Fairwarning50 is upset over divy to preferred sharholders
I can see the common shareholders will get screwed. Its too bad I don't agree with this move. I'm no longer a shareholder but I recommended this stock last year to a relative and now have egg on my face. Since Simon left things seem to have gone down hill. On the flip side if you're thinking of buying I cant think of a better time.
I have some catching up to do here. My basis is $1.11 I have known about BAA for almost 10 years. Knowing the second mine is financed I felt it was time to buy. Of course we did not know we would be looking at GOLD $1,250 Don't know about Simon. I assume the second mine is still on track. No way I would be looking for a dividend on commons until there is nice cash flow from the 2 mines. Maybe next year. I would have to look at the importance of the funds raised by the issuance of the preferred shares before I protest the paying of a dividend. As crazy as it sounds, I am a buyer of BAA under $1.00 On paper, a miner with the GOLD reserves and 2 producing mines looks good. I guess BRD could be a comparison. My other miner/producer at 16 cents is MXOM. Good luck for those invested!
They are now paying out dividends way in excess of free cash flow.Where do you think the money will come for that?It is obvious that the common shareholders are considered as nothing but chumps,and yes I am one of those bagholders.I should have bailed when Simon left.They are going to have to keep issuing more shares to stay afloat.I wouldn't buy more shares at this time even if you put a gun to my head.If you want to be a chump wait for 0.25 at least.
The dividend is only on 1 million shares, that amounts to only $500,000 I'm sure Banro can afford that in any market for a 25 million investment. But what about us common shareholders? When will we see a penny or two dividend? This special dividend should not of been promoted in the face of the regular shareholders that paid $4 and $5 for the stock less than a year ago. I hope they have a dividend planned for the rest of us!