It seems Tanami will need to raise an additional $10 - $15mil to develop Kavanah into a potentially highly profitable mine.
In the past the board has raised money in two ways
(1) By borrowing money from the companys major shareholder at ridiculously high interest rates or
(2) By a rights issue at a substantial discount to the current share price and being underwriten by our major shareholder, he then picks up all shares not taken up at a price well below market value. This also increases his % holding in the company at a substantially cheaper price than he could buy them on the market. Not to mention he pockets the underwriting fee.
Our board have all been, or currently are, associated with this major shareholder through his numerous other entitys.
There is a few small shareholders who are following the boards movments.
I suggest the board act with great integrity for the benefit of all involved, (particularly the smaller share holder that can no longer afford another rights issue.
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