looks like capital raising is on the cards for surebased on...

looks like capital raising is on the cards for sure

based on current gold prices a $2bn equity raising will bring debt down to 15%

NCM currently has about 764m shares

It could then do something like a 1 for 4 rights issue @ $10 ie about a 20% discount

that'd add 191m to the total ie 955m

consensus earnings '14 = $600m
$600/955 = $0.63 eps
PE = 18
18 x .63 = $11.34

So I reckon we'll get a 1 for 4 @ $10 and the price will drop to $11.34