No need to be perplexed about the 'intended' rights issue at all. Its just the stock standard anti-takeover shield for paranoid autocrats. DGR pulled this one when Sandon requested the register and has done it again with Westside. But here's the fine legal print. A company cant announce and undertake a heavily discounted rights issue during a formal takeover bid; but it can undertake one if it has announced its 'intention' to do so BEFORE it gets a formal bid. The other legal point is that these 'intentions' are only good for 6 months so DGR must reload...that's why they very clearly pointed out the dates of the last notice of 'intention' in early April and re-loaded it...oh my god, what do you know?...just under six months later. Amazing coincidence? Bah!
Its also round about now that NM and his very, very close 'friends' at Tenstar should be picking up more stock (they picked up nearly 2% just after the Sandon 'scare'. Classic anti-takeover reaction for the less than secure.
But the key point here, especially after the heavily conflicted AJQ/DGR loan proposal (no true independent director of AJQ could agree to those terms especially as they are so much more onerous than the loan to Solgold), as well as another $944k spend on admin in 1 qtr (WTF!!!), is that major shareholders have expressed their ultimate frustration and put their stock up.
The whole group is a case study for conflicted interests and actions that are certainly not in the best interests of non-associated shareholders.
Cheers
DGR Price at posting:
3.8¢ Sentiment: Hold Disclosure: Held
(20min delay)