The way share prices of small cap companies move is a joke. People keep buying and selling shares based on past price movements. It has been going down, so sell sell sell. It has been going up, so buy buy buy. When too many people do it, buying on fundamentals seems futile. With EM2 it went up like 10 fold when the debt associated with the mine was already there. The threat of a cap raise has always been there. Yet it has come down like 95% from its peak because?
I think Bass didn't raise money the last time at around 10c because it was too low and it would be dilutionary. He decided to lend money instead, which could be converted to shares later. I wonder what he will do now, given that the share price is even lower. Mason keeps talking the talk but he doesn't walk the walk when it comes to buying shares on market. Only recently, he said it was an exciting buying opportunity when it was at high 6s.
EM2 Price at posting:
5.8¢ Sentiment: None Disclosure: Held
