A 10% drop in the share price tells us that things are not...

A 10% drop in the share price tells us that things are not looking good at BFC.

KCG has BFC by the short and curlies now. After signing up for a $10 million share issue at 9.65 c, the due diligence has obviously rung the alarm bells at KCG. The market has lowered the share price to 5.6 c, showing KCG that they have saved a considerable amount of money by not rushing in to take up the share issue.

Where to now? Will KCG keep the $10 million on the table but demand an issue at 5 c? They would then be entitled to a 20% holding. Would that be enough for them to have a say in the running of the company? Will they wait for the demise or the eve of the demise and pick the whole company up for a song? And what about the NAB? Were they promised an injection of funds would come from this Thai food conglomerate?

Surely, no Australian investors or institutions would go near this company in its current state?

I would dearly like to be wrong about this but the 10% drop today has me quite concerned.