CGT castlemaine goldfields limited

Count for what purpose?EV = mkt cap +/- cash or debtSo you count...

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    Count for what purpose?
    EV = mkt cap +/- cash or debt
    So you count all cash unless it is netted off by debt.
    If cash is spent wisely EV should go up.

    In CGT's case I'd expect a bounce on this plan being announced because the EV is just too low right now relative to what the business has in assets and prospects. A lot of people will have lost faith but many of them will have already sold.

    CGT is going from 150m shares to 315m shares with extra $15-$16.5m cash (depending on fees).

    A 15c sp = $47m mkt cap minus $15m cash = $32m EV about double now. So maybe 12.5c to 15c about right as a starting point next week?
    10c rights will look tasty if it bounces back to these prices.

    People who bought prior to the 7 November have been smashed.
    40c sp = $126m market cap - long way off and would require aim good
    production results over 12 months.
 
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