18.3 million new units issued, with 103 million already on the register. That means existing shareholders are diluted by approximately 17.7%—all to raise just $1.5 million. Great job, management… Imagine giving away that much of Falcon and the geranium asset.
If the company’s projects had a future value of $100 million (example only) before the raise, existing shareholders would have had full exposure to that. But now, with only 82.3% of our original stake remaining, we’re effectively only getting $82.3 million of that future value. These are rough figures not accounting for options. It just shows the point of it being a silly move.
All for what? 1.5 million and a project no one cares about.
BM8 Price at posting:
8.0¢ Sentiment: Hold Disclosure: Held
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