yep its a cap raise.
this is surprising given they basically ruled out the need for a cap raise in previous quarterlies.
they will need to justify this by saying its for accelerated progress of phase 2 and / or lith hydrox plant.
the problem is that ORE previously stated that they wouldn't need to raise capital for phase 2 or the LiOH plant, so they better have a compelling argument or shareholders will be filthy.
cap raises can be good, if this will accelerate eps accretive growth, e.g. appen APX recently raised funds at a large discount to the SP for an acquisition and yet the SP went through the roof because it was seen as driving accelerated EPS growth.
will be interesting to see what ORE announces, but it caught me off guard
ORE Price at posting:
$7.17 Sentiment: Buy Disclosure: Held
