RE:5 signs of good financing of a company Indeed it was necessary. Investment banks demand a discount on currently traded price, and they call the shots. PYR was trading around $4, and the deal went for $3.60, so only an 11% discount which is considered a fantastic win for PYR. No discount, no deal. That's how investment banks make money. The article also did not say it shouldn't be priced under the going value, he was comparing a financing round to a previous financing round, not the current share price. That's a misrepresentation.
Tcheck wrote:
shares issued are not going to be traded so it doesnt help support the shareprice .
Makes no sense.
Tcheck wrote:
why did they have to increase the deal size if it was only for TSX listing
Why not? The money was offered, and it was a very small deal. 3 million shares? Laughably small. When someone offers you money, you take it. Better to do it now in one go, than do it later and have people cry up a storm. Kililng two birds with one stone this way.
Tcheck wrote:
old article but makes you think.
according to that article the financing we underwent was not so astute .
Totally disagree, and so would the writer of the article based just on what he wrote. Also the article is for a strict financing, not a small mandatory one to meet an uplisting criteria.