"I dont get why they didnt raise at higher prices"
That is the big weakness in this company [imo]... the management wants to keep as much ownership of the project as is possible.. So they prefer debt [even at high rates] to being diluted in their control [as I see things].
The plus is... they must be very, very confident they have a winner here [as opposed to the usual story that directors can't wait to flip their stock to the unwary].
The negative is... it will radically crimp the possible growth profile for the company... growth has to be financed from cash flow [once the facility is fully drawn]...
So the insiders must believe their own numbers on the profit margins. But it is a stupid business philosophy in my mind and reeks of petty greediness in attitude. To maintain control they risk being chronically underfunded and the growth will be a pale shadow of what it could be. I think, down the track that is what they discover... how they handle it when it becomes obvious will determine how much I want to keep holding this.
IGE Price at posting:
13.0¢ Sentiment: None Disclosure: Held
