I find it very disappointing to see that the MEC Board under the chairmanship of Goh Hock (11 years in the role) have decided to have a second capital raising (Rights Issue)in under 12 months. The last Rights Issue which opened last March not attract sufficient funds at 2.8 cents and failed to be fully subscribed, yesterday that were trading at 2.5cents.
I see it as highly unlikely that many shareholders will participate in this latest SPS because it will further dilute the value of the shares they hold.
Also in yesterdays release I note that the timeframe for the 2D seismic survey has changed and is now scheduled for Dec/Jan 2008.
Also in the release they talk of the board looking to diversify the company's investment portfolio and speak of an exciting year of development.
Before I consider investing further funds, I would be extremely interested to have a better understanding of the change in direction the board is considering
MMR Price at posting:
2.8¢ Sentiment: None Disclosure: Held
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