Agreed, that was the ruling. Its not being glossed over, rather...

Agreed, that was the ruling. Its not being glossed over, rather discussed at depth.

I guess situations like this is why the asx changed the rules in relation to the countless RTOs at the time, even if the rule changes will stifle innovation.

Still EFE capital raise highlights that not much has changed and perhaps GTT just didn't quite get it right.

Here it is:

Eastern Iron Limited (the “Company”) has agreed terms with Placement Agent, Kaz Capital Pty Ltd (ABN 15 142 401 429, AFSL 384738) (“Kaz Capital”) for an offering of 71,464,433 fully paid ordinary shares (“Placement Shares”) to various investors to raise $600,301 at an issue price of $0.0084 per share.

Subject to shareholder approval at a general meeting to be convened, one attaching option at an exercise price of $0.01 per share and a term of 1 year will be also issued for every two Placement Shares.

Following the issue of the Placement Shares and the Board changes outlined below, the Company will launch a 1:4 Rights Issue (“Rights Issue”) to all existing shareholders to raise a further $750,377. Kaz Capital will underwrite all shortfalls if shareholders do not participate in the Rights Issue.

An agency fee of 6% of the total raising including Placement Shares and the Rights Issue will be paid to Kaz Capital.

Immediately following the issue of the Placement Shares the Board will appoint two directors nominated by Kaz Capital.

Following these appointments, Mr Steve Gemell, Mr Yungang Wu and Mr Michael Giles will step down and the Board will elect one of the two Kaz Capital nominees as Chairman.

The purpose of the capital raising is to fund the Company’s continued search for a resource project and/or develop its existing project as well as general working capital.

Chairman of the Board, Mr Steve Gemell said today: