money. I say yes they can, but you are less trusting perhaps.

Anyhow, it could all be a moot point as we are still some way from the exercise.