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You are nothing if not predictable CK. Give it a rest and at least consider the bigger picture.
Roll Up Roll Up !
Liquidity Shares For Sale !
What A Poor Effort From The Bod Placing @ The Bottom To Facilitate The Greedy Rich !
Daisy Did You Mean Well Done To The Eminent Family And Sophisticated Investors ?
Absolutely Stinks Imo !
Interesting day! My thinking is short term pain but long term gain. I do believe the board are working very hard to add solid value to the NAV but they also need to attract institutional investors on board to improve stability as well as creating liquidity on the ASX. The board certainly aren't negligently punshing shareholders by having their first placing for a long while. Some dilution yes, but that will be a managed trade off against long term gains IMO. July 29th is SFR Qtrly news so that should be informative re de Grussa + Botswana. Nickel on the rise as well as copper giving Armada real credence. Also with MTR, left of field news can come anytime. Congratulations to anyone who managed to pick up bargain MTR stock today. Chin up!
Can sell at 23.8 on HL now, so clawing our way back up, but still a bad start to the week.
I took some in this placing to top up my ASX holding, I agree the price was frustrating for existing holders (myself included), however I do think longer term this will be a good move and the dilution isn’t too big
Best Regards
MJ
Hydrogen. First of all, the facts. I am a long term holder and have nearly 730k shares; yes, thats nearly threequarters of a million shares. I am a lth and have no interest in either ramping or deramping these shares. I buy into the long term outlook but was intrigued by what happened this morning and was merely asking for anybody's views as to what/why. Your inference that what I reported as being ablt to but 25,000 shares at 23.4p was impossible seems at best to suggest I was misleading or at worst, lying. Neither is true. I got a solid quote from IG Index. Sorry if it doesn't accord with what you have been told but facts are facts. I hope I can continue to believe that you are a realistic and honest member of this Board who will accept a contrary view (or at least consider it). Please check my previous posts.
According the the last company report, there were 14 members of staff. Investing pays for them, but that's not always going to be the case and if that branch of the business restricts cashflow to the point of having to do fundraises then its a poor use of the companies resources.
Since Cobre and KLM are the companies dealing with the drilling, I don't think we need an MTR headcount of more than 4. SFR dividends are enough to pay for that.
Exactly Keith. Small silver lining that as H pointed out though participation of COBRE is a good signal (at 20% of placement) of confidence level for upcoming drill results.
If the board had their eye on the ball they would of sold some GGP shares and made enough to cover the cost of a placing. I thought this was an investment company - meaning they need to sell as well as buy. Once again PIs footing the bill of poor decision making.
Good point about the timing Geckos. If H is right (and I'm sure we all hope he is !) about developments over the next 4-6 wks, then why not wait instead of raising the money at 20p?
Bit cynical here but somebody's gotta pay Mike's salary!!
I'm not sure about the "staff" part of your post Jonfon, as my understanding is that there are very few anyway, but I agree about the trading of companies in the equity portfolio, not least because they are not infallible (not blaming them for that!) and have missed out on profits by selling early and there have been some disappointing investments as well.
My question is why now? Aside from ASX listing liquidity issues (which II placement does NOT resolve!!) why not wait until upcoming drill results hit.
How many staff have they got? How many can they cut? The trading pays for G&A and as per usual it’s a sideshow, why we continue to have this discussion I do not know.
The placing was not about capital but about liquidity and letting IIs on board and, I suspect, allowing the end to the share price manipulation.
I have commented here before about all the small cap trading this company does. It does turn a small profit but its very risky and has never made a material impact on the value of the company. The thing that will see this company go up in multiples is a big copper find. The A4 results show that to be a likely prospect. However, this (and possibly future) fundraises are diluting potential windfalls.
If they held onto the dividends received from SFR and used the small but steady flow of cash that would come in as they sold off the shares aquired thus far, the big prize would not be diluted. They don't want to do that because it would mean cutting staff, who they are clearly putting ahead of shareholders.
If you are unable to buy then this to me just furthers my suspicion that this is allowing the murky games to end.
The price isn’t nice. But would you rather I discounted placing or a mid price placing with three year warrants? Short term kick in the guts placing every day. Half the shares are taken by the family office and Cobre.
I have been in contact with the company. I’m not happy with the price but am content with what I have been told and when I wake up tomorrow nothing will I’ve changed in the long term outlook for this company. Plenty to look forward to.
H, you may well be right about this being a gift-but there's not much pleasure in seeing other people get to unwrap their presents when there's none for you!
It's the mealy mouthrf rhetoric in the RNS that annoys almost as much as the placing.
So a placing with " existing and new strategic, institutional and sophisticated investors " is going to " facilitate additional liquidity to the ASX quotation". Yeah, right. Either these are LT holders, or they are flippers who add liquidity (read:selling pressure). They can't be both.
Extremely lucky I held off addnl buying, and that I am in the blue even at 20p. But it still stinks. i had intended to ne a LT holder here, but will eassess that timeframe. That doesn't mean selling at these prices, of course, but it means a more active approach to my holding.
Thanks McNeilly ..Rogered over and out...
Hydrogen, I can buy 25k at 23.4p quite easily. I am a holder and positive but do not understand how this has happened and what the outlook is.
SMH ...
Great job of collapsing the SP, letting instis in cheap, shagging existing holders. Oh, and a nice pre raise interview to pump the SP just b4 collapsing it.
Some of the behaviour in these juniors beggars belief.
Metal Tiger Chief Executive Officer, Michael McNeilly, commented: “Metal Tiger is very pleased to welcome a number of new sophisticated and institutional investors to the register and recognises the continued strong support from our existing shareholders. The Board is pleased to note that an A$1.5m cornerstone investment was received by a pre-eminent Australian family office.”