RE:MetalheadBought Deal Financings are often based on the 30-day weighted average share price discounted to a number the underwriters feel they can sell the shares at.
SKE's bought deal financing announced after market close today was at 7.35 per share.
SKE has been trading in the mid 8.00 to mid 9.00 range over the past month, so they had to offer a pretty significant discount to get the underwriters to take the shares.
Bad day for gold stocks. SKE closed down 6% at 7.92. Look for it to fall some more tomorrow.
I personally wouldn't touch this stock as I saw an interiew with CEO Walter Coles a while back and am suspicious about what I view as his overly-bullish statements on SKE's land claims. Also, if this is such a great company, why did he sell 4,200 shares on Feb 3, 10,000 more on April 3, and another 35,000 on May 7...?