sale of the century

Lets look what happened. SP $1.10 late July. (was over $10 6 yrs ago). Early august 2013 CR (12m @ 70c) saw SP tumble fast to arund 60c mark. Mr Mkt didn't like company's prospects and put SP under pressure and price went below 40c mid Nov. Bargain basement buyers (myself incl.) came out and pushed SP into mid 50s in mid/late Jan. On FRIDAY 17/01 company ann refinancing/debt reduction deal and said:" This has material positive cashflow implications and the financial pressure on the business has been substantially reduced". "This new facility will provide significant cash flow benefits to BOTH projects and leaves Paladin in a MUCH STRONGER financial position." (my emphasis) Vols rocketed into 20-40m range! (prev 4-6m)Meanwhile myself and a few others advocated company do a CR at 50c (with holders not just funds) but company and most posters weren't interested.

Then despite all the warm reassurance on FRIDAY that company had plenty time to find a buyer 'for a stake in the world class LH mine'.... MONDAY 19/01 PDN ann the gift (sorry sale) of 25% of LH to a Chinese buyer. SP held-up mid-50s for 3 sessions but since then has plunged closing at 43c today. Plus the Malawi mine has been shut down. Seems to contradict what management told holders.

So exactly one month later SP back to low 40s, 25%=BILLIONS of dollars of U308 over 25 yr mine life from what PDN management describe as 'world class modern mine' the only one built in past 11 years.

Result: Shareholders seem relatively unperturbed. Seems only winners are traders who hold for minutes/hours let alone months/yrs. I too traded this stk and sold after my holding after a couple of weeks. I sold due to lack of faith in management. I still believe U308 has a big med/long term future and LH is indeed a top class mine. Seems to me med/LT shareholders are always the last to benefit.