institutional placement - rip off , page-2

Here is my suggestion for companies seeking capital.

DO NOT ISSUE SHARES AT DISCOUNT. Instead offer options or free shares to the insto investors (value equivalent to fees to be paid or whatever compensation is required). Raising c$40M equity and in the process destroying c15% of $300M mkt cap makes no sense.

I dont believe share holders will mind an additional 10M shares (equal to c$6.8m) being issued to insto's who should be made to subscribe at the last traded price.

Win win situation