RE: RE: News ...financing closedDear Paulidoon,
your are correct, you have it all wrong.... and I am not certain that you understand what investing in a junior exploration Company entails...
Every mining analyst or serious fund managers will tell you the same thing with regards to exploration companies:
" NO MONEY, NO WORK AND NO RESULTS. NO RESULTS, NO DEVELOPMENT"
Serious players are not botheredby to much dilution because without dilution there cannot be any results.
I know that you and many of your compatriot will hate hearing this but: in a junior exploration company, the quality of a management is judged by there ability to raise funds (in good (very easy) and bad markets (very hard)), and then used the funds raised to do exploration work.
Once the exploration work is done, they present the results and if investors like the results, and see a progression, they are then agreeable to invest more funds in the Corporation.
So if you look at the fact, AFA raised funds to do exploration work, did the exploration work publish the results, and was able to find investors willing to invest funds in the project at a 16.6% premium to the market, furthermore the investors agree to have there new shares with a 4 months hold period... That alone is a great accomplishment in a regular market, but it's quite an accomplishment in the current markets.
My conclusion from this is clear, Institutional investors (the smart money) see a great potential in AFA and there management, while many retails investors (represented by your comments and others) have completely loss confidence in the projects, management and the Company.
On this one I will stay with the smart money...