Ann: Red Mountain to proceed with earn-in to Mokabe-Kasari, page-183

Why?
The findamentals were all speculative with 5? Extensions on DD.
The sp top is generally what the stock is seen to be worth as a whole assuming whats announced is in the bag. 011 was an acurate mc based on what the company had and the stage of DD assuming when finance was being entertained that it still had not completed it to the companies satisfaction.
The DD could have been hung for the extra time it had maybe because an investor still had not been found at the time.
If they had of used cash on hand to proceed any sophs would laugh because by then they would know exactly what they would be getting into instead of speculating. It may have been better for shareholders but it may have caused 2 cap raises. 1 for operational costs of the company to proceed and 1 to fund whatever stage they ran out of money at aswell as fund new potential investments.
This was the best move for all involved. And just because it wasnt ideal short term they stated it was vwap up to september not including the trade after.