Oviously the placement went to one of the Fortitude lads whos not on the CVI board. Hence why they are pumping some of the cash back into Fortitude.
Who cares what what price you pay went your getting the cash back. Just use the difference for woking capital.
ie buy $2mill of CVI stock at 10c. Sell the stock out at 5-6c ie $1million cash. CVI now buys $1mill worth of Fortitude and has $1mill for working capital.
Only losers in this are the exisiting shareholders via exessive dilution as Ive mentioned some time ago.
Cheers, The Sparkler
CVI Price at posting:
5.3¢ Sentiment: None Disclosure: Not Held
