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Does MM like Arafura (ARU) and its SPP?

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    Does MM like Arafura (ARU) and its SPP?

    Hi, Would you recommend participating in the ARU SPP? What is the outlook for this stock? Best Regards

    Answer

    Hi Khaled,

    Rare earths play ARU is trading at 52.5c, their $121mn institutional placement and $12mn SPP is at 37c hence it sounds good to us!

    With Hancock Prospecting Pty Ltd acting as a cornerstone investor we like the outlook for this $1bn WA business although it does feel a touch stretched from a risk/reward perspective above 50c.

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    Arafura Resources Ltd (ARU)
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