GREY:NMKEF - Post by User
Comment by
Smokeramaon Feb 13, 2019 3:42pm
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Post# 29360298
RE:RE:Massive Overeaction!
RE:RE:Massive Overeaction!It is mind boggling that investors will ignore the impact of dilution.
They will need to do Private Placements to raise the $375 million and the investment community will be demanding a substantial discount to the current share price. Realistically, the company will need to raise another 1 Billion dollars to stay afloat because it will be operating in the red for several years after commissioning.
The risk of insolvency is real. The unions are probably rubbing their hands because now is their opportunity to demand wage increases. A prolonged strike could finish this thing for good. I guarantee you that labour disruptions are imminent.
This just the beginning of substantial turmoil for this company.