At current cash burn rate, and if MAE spends the $50K on development as promised, MAE will have $9K left on 1 June 2010. A date I am sure the ASX has worked out.
Had a look at what happenned to SSN for comparison sakes. SSN had only $500K in outstanding debtors and all were paid as they came due. While SSN did breach its repayments to the bank it had already announced the 6:1 Cap raising.
They need to get a 4:1 Rights issue away at say 2.2c, and probably need to offer a 4c option for every 2 shares to get this away.
The only white knight that may emerge is a company willing to underwrite the Cap Raising..
Interesting week or two ahead
MAE Price at posting:
2.8¢ Sentiment: None Disclosure: Not Held
