rmx on 25th feb, page-51

The reality is Tiger, that RMX got some excellent results that pushed the stock to 3.4c with huge turnover.

There was plenty of interest in this story.

So what do they do.

They go and give away shares at 1.7c to protect their own backsides. And not only that but they issue more shares because the opportunity was there to do so.

Now they have plenty of loose stock in the market and people who got this stock can now sell it and walk away with a small win which effectively creates lots of pressure on the current share price.

Had management been confident that they were onto something really special, they should have done the capital raising at no less then 2.5c and not gone for the extra spp and I doubt very much that we would now be seeing the selling at 1.9c.

There is an old saying "" Don't bite the hand that feeds you.''

When I questioned management about this Mr Dugdale said it was a board decision that he was happy with.

Well of course he was happy. He has secured his job for the next few years knowing he will be paid at the expense of shareholders.

Until he needs to raise some more money and finds that the investment community will not be so gullible next time round.

The market tends to have long memories.