UNPOPULAR OPINION so bare with me
positives
1. yes MGT have one of the last major iron ore finds in AUSTRALIA, there's no denying that
2. yes they have the backing of the government
3. yes this on the surface looks like an incredible company to be involved with
NOW
probably what you don't want to hear but you should if you like your money $$
I have added the latest massive successful cap raises, 2021 was the year of the highest ever cap raises, the market has dried up, so good luck finding 572 mil post bull run and semi post pandemic or whatever it is now.
also I have highlighted that very very little capital expenditure has been committed to
1. do you know that MGT was previously known as ROY and they have been sitting on Razorback since 2011, yess 2011 and they're still trying to make it happen, without success.
2. not one person has yet been able to provide an understanding of how much royalties would affect the SP if the government partly fund or help facilitate.
3. I don't think anyone truely understand that 572 million dollars for a company that's A bit behind the bar on real institutional investing attraction is a far stretch, hear me out.
most if not all new large scale iron ore or magnetite producers are looking at "greener" ways to do things
for example all you have to do is look at MGU or FMG to see how you attract proper funding because the plans involve a green approach, a high end product and a sustainable future all rolled into one basket. they use bio mass and are committing to carbon neutral production ect.
the real companies who look at adding little to no dilution understand how to get these projects off the ground using institutional money, because their project sells itself.
MGT just keep issuing shares and options and no one blinks an eye lid and the company seems to keep rolling past 100% over its intrinsic value. the options alone that have been issued will cause serious problems if they're ever converted, the dilution on retail going forward is just insane.
what MGT have done is set up a retail train, hoping everyone will jump on enough to contribute to an overly diluted train that is supposed to start in another 4-5 years.
(20min delay)