Doesn't share price below .10 CDN hurt the private placement
Assuming the private placement is still open and they have not yet raised the $5M USD, who in their right mind would take part in it at this point when you can get shares cheaper on the open market. Even at .10 on the open market it would be better than the private placement because shares in the private placement would be locked in for 4 months. Am I missing something? You would think management would release some positive news to get the share price over .10 to incentivize people with the private placement. The only thing I could think of is that the private placement makes sense for someone wanting to drop big dollars ($100k+) in the private placement that would not fill their order in the open market below .10. Regardless, it's definitely not good for raising capital if the private placement price is above the current share price especially with no warrants and a 4 month holding period.