Ann: Gascoyne Resources Update, page-35

Meanwhile back at Gascoyne ...

The DOCA Recap will be voted at an EGM on 5 August (shareholders can vote online) and if approved:

• Canaccord will be the Lead Manager
• the CR will be $75-85m at 2-5c/share
• if we consider a CR of $85m at 5c/share (one of many options):
• the Recap Placement will be up to $35m and the Entitlement up to $50m
• in addition to this $85m, Gascoyne will issue new shares to NRW ($12m debt-to-equity, $3m to Creditor's Trust, $0.25m to Richard Hay)
• under this option, and assuming NRW takes up its pro-rata Entitlement (8.58%x$50m), the NRW stake post-CR (pre-Consolidation) will increase from 8.58% to 10.84% (my calc)
• 
• at this stage, no Underwriter has been announced
• NWH could sub-underwrite (as per last CR) but would need to stay under a 20% stake (possible exit strategy?)

I think these calcs are okay ... but tricky when we are dealing with billions of shares!