enfin

Paladin, allow me to clarify. The company is raising $175m. That translates to £117m. If the company went to the market today at.55p they would need to issue 21.2 billion new shares. That is 7.6 times more than the 2.8 billion shares currently in issue. For each of us to maintain the value of our holdings we would need to buy 7.6 shares for each share we currently own. This means investing £4.18 for each share we own JUST TO STANDSTILL. If we dont or cant invest this money the VALUE of our shares is reduced by a factor of 7.6 Taking today's price the VALUE of each of our shares (post the capital raise) is .072p. If they increase the issue price by, say, 4 times .55p then we have to buy 1.9 shares (7.6 divided by 4) for each share held today BUT we pay four times more. The end result does not change. In this whole scenario, the true value of shares today is sadly .072p

Role of Banks, The fate of Kenmare is now dictated 100% by the banks. Guesstimates about Ilmenite pricing; changes to Institutional holdings; Iluka intentions etc are interesting side-shows ....... but no more. If the banks decide to work pro-actively with the company in the coming two years then the target of 26p set by Alison Turner (Panmure Gordon) is achievable. A study of banking norms and modalities as it relates to Mining will give a better view of this company's prospects than a study of Mineral Sands Mining

It is stock only. The balance sheet does not support a cash component. Finished here now. Remember my two posts .... when it happens.

ILU.AX Iluka is coming back with a revised offer, but patience will be required by existing shareholders. I have no indication what the revised terms will be or the potential mix between cash and stock. Living in Melbourne has its advantages...........