There is no suggestion of further cap raising, its simply the limit they are raising.
I do have a it of a problem with Canaccord though. They were paid 4% of the recent cap raising, i.e. $125,000. PLUS 2 million free options that can be exrecised right now, and if so would net them a profit of $480,000.
That's a total of $605,000 for the cap raising of $3 million. Ie. 20%. That's right, the broker got an effective risk free 20% of the cap raising.
Given that the cap raising was done at 10 cents, and on the day of the announcement of a successful raising, the share price closed at 17 cents, its pretty easy money, too easy in my book.
This is what I have been alluding to in recent posts. The product might be good but the air in the boardroom seems to be a little stale.
The silence from the board, director share sales, and the very neat cap raising, needs to be positively addressed, if the bubble is not to burst.
I did buy back in for a few yesterday, but they are on close watch.
MNW Price at posting:
38.0¢ Sentiment: Hold Disclosure: Held
