Do you think it is a BIG red flag that the existing directors (James Garton, Mark Nagy & Guy Burnett) are not investing in the rights issue?
You can see this on page 63 of the prospectus. I find it strange that they are asking existing shareholders to put more money into the company and they are not investing themselves.
The directors are the insiders and usually have the best idea of how the company is going so by not investing in this capital raise is quite alarming.
Maybe they can see the writing on the wall and they may think that once Mr Anthony Hall comes in at >20% they may expect to be exiting the company. They definitely have not covered themselves in glory for the last 14 months, destroying so much value it is crazy.
E33 Price at posting:
3.7¢ Sentiment: Hold Disclosure: Not Held
