Why do you think a cloud hangs over financing options?
They even had excess demand in the last placement and with this new deal, they're in a far better position. I'm waiting till the word spreads. IMO this stock will rocket in the not too distant future.
Excerpt from "2010 Annual Report - CEO Update"
Funding is critical to any mineral exploration company, so in 2010 a progressive recapitalisation program began as part of Axiom's restructure. Several private placements were executed over the year with the issue of shares. In line with the new board's strategy of prioritising shareholder value, all funding programs were executed at a higher price than the previous share issue. In June, Axiom even issued stock at a premium to the market price, raising $1.5m at 2.5c a share.
Axiom was determined to enable all shareholders to participate in this recapitalisation program and sought an exemption from ASIC to be able to offer a Share Purchase Plan (SPP) to shareholders. (Because Axiom was suspended from trade on the ASX in 2009, restrictions were automatically applied limiting the ability to offer an SPP). After review by ASIC, Axiom was granted a waiver and the board immediately offered shareholders the SPP in October raising $1.3m. Shareholders therefore had the opportunity to buy shares on the same terms as the private placement offered to professional investors just one week earlier,which also raised $1.5m. Excess demand from that placement was accepted with an extra $200,000 invested � after the total quota was first offered to shareholders through the SPP".
AVQ Price at posting:
3.1¢ Sentiment: Buy Disclosure: Held
