Re: 10,000,000 shares....
in response to
by
posted on
Jan 31, 2013 03:13PM
San Gold Corporation - one of Canada's most exciting new exploration companies and gold producers.
I stopped voting a long time ago as well.
I could care less who is in power at any given time.
The fact remains that Bob Brennan did not of his own choice saddle the people of MB with the debt that someone here attributed to him.
It was a political decsion and nothing less.
In the case of SGR, taking on debt may be the better decision because of where the share price is today, instead of diluting the share pool.
Case in point, a company that I was invested in, IAE, went to the market to fund their projects through equity financing, and killed the value of the stock. The SP tanked. A takeover rumour came along and pushed the price back up briefly, and I got out while I could. The takeover was rejected and the SP tanked again.
If SGR was to dilute again, we may as well kiss this one goodbye. At least debt would give them a chance to unlock the value in the ground.
See STP for a company that has managed their debt/equity ratio and is now in the process of delivering the value to their shareholders.
If only SGR management could deliver like they are.
Andy