RE:RE:RE:The share deal appears to have caused massive shortingGeoD,
Thanks for checking thing out with the company.
May be it's a personal opinion, but when you are loaded with debt, especially high-interest debt, the loan providers would tend to take advantage of the situation and bleed the victim to death. This could include a provision or a negotiated conversion to shares...So, we are back to equity financing again. The dilution of 13% is not significant, in my opinion.
It was a pleasant surprise to see that the A$50M "deal" includes the HGO mill, and the HGO mining operations which includes Polar Bear (good find). WG paid $9M for this property which has PMG (with gold, Palladium, 5.6gpt, Platinum, and Rodium).
GH
------------------------------------
Geodan2 wrote: Hi Goldhunter11, I talked with company today. The stock is unrestricted as was sold under a propectus, it may take a few days but they can sell it. Yesterday massive volume today not so at all. I had for first time RNX.to lent to shorts yesterday, and 65%! At Fdelity it went from zero for weeks to 100% lent out to shorts today. About 1.6 million shares of just people I know.
So the way they financed this is what casued the shorting and the dump. The short lending data and volume could not be more clear on that.
That said appreciate your points. They did have a debt problem in past, but none now. If you can buy something for $50Aud million that saves uyou $10 USD million a year that alone will pay off in 4 years, and the mine is also cashflowing so more like 2 years to pay it off. JMHO debt was right thing to do.
Cheers