anotherserf you said-----"Nobody is complaining about a 15% mates rates discount at cap raise "
We have all enjoyed the rise, but at the time many existing shareholders were reactive, see the posts on HC the day 3 Aug "Lanthanein completes $1.75M placement " , comments like "not a happy camper" and there are so so many comments like these there ! So ----
There would be a number of loyal shareholders that held shares and all of a sudden found the SP at 1.5 cents ! We saw holders such as BlueskyBaby say here he has sold on such a low CR announcement when the company apparently did not need at the time and he alone took a 50% loss on his investment ! So i think we can assume there are others !
Now i see there is not one top 20 shareholder that is in the list of the top 20 new options list, the ones who got the attached placement shares to those options !(see two comparable lists end of post ) !
My main point is, why did the directors contact a broker when the price was so low to then issue shares to non shareholders at 1.4 cents plus existing options, when they could have waited and got a much better price and less dilution for us existing holders ! We now find ourselves with very close to 1 Billion shares on issue because of all this, 962.8million shares to be exact ! And not that much cash when there ius drilling programs ahead !
To be fair on management, I know LNR are not alone in this situation, the small cap are is a difficult one and exploration is a cost intensive activity!
As i said earlier, the placement had free attaching options, so the top 20 option holder are the ones i presume received the 1.4 cent placement shares, not one existing Top 20 LNR holder participated !
Now, to be fair, management have not had the chance to prove anything yet, and as shareholders we may have not seen what directors had seen in the cash verses how much is needed to conduct the coming drilling program, so moving forward they may well be successful or they may not, it is all yet to be seen, so i wish them the best of luck for themselves and us holders !
Existing shareholders have gone through ups and downs here, which is of course part and parcel of penny stocks, and this was clearly evident in the small group of shareholders on HC voicing their concerns when the LNR price was at 1.5 cents, and more so on the 3Aug when this cheap placement was issued !, Lets hope FNT/LNR can finally achieve something, because for FNT it has been years and of nothing really, i am hoping for a new dawn, with the new LNR ! Good luck to management and holders alike !
LNR Price at posting:
4.0¢ Sentiment: Hold Disclosure: Held
