RE: You are in this share24 Apr 2019 14:22
Kashdog - parts of you post stand up to scrutiny, however you need to understand why AST has no debt.
It has no debt as do the majority, of these small cap AIM shares for a reason. Hard nosed Bankers, tend to want to protect their clients deposits, and as such generally set a high bar before advancing monies. They tend to delve dip into the past accounts, to understand cashflow. ( here AST is bleeding money on a monthly basis ). They will also wish to see a minimum of a 6 probably 12 month forward cashflow projection. As for security - regrettably all AST has is the asset in the ground. Which its presently bringing to market at a loss.
That's why projects such as these progress by fund raising, which generally come with dilution to pi's holding long and strong. It's a necessary inconvenience.
Traders will trade this share on any good news or rumour, selling into spikes, which will more than likely hold the sp within a trading range somewhat below, the averages required by many to escape.
It's just the way it is, I'm afraid.
Reso has regularly covered the effects of dilution, it might be worth looking at his posts on this subject, but in board terms, with the extra shares coming on board on a regular basis 0.25p - 0.7p could be the new 2p - 2.6p, if that makes sense.
Maybe something will come to pass, and there will be a major break out, but whatever you get out price is, just assume there could be many other pi's whose b/e is just slightly below yours, do you think they will hold if they get a chance to recover their money?
G
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