Ann: A$100m Institutional Placement, page-132

So many posts, can't read all. Like many, I don't like seeing SP down and was surprised by the TH. Having said that, we now have $100m (fully written) extra. The SP has changed but the company is still the same as it was two weeks ago, plus $100m to fast track developments to bring profit in sooner. It's better to turn the deposit into cash sooner than to have it sitting in the ground longer. The company now have extra working capitals without worrying about interest rate rise. The company can identify more targets quicker and increase sales. The SP will rise accordingly and the CR will soon be forgotten.
Some shorts will benefit from the CR. If their aim was to sell to $1 the company just took 10c away from them. The other thing you may want to look at is the 6months EMA, it's around $1.05. If 1.68 was cheap than SP $1 will not be around for long. Soon you will be talking $2 and $3 again.
Everyone is talking about miners not building fast enough, this CR is about doing just that. Many will increase their holding knowing SP will pass recent ATH in the not to distant future. The demand story hasn't changed, hence institutions bought so quickly.




nstitutions have both investment arm as well as hedge