GREY:DRGDF - Post by User
Comment by
Weebleon Jun 27, 2017 9:29pm
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Post# 26411806
RE:RE:Falling knife
RE:RE:Falling knifeUnless you are an insider, you have no idea if talks are going well or not. It is another month until the next quarter comes out. Nothing they said indicates that this is a problem. I would argue that banks are more favorable to gold stocks now than they were a year ago.....especially ones that are now producing and de-risked.
The Company is in the process of arranging up to $500 million in bank debt which will be used to repay the outstanding convertible notes (currently $338 million) and replace the Company’s senior secured credit facility of Cdn$135 million. The Company has received indicative term sheets from the members of its banking syndicate and anticipates, subject to final negotiations, closing the facility by the end of the second quarter of 2017.
I can guess too as to why the stock price has been weak....and it is just a guess. IMO, the weakness in the stock price has to do with the drop in gold more than anything else. DGC has always been very volatile to the gold price. If gold was 1300 instead of around 1240, DGC would probably be back to $18 like it was only a few weeks ago.