Post by
materialsgirl on Sep 10, 2014 8:20am
Management versus a miracle
Many of you are attaching too much importance to what a management team can do. Management has no influence over the broad macro market, no influence over commodity prices, no influence over the geology and no influence over what Anto decides.
What will managment do now? It is not as if they have a wide palette of options. All they can do is scramble and explore and try to implement some way to raise capital. The head winds are very strong. Debt may be impossible without at least a 15% coupon which would create a new dilemma in a few years. With $30m market cap DM would need 100% share dilution to raise enough short term money and much more later.
Here is the thing. A new management team would accomplish little in my opinion. What is needed is a miracle worker. Without that it is best to stick with the current people.
What would I do? My suggestion would be to create a new company that owns the properties outright. Anto might get 60% of the shares in return for putting $15m into the treasury. Then try to sell the company outright or look for a new joint venture partner. This arrangement would be more attractive as the title would be clean. Odds would be against it but it just might work.
Just my viewpoint
mat
Comment by
ramblersrest on Sep 10, 2014 11:47am
Mat ....Here is the thing ...You are BSing :-) .......
Comment by
ramblersrest on Sep 13, 2014 10:20am
Holy Mackeral there Andy -----This is like the Tar Sands for metals ......Huge resource beyond belief , expensive to develop and environmental concerns which will be stick handled around to get the essential materials .....Given the political situations with SA and Russia then a new source in the West for PGE's is here ....
Comment by
PetJ80 on Sep 10, 2014 2:58pm
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