Forgive me if i'm not yet keen to jump on board and throw my hat in the air in joy at the success of what was ultimately a poorly-timed CR, despite much foreshadowing of need, done at huge discount to both our VWAPs and ultimate value. While a raise was clearly on the horizon for some time, management appear to have been blindsided by delays which in my view have been readily apparent. Aside from the considerable dilution, we may still find ourselves in a situation where we again have little cash in hand ahead of financing, should ML situation drag on for 3 or 4 more months (as well it might).
But anyway, we required a CR for the % and the closer we got to the date the more pressure we wouldve been under - so i can't dispute the need. Also, the raise could have had a worse outcome than it seems to have had. However, I will hold my judgement until I learnt the identity and nature of our new investors. Easy in this day and age for a 'European-based' or even Australian outfit to have very different ultimate origins and priorities. And at this stage I have to twke NF's 'high-quality institutions' with a grain of salt, given what ive seen of some other of his standards. If these are actually quality european / NA / Australian outfits, who are actually interested in being long-term partners (rather than washing through their shares for a gimme 25% quick profit) then I will certainly be more pleased with the result and will deliver praise where its due.
Tim will tell :p
Also, hasn't it been interesting watching the mood swings and attitude fluctuations of some of our more excitable brethren here in recent days?
AVZ Price at posting:
15.8¢ Sentiment: Buy Disclosure: Held
