I do agree with your line of thinking Theinc, but the placement was certainly no excuse to sell. That said, the sell-off should be short lived since the fundamentals of the stock remain intact. What we need now is a technical correction, and the sp should be back trading over 30 cents.
I too would have preferred management to wait until at least the metallurgical results are finalised and digested by the market prior to any cap raising. You only need to have a look at the $24m deal struck by Arafura with Jiangsu Eastern China to appreciate the benefits of cornerstone investments. It was certainly well received by the market and loyal stakeholders.
The CAPEX, OPEX and everything else to do with Highland Plains should attract international recognition. For my mind, the only material need holding back POZ now are the metallurgical results which, if favorable, should hopefully be the catalyst for striking a 'smarter' deal.
POZ Price at posting:
20.7¢ Sentiment: Buy Disclosure: Held
