Money mine mention, page-56

Pulling a CR is not a small matter no matter how friendly the MD/CEO is to the board and the chair. A lot of data points and decision points go into it, and the board and the chair must be satisfied that (1) funds is indeed needed in the foreseeable future and for the right reason (2) other source of funding is even less appealing than doing a CR (3) the right/appropriate type of CR - placement, SPP or rights issue.

I once helped prepare the case and slide deck for the CEO to take to the board for a CR, and it was a CR that was absolutely necessary and long overdue due to the business being in severely negative cashflow. Even then, I've never seen my CEO that stressed in my entire time working in that company.

There is never such a thing as a perfect CR. When the business is doing well and the share price is rising/high, there is no need for a CR cos the business is generating lots of cashflow. When the business hits an unforeseen bump and share price gets smashed, it is usually when it needs to shore up its balance sheet or cash position. At the end of the day, most CRs are only done because it has to be done - regardless of price.

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