good money after bad ? , page-9

Farmboy I'm not sure if anybody is going to pay up more than 10 cents for the rights unless the company brings out unbelievable news in the ensuing period. That would still mean the company and my holdings have been diluted.

I'm not sure what your asserting to in these posts, if your so bullish about these types of raisings why is it that the company asserts to it in a way that basically means that if you haven't got the funds to take up all of your holdings then you will probably be worse off. Will see if things pan out positively after all the dust settles but, in my view the jury is still out on this being done in the best interest to shareholders who can't afford to pay for the new shares

Dan, I'm quite happy to explain it to you in a peaceful atmosphere! Step by step.

1.I'm not sure if anybody is going to pay up more than 10 cents for the rights.

The righs price as I write is 2.1 cents seller.

2. if your so bullish about these types of raisings
Its not a question of being bullish. It is pure artihemetic, mechanical numbers, facts.

3.if you haven't got the funds to take up all of your holdings then you will probably be worse off
If you have not got the funds and you sell your rights, your shares will be at exactly the same price as all other shares.

Take it from, an old, hand, the dust has settled, you will not be worse off by virtue of the issue at all. As long as you don't sit there and do nothing. Either sell your rights, or pay the 10 cents application money for your new shares. But whatever you don't do nothing! I was shocked that ayone would do that and then complain.

It is a jungle but not everybody is out to get you. The only way you will lose money is if the company does not deliver the goods, with or without the issue.

We're not talking about the merits or otherwise of the company per se, that's a different matter.