RE:RE:RE:RE:RE:3 Things Ricus Should Say Thursday STOCKWIZ wrote: If TV plans on a further dilution of 25% to fund R.P 2.0 then there will be zero capital appreciation as well. If I am not mistaken the cost for the expansion was $93 million? Can that not be funded by cash flow especially with such a strong zinc price environment?
Completely disagree with Miles that another dilution is needed for RP2.0. The company absolutely needs to continue to pay down their debt so that they can renegotiate their terms of credit so that RP2.0 can be financed directly through debt. In the current environment/cycle this is possible. The company needs to keep its ability to issue shares open to the future if they need it and that means they need the price of the stock to go up to give them this flexibility. The company should only be looking to issue new shares if it is part of an acquisition in the future. Cash flow is sufficient to accomplish their medium term goals.