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  5. DNG: I am a bit confused why a company with about 25% of its current market cap (40+ million USD cash as per last quarter report) sitting in cash on the balance sheet - with no debt - would raise 10% mo... [Dynacor Group Inc.]

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Q: I am a bit confused why a company with about 25% of its current market cap (40+ million USD cash as per last quarter report) sitting in cash on the balance sheet - with no debt - would raise 10% more equity (just 20 million cad) at a 10% discount to its current price which is already quite cheap… I am scratching my head… I really like this stock/company but now I am questioning management haha. Am I wrong? Thanks
Asked by Scott on January 31, 2025
5i Research Answer:
We would not see the discount as a big issue, though it is a bit larger than average. But any...
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