tradeable rights issue asx code: frer, page-32

Sparkler,

I did a lot of DD on the newcomer, spent quite a bit of time on it actually.

Amongst the many articles I read, this one provides a quick snapshot.

http://business.smh.com.au/business/why-saville-is-hanging-in-there-at-erg-20080130-1p34.html

My guess is that they had a great investor presentation and given the small amount of money and the fact that a company like FRE fits their investment criterea that they just went for it.

I do not see them adding any value or in fact even having any particular game plan here other than a hope that the SP will rise. Instead I believe that FRE will continue along the way it has been, SP will tank, cap raisings, etc.

Good luck on your punt, my recommendation is take profit at the first sign of it.