Com Dev International Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Com Dev International

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: dale w ruckle who wrote (68)	8/18/1999 9:17:00 PM
From: Serge Collins	Read Replies (1) of 216

That same story about financing appeared in the Globe and Mail over the weekend. I can't wait to see what they come up with as far as financing goes. The writedown was $53 and $15 million of that is a cash charge. They are already broke and this will not help. It doesn't seem likely that they will be able to raise money through equity financing unless it involves big dilution. Additional debt will further erode the capital structure. I think the worse case scenario is the aforementioned management led financing. You can bet that this sort of financing, whether it's a bought deal or some sort of rights offering, will be bad for the average shareholder. The company's options are limited and this gives me cause for concern. We all know about this company's checkered past in dealing fairly with shareholders. My enthusiasm has been tempered somewhat but I will wait to see what they announce on the 8th. Good luck.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next