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Ann: Placement Advice

  1. ASX News

    89,617 posts.
    • Release Date: 29/02/12 19:57
    • Summary: Placement Advice
    • Price Sensitive: Yes
    • Download Document
  2. qantum

    1,747 posts.

    Well , it looks like all the ponies are lined up in the starting gates now ready to be released .

  3. ditto..

    1,910 posts.

    OK, thats about half of the 150million,I wonder will they give shareholders a look in with some of the remainder?

  4. kalaa

    682 posts.

    I find the wording of the announcement intriguing - almost infers that an investor or group of investors asked to participate in the capital raising, why else use the words "metals australia has agreed to place". I note that it the last two capital raisins in January there was no accompanying announcement with the appendix 3b...curiouser and curiouser!

  5. niclou

    2,978 posts.

    I would be of the personal opinion 'NO' shareholders will not be able to participate, this is for (a) the sheer fact that the initial offering (as you voted on) was to sophisticated investors, and (b) the close date to that actual vote was today.

    This in my opinion is a positive result, now we just need to slowly eliminate these 2c oppies and the rest will be history.

    Get those drills ramping. And Q, below is a nice link for ya, I finally understand; you were evidently reffering to 'change of pace'!!! And you reckon I speak in many languages (lol)


    "Card V is an easily elaborated card that is not usually perceived as threatening, and typically instigates a "change of pace" in the test, after the previous more challenging cards. Containing few features that generate concerns or complicate the elaboration, it is the easiest blot to generate a good quality response about."


  6. qantum

    1,747 posts.

    K ...the wording may be a product of the situation as at the time the ann was made .
    To wit ...the explanation indicates MLS has agreed to place ~41 m shares but so far only ~ 19 m are actually placed (and paid for ?), as per the other 3b ann .
    If that is the case , then I would expect a further 3b to be issued to account for the other ~ 22m shares .
    Just my thoughts

  7. niclou

    2,978 posts.

    Further clarifiaction from 'Notice of Annual General Meeting':

    For the purposes of Listing Rule 7.3, the following information is provided to shareholders:

    a) The maximum number of Shares which may be issued pursuant to this resolution is 150,000,000 and
    the maximum number of Options which may be issued is 150,000,000.

    b) The Shares and Options will be issued and allotted no later than 3 months after the date of this
    meeting or such later date as approved by ASX by waiver to the Listing Rules;

    c) The Shares will be issued at a minimum issue price which is at least 80% of the average market price
    of Shares trading on ASX over the last 5 days on which sales in the securities were recorded before
    the day on which the issue was made (or if there is a prospectus or offer information statement
    relating to the issue, over the last 5 days on which sales in the securities were recorded before the
    date the prospectus or offer information statement is signed. The Options are free attaching Options
    and therefore will be issued for no consideration;

    d) The proposed allottees are unknown at the date of the Notice of Meeting but will not be related
    parties of the Company and will be selected at the Directors discretion.

    e) The terms of the Shares will be the same as the existing ordinary fully paid Shares in the Company.
    the Options will be issued on the terms and conditions set out in Annexure A of the Explanatory

    f) The purpose of the issue is for ongoing mineral exploration and additional working capital.

    NOTE - The only acual difference to my previous post is (d), not necessarily sophisticated investors.


  8. yokka

    1,875 posts.

    Q I never thought I would say this, but you are on the money yet again!

    The race is now about to start. As you know I have been a stickler for 2 principles. Firstly, that shareholders get a slice of the action and secondly that capital is raised at the highest possible price so as to minimise dilution.

    Imo this announcement is a huge positive for shareholders. Firstly those who have done their research would know that after receiving approval on 30 November to issue up to 150 mil shares (plus max 150 mil options) the company has chosen to offer less than half.

    Remember "The Shares and Options will be issued and allotted no later than 3 months after the date of this meeting or such later date as approved by ASX by waiver to the Listing Rules" - 3 months was up today.

    What does this mean to me?

