Katanga Mining Ltd Ord KATFF

RE:RE:RE:RE:RE:debt for equity, dilution and reverse stocksplit

[topdop]

@Katanga do not delude yourself this is not a mining company that will pay any dividend to the general class shareholders in the forseeable future. It must overcome many, many other requirements from its income funds before any BoD would ever initiate a divvy policy. You are dreaming. KAT is way too young, not yet out of fully Commissioning its newly constructed assets as well there are a few parts of its jigsaw that haven't even been built yet (ION Exchange circuit for eg).

I think the Glencore "Proposal" will do a debt roll-over but will also require KAT provide its own "new money" to cover the outstanding debt support costs (at least). So that's current interest and fees but not principal. This is why the equity has been and is trading in Toronto in a "Come Issue" pattern. For weeks now since the last Financials came out on on 15 May, I've stated on my SA KvN KAT Blog (and here) that we are looking into the teeth of a Rights Issue. The Banks & Brokers are now, clearly, all over this. So much for the privacy & security of their dumb Chinese Walls; obviously working great (not).

The sky is darkest before the storm.

These are my views only. Thanks for reading.