Yes it does seem a little ridiculous selling below issue price at this level. In fact, I'm somewhat surprised that they didn't attempt to pump this stock a little on speculation in the lead up to the March Qtr project outcome. However IMHO I wouldn't necessarily refer to their selling at this level as "desperate". My guess is that since the 550m placement there has been roughly 50m sold at 0.2c thus anything above this price would have had a nice premium attached. Therefore whatever they've lost at these levels would have been easily covered by the selling at the higher levels. My guess is that the SI's were always hoping to dump well before March Qtr projections were released.
I just hope that these guys have finished dumping soon and that they're well off the register before any further announcements - good or bad.
In fact I have just managed to get hold of the share register and from my initial observations, I have no doubt that today's dump and the recent sell down was those SI from Melbourne Capital. Without disclosing too much detail about the regsiter (I'm not allowed to under s177 Corp. Act) IMHO what is comforting is that there has been little change to the top 20.
Interesting to note that even though both placements underwritten by Melbourne Capital do not disclose who their "professional investors" were, after a few minutes on google [disc: NOT obtained via share register], it wasn't hard to work out who some of them are. One in particular, who has already been disclosed in the Top 20 of MMZ last annual report, is Mungala Investments. I also found [via internet NOT the share register] that the director of this company is Angus Edgar, who FWIW is also director of a company called Transol (ASX:TNC). This company is a provider of software/technology and also mining. Mungala is now the largest shareholder of both companies! Not too sure if linking is relevant??? Interesting that no substantial shareholder notice has been released. I'm assuming this is due to further take up via Melbourne Capital?
My guess is that the March Qtr projects will be delayed and we will see another smaller raising via Melbourne Capital for say $200K-300K. Could Edgar be the beneficiary of the new shares? Could they be keeping the price down to obtain a larger holding???
