the total gandel takeover, page-6

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$5mill at 2.7c well done!!!!
If i was the underwriter, in this market, i would have asked for 2-2.2c at least. Some companies have been discounted 30-50%.
I am taking up my share issue
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A cynical person may suspect that this is being orchestrated for the benefit of a few to ensure a good fundraisng shortfall, however I am not of this school.
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Of course it is, previous capital raising went straight to institutional investors and Gip are in a much stronger position now with the success at Heemskirk.

http://www.gippslandltd.com/announcements/documents/ASX_101001_Capital_Raising_$3200000.pdf

Gandel is not dumb so he is hardly going to discount down to 2 ? 2.2c level as he would get a flood of people taking up their rights.

Its been pitched at a level Gandel thinks he can clean up by underwriting but not cost him much money. Also dice loaded to make it more unlikely in other ways.

The Company is of the view that it is unreasonable to make an offer under this Prospectus to Shareholders with a registered address outside of Australia, New
Zealand and the United Kingdom ("Excluded Shareholders")

Eligible
Shareholders with registered addresses in the UK exceed the ?2,500,000 threshold, then all such applications for Shortfall Shares will be scaled-back on a pro-rata basis
to ensure that the ?2,500,000 threshold is not exceeded.

Whole thing is unnecessary, company could get a loan against the alluvial tin with Heemskik as security from a bank. After all it is already talking to banks over Abu Dabbab and this amount would be peanuts in comparison.

Strategy Update
The Company is currently investigating and conducting preliminary discussions with a number of financial institutions in respect of seeking proposals for the provision of early stage 'bridging' debt project financing to develop the Company's Abu Dabbab Tantalum/Tin/Feldspar Project in Egypt.

What is happening with the alluvial tin anyway, have they got lost in the desert? What?s happened to the long over due update?

I understand where cso1 is coming from but not others. Huge opposition at Gandel grabbing half the company but 35 to 40percnt OK?

So getting mugged is all right if the mugger leaves you enough money for a bus fare home?

Robert