Their net position has increased by just over 58M shares so most are comfortable this is motivated by something other than reducing their exposure to PEN.
Voting power reduced from 19.75% to 18.5%. One school of thought is they need to reduce share to open space to participate in additional capital raising. Not that this is planned though, PEN have been quite clear their strategy now is to fund the mine construction with debt finance. However, the associated $20-30M rights issue that will be offered to shareholders with the debt financing and SML announcements will need to be underwritten by someone. PALA may be creating space to do that without a technical default situation where this results in more than 20% shareholding.
Today looked like a day where Citi (PALA's nominee) did nothing, hence the very small volumes. Next moves unknown?
What's your own investment perspective here buc?
You could be part of the next ASX uranium producer too.....
PEN Price at posting:
2.1¢ Sentiment: LT Buy Disclosure: Held
