capital raising, page-40

If old shareholders hate this company because of what Richard Sciano has done ... I feel for you.

I traded the "old dog" GDN from 20c range but jumped ship when Richard Sciano announced that he sold his shares. The share price on that day as I remembered went from $1.20 previous close to $1.10 open. I dumped it in that day with most of it on pre-open. Don't know why people did not see this as a sign to get out. I also rode Lynas until their MD sold out at $2.12, this was a sign to bail. People who blame posters of Hotcopper for "ramping" ... well guess what why did you listen to it. Most importantly place a stop loss when you trade these kind of stocks.

AWD is now a new project and new objectives. Placement is 1.15c. This is the new entry for many people. There were those at 1.8c with free options earlier in the year. Yes the upside with this "dog" is probably just 3-5c+.

Blunt truth is that if you purchased at 20c+ all the way back prior to GFC then your capital base is probably never going to be recovered unless the drilling uncovers some miracle.

If you got these "dogs" at 10c+ then there is a very small chance it will recover to this.

Guess what ... the new board is not here to recover the cost base for the old shareholders. They are here to most likely look after the shareholders that entered 1.8c and 1.15c. These are the people that supported the company since they entered. These new shareholders are more likely happy with 3c+ (if results are good)

You may see these trade at 30c+ only on the back of a 10:1 consolidation.

Yes the old shareholders are going to be diluted to oblivion.

Harsh truth I know. Hard reality is better than dwelling on the past.

AWD was always going to do a capital raising. How did anyone think they were going to drill and develop their tenement? I was surprised that they did the capital raising now and that they did not wait till the spud began.