    2 key things (and intertwined as one) The company is confident that it only needs to raise enough capital to get drilling started (and be sure that they will start in the guts of their best prospect, probably Kudu) because positive results will lead to a massive share re-rating, at which time they can seek approval from shareholders to issue further shares (or even explore joint ventures) at a higher price to minimise dilution. However, as i've said before dilution is far less of a concern to me than positive results.

    If drilling is successful all shareholders who take advantage of todays cheap prices will be happy full stop!!

    Re-read niclou and Q's analysis of the recent announcement and give me one good reason why existing shareholders shouldn't be confident about what lies ahead.

  9. niclou

    2,978 posts.

    Correct Q, a 3b means 'executed change' - what intrigues me is the timing! I mean how many individuals / parties would execute on day of delivery? Was this one major investor and if the case 'who'? I would all keep your eyes peeled at the next top 20 listing, should give some clues - may even answer curious questions?!


  10. ditto..

    1,910 posts.

    Yes, this closing date may also explain the small prop bids of late and today so the price could be maintained, I have been monitoring all of them, just as momentum was in danger of fading, someone came in with small bid lots.
    So 3.7c with a free option is quite good going forward.

  11. niclou

    2,978 posts.

    Yokka, brilliant post and straight to the punch; apologies as tonight my own pop up tool is not working so I have somewhat repeated your post - or do you have a camera set-up in my study (lol)

    Anyhow I thumbed you BUT 'why start in the guts of Kudu'? Any particular reason as to why - just kiding, don't overthink it ... MLS is certainly going places over the next couple of months.

    In fact out of all the stocks I own at the moment, even though most are going up - well this is certainly the most exciting.


  12. kalaa

    682 posts.

    fair call qantum re mutliple placements and good pick up niclou regarding the closing date.

    does sound like there was strong interest from investors - a great sign given:

    a) shares were placed a few weeks ago at a fraction of the price (1.9c)
    b) we are well advanced in the trenching / sampling at mile 72 c) we are just a few weeks away from the commencement of drilling.

    things are definitely starting to heat up mile 72!!

  13. qantum

    1,747 posts.

    K ..you may recall your post in early Feb :

    "watch for a sharp rerating in the coming weeks as we approach drilling in march, then look for the spike when the drill assays come through!" Kalaa

    I subsequently urged caution .
    I am now delighted to fall in to line with your call .
    My sense is that our speed is accelerating .
    Is it ok if I change my mind ? (LOL)
    Best wishes

  14. crackpot

    4,590 posts.


    smells like humble pie!

    but it tastes pretty good

    roll on the drilling

  15. crackpot

    4,590 posts.

    niclou, you are bang on the money here...

    "Was this one major investor and if the case 'who'?"

    who indeed ?

  16. qantum

    1,747 posts.

    I didn't think I actually addressed my comments to you Crack .. .
    I can only assume you are very happy about the capital raise .
    I never entered in to the debate about the timing of a cap raising ...perhaps you may wish to do a review and claim your victory elesewhere .
    Anyway , I hope that you managed to get plenty from the allocation .
    I think March will be an exciting month for all holders .

  17. crackpot

    4,590 posts.



    it's my humble pie

  18. qantum

    1,747 posts.

    No probs Crack ...just all cappucinoed up and ready to go now (lol).
    Not too many posters on HC are prepared to eat humble pie ...I consider that to be a sign of strength of character .We all get it wrong on occasions .
    One of my key mottos , penned by Mark Twain. is :
    " When the facts change I change my opinion . What do you do Sir ? "
    Trading looks like it has been interesting while I was out...jumped around between 3.9 and 4.2 .
    Let's have some of your predictions as to where it will settle (on a day in a reasonable market ).

  19. yokka

    1,875 posts.

    qantum, I really hope I get an opportunity to demonstrate my strength of character one day too.

    In the meantime I remain hopeful that I am right about where these are heading - as you suggest, perhaps at a slightly higher rate than first thought.

    I will be particularly interested in where they intend to start drilling. Any thoughts from anyone?

  20. qantum

    1,747 posts.

    A good look and listen for ~ 20 mins

  21. ditto..

    1,910 posts.

    Some larger orders going through today, probably the same people sitting at 4.4c holding it back

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