Hi Jojo,Thanks for the reply. I appreciate all of your points...

Hi Jojo,

Thanks for the reply. I appreciate all of your points and it has cleared some things up for me.

However, my way of looking at it is a little more simplistic.

Let's say I've bought a new house on a new development. Leaving aside the idea that I might just live in it, let's assume I also bought it as an investment.

As the development gets bigger, the developer offers a 20% discount to all present owners on the estate. If I were to buy one of these at the discount price, I've immediately devalued my first house down to the discount price because new customers will be reluctant to accept the original price.

This is what's happened to DML shares.

Whilst I do understand that an increase in shares placed is a dilution of my holding, it's also now a smaller slice of what will be a bigger pie. (ie the company is expanding and growing)

With a volatile stock like DML a discount price on a share issue like this is a bit of a poisoned chalice.

I like the company, and I want to stick with them for the longer term, but I find it difficult to get excited about share offers like this.

All the best

Collingwood7