Ann: A$40 Million Share Placement with Strong Support, page-25

It IS criminal. The companies legislation states that is the prime duty of directors to always act in the best interests of the shareholders. It followsthat to NOT do so is a crime. To raise a lot of money (more than needed) at by giving away shares at a huge discount to an established going rate for shares when there are clearly other ways of raising money that are less detrimental to existing shareholders is criminal. Northern Australia fund for instance offering, offtakers can support, shareholders would take a 1 for 4 at a higher price (around 15), which would be fair to all.
When will the idiots managing many mining companies ever learn. Giving away shares to mates of Capital raising businesses is harmful to shareholders? Hundred times this year I see an offer to F* sophicates at 20% below market. That effectively says that that is what the directors think the company is worth. It becomes what the compay is worth because so many of the socalled sophisticates sell at that price,or lower. I suspect many are in for money laundering, and so a small loss is part of the process of cleaning dirty money. Then it becomes a death spiral as those holders, and anyone watching, caught by such a dump are not buying that company again. And the next Capital Raise will be lower again.
It all goes to show why Australian mining shares are single digit cents by several billion shares and are joke. Elsewhere refered to as the Australian disease..