Nice idea - but if we even get an SPP we should count ourselves lucky!
NEN will want certainty and a quick raise - and unfortunately - that means little old shareholders miss out unless you are a "sophisticated investor" and can pick them up through your broker who settles DVP!
As I have proposed all along - a CR in the 35-45c range is OK for us - because that means the price will have rallied to 40-50c VWAP (meaning a $200-$250M pre money market cap!). Post CR should then see a sure but steady rise as the project becomes better defined (size, appraisal and development plans, timing etc.).
I hope the CR is at a higher price - I really do - but I am not confident it will stabilise at a significantly hight price for long enough to maintain a VWAP that investors will back. Again - the placees want the stock as cheap as possible and won't be buying on market pre-CR to support the price - unless of course they are already in - in which case they might.
I really hope I am reading it wrong....but so far the SP has performed even worse than I thought it would. Some agree that marketing thus far has been poor and I reckon it is about 75% of an MD's job - i.e. managing the market. He has staff to do the rest. He will/should know exactly who is selling and be calling them on a daily basis, plus of course finding those new buyers we need.
I just hope they have enough cash to see them through the testing....and then post testing KC and/or Stein hit the road with a vengeance!
The trouble is - it will then be the Christmas and NY break!!
NEN Price at posting:
33.0¢ Sentiment: Hold Disclosure: Held
