Post by
murdockavenue on Oct 13, 2021 11:46am
Major dilution coming
Rare Element Resources is doing a US$25 million rights offering at US24 cents! That means over 100 million new shares in the float. There's only 100 million shares outstanding now so that means 50% dilution if a shareholder doesn't buy the rights offering. wow.
Comment by
Hopeful123 on Oct 19, 2021 10:39am
Are u saying the new stock will be at 24cts..Why would that happen when the stock is at 2 bucks now. It makes no sense..or it means issue rights at 24 cts to buy stock at 2 bucks or higher..Regardless of dilution they need funds to build the resources..They are also only putting up 50 percent with the other party funding 50percent..this is very positive.