RE:RE:Good Timing on FinancingGuarantor,
CITIC paid $3.68 share for 20% of the Company. They obviously thought this was good value. As of June 1, 42% of all trades were short, an all time record. We should get new numbers in a couple of days. I've been warning about these shorts for months. In a thinly traded market, like IVN, they have no trouble marching the price downstairs, one step at a time. Investors by and large are not bailing. Prospective investors, like Rob, are sitting on the fence, waiting to see how low the shorts will drive this before jumping back in. Why should they spend more, if they know shorts can machinegun the share price, almost completely unopposed? TSX rules allowing unlimited naked short selling and short sales on a downtick are responsible for this sorry state of affairs. I'm sure the upcoming short data report will confirm the trend.
Here is an informative article on the dangers of listing on the TSX. It includes a detailed explanation of the trading advantages enjoyed by short sellers.
https://www.equedia.com/canada-stock-market-manipulation-transparency-issues/
Evidently Glencore has reached agreement with the DRC government. The other miners must be close behind. Mark Bristow, CEO of Randgold, expressed conciliatory comments this week. No one has yet filed for arbitration. We'll see where that goes.
For those not satisfied with the performance of management, you should exit your position. In my opinion, management has done an amazing job operating under some extremely difficult conditions. Everything is against them, the corrupt TSX, the greedy DRC government, uncertainty in South Africa, yet they have raised an additional $723 million at a substantial premium to market price. Funding is in place to advance all three projects to feasibility and beyond. They have secured the future, even as shorts continue to snipe relentlessly, driving the share price into the gutter.