Raise money for production = s/p rise

[Footsie]

The current theme seems to be that if you raise money to speed up production your share price goes ballistic

SHG, AGO, FRS, SRK?

I missed the SHG and AGO run... but i've caught FRS and now im inot SRK.


Both of which have the potential to double in the next 2-3 months.
especially FRS, now that the CHinese are in.


Therefore im now on the lookout for companies raising cash for production Note: NOT interested in companies raising funds to buy a new tennament or drill another hole.

How long with this theme last? who knows..... You dont have to be first to the party you just have to be at the party.......... then leave when the music stops!

[AMR]

Take a look at OEL...they've justed entered a trading halt for a capital raising.

[Footsie]

thanks
I'll take a look

[shasta]

thanks
I'll take a look

OEL seem to have sufficient funds until first oil so im suspecting they have something big in mind?

OEL have raised alot of cash over the last 12 months, & it seems this company can attract large amounts of cash when required.

NDO & IPM give nothing away with there SP's either!

[Footsie]

got this from MAC's

Key attributes to look for when
investing around rights issues
! Rights issues for specific acquisitions typically
outperform over the next year
" Rights issues for non specific purposes (e.g.
balance sheet or future growth) underperform
" Rights issues outperform in bear markets, and
underperform in bull markets
! Rights issues by stocks with high earnings
certainty typically outperform
! Rights issues that increase capital by less than
30% typically outperform

[Dr_Who]

BDR needs to raise $250m. They will place $235m to institutional investors. Funny how a company with only $37m market cap have no problem doing a placement of $235m with institutional investors.

[Footsie]

oel up..... thanks

[Yossarian]

Footsie, just looking at your 44.5%pa return over 8 years - that is amazing...
I just calculated that is a multiple of 19 (if you stayed fully invested), correct?
Please tell us your strategy!!