Makes sense given the state of play in the sector here and in Canada. Moreover, harder to appropriately fund new and exciting venture with constraints on the current purse strings (working capital etc.). I have some reservations though:
According to marketindex.com.au, there are over 15,000 shareholders in MMJ (click on the image)....now, not every shareholder partakes in a CR but blimey, how much are they looking at raising if capped at $15,000 to ensure equity for current shareholders? Minmimising the dilution?
If they were going land this news on weary MMJ shareholders, they could’ve provided further clarity in terms of how much they were seeking, surely? Further, I’m not sure the likes of WAM and AFIC or other LIC’s have their hands out due to poor market conditions? The writing has been on the charting wall for months (sector downturn)....so, JC if you come back to us in 2019 with a ‘prospectus’, it better be bloody transparent and suitably beneficial for the long term diehards.....free options would be nice and how about you buy some on market first?
MMJ Price at posting:
25.5¢ Sentiment: Hold Disclosure: Held
