analysis suggests fundraising possibility

Any comments on what i postulate below are more than welcome.

Over the past week I've taken a deeper look into AGI and its accounts and even though I think that this one will go up substantially in the future and its price seems cheap at the moment, I now feel that there is a real possibility that this one could see lower levels in the near future. I say this for a number of reasons.

We all know that in the last financial year they had substantial losses. Their accounts indicate that they do not currently have the capital to sustain the new orders they have recently informed the market of obtaining.

I would therefore not be surprised if they were to impose onto their shareholders a capital raising exercise in the very near future.

If I had just successfully broken into the lucrative European market, I would obviously need capital to be able to build the stock required to honour those obligations. I can see no other viable strategy, and if I were the CEO thats what I would be doing. This isn't necessarily a bad thing, as using capital for expansion purposes is a positive step, it does however depend on the degree of that expansion and the speed at which it occurs. These are unknowns at this stage!

It also depends on what they will report their coffers are like at the forthcoming AGM. If they are still in the red, then the stock price will fall further especially if they have already announced a capital raising exercise, if they are in the black, then the stock price is likely to rise substantially.

These are only my views.