I for one was disappointed that guidance on not needing money from options or raising to complete C10 was wrong, never corrected or apologised for. Those I speak with, knew my shock when he released that, as my own figures, we discussed in our small group of fellow morbidly fixated travelers , showed we would be short on the last payment and mine were produced much earlier to that announcement.
Then again getting the options up seemed a better course than the deep discount to Regal, Bombora when the share was in uptrend. I said enough on here about it at the time. It is my belief that when they realised they got the numbers wrong on meeting C10 payments, they took the raising offer to cover their bases, as getting options up means having to put in a strong investor relations effort. The fundies use much better people than me, so I reckon they saw the gap as well, so had a raising negotiation upper hand.
We had the big overhang caused by the Regal dump, with some clean up a lot lower down by insiders. The damage was done. Now newer holders (and some of us he could still afford to buy more) may have done alright from that. However, it is not how I like to see things done, as we lost quite a few long termers at that point. It is one thing to lose money on a gamble, it is another to be burnt by an avoidable mistake.
Given we have made no acquisition in the interim, extending the con notes was interest for nothing. To my mind a free look for 9 months at much better than bank interest. I voted against their extension.
I thought the director options issued at consolidation time was poor form. The AGM is the proper place. It just happened to coincide on the back end of the overhang. Seems very unfortunate timing!!!!
I've seen the mistakes and I hope Gregg can rectify that, if any good comes from that raising.
Saying all the above and not even going into TSI (that's another thesis), we now positioned in a decent place, with a good capital structure. It is no good having the best balance sheet, if we don't find a way to leverage it. The next deal for me is make or break. This time it has to add value to shareholders and be done on good terms. The company may continue whatever happens, but credibility wiil play a huge role in whether it builds high or remain on also ran.
