GREY:ADAIF - Post by User
Comment by
CrashLandingon Mar 16, 2007 9:25pm
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Post# 12435265
RE: Increased financing.
RE: Increased financing.Maybe there is not more of an outrage because if you look at the long term this is a good deal for the company. About a good as it gets for a company this size.
Even if you look at the short term this is not as dilutive as it first appears. If all of the warrants are exercised at 1.35 per share, which they likley will, the weighted average cost of all shares issues is about $1.15 per share. This is only $0.05 below where the stock was last week.
In a few weeks everyone will see what a good deal this was for the company. The extra financing announced today will allow the company to advance the development of it other projects bringing the potential cash flow form these properties on-line faster.