Saw this one too...crazy bad! hahaShould be a limit on discount...

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gtrade

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16/02/23

21:09

Post #: 66297222
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Saw this one too...crazy bad! haha
Should be a limit on discount to CR price?....but that could just provoke more outrageous pumps into a CR?!

Hhmmm lots to think about there....Very interesting and important topic if you are attempting to trade the speccies

We used to have a topic of discussion on the weekend thread maybe we could do that again?

Hard thing i guess will be extracting the info from the informed!! prob not really keen to share....

Originally posted by Malaga: ↑

Dirty Deeds Done Dirt Cheap. I thought EX1 was the reaming of the week BUT today TMZ announces a cap raise.
HIGHLIGHTS
• 1 for 1 Fully Underwritten Non-Renounceable Entitlement Offer to raise up to $1.74 million
• Each three (3) New Shares applied for to come with one (1) free accompanying option
(exercise price $0.02 each, term 4 years)
• Issue price of New Shares of $0.002 is a discount of 89.4% to the 15-day VWAP of $0.0188
and 87.5% to the last market price of $0.016 to encourage maximum participation by existing
shareholders
• Funds raised (after expenses) to be used across the Company’s existing project portfolio, to
review value accretive projects and for working capital.

Lesson be careful of companies low on money,
I like MLS due to having $16mil in cash, not sure if management are up to it, very slow progress on a few very promising projects.

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Originally posted by $$$$$$$$: ↑

That was shocking.
Why ASX listed companies do this makes no sense:
Their own shareholders shares are worth less so they can be offered cheap shares?
The MC of the Company is decimated, Wiping Millions off the Companies MC and making Management look Bad,
People lose faith in management as why the heck would anyone raise at such a discount....

Happens all the time on the ASX often the Day of a Pump.

When they could have waited a week or two to get the VWAP up,
And raised at a better price,
Which is good for them, the Company, It's MC and Shareholders.

ASX and ASIC should not let such discounts happen....IMO....

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Last edited by gtrade: 16/02/23
1 Upvote

0 Great analysis

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