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10/14/15

I've been wondering why Teranga Gold (TGZ.to) (TGZ,ax) has been undeperforming this last two or three weeks...

...compared to peers. It looked like there was somebody sitting on the thing refused to budge etc etc. And yup...

TORONTO, ONTARIO--(Marketwired - Oct 14, 2015) - Teranga Gold Corporation ("Teranga" or the "Company") (TGZ.TO)(TGZ.TO), the owner and operator of the only commercial gold mine and mill in Senegal, West Africa, today announced the completion of a non-brokered CDN$22,736,000 private placement (the "Offering") with Mr. David Mimran, the CEO of Grands Moulins d'Abidjan and Grands Moulins de Dakar, one of the largest producers of flour and agri-food in West Africa. Under the banner of the Mimran Group, the Mimran family has a long history of operating successfully and responsibly in Africa. The family is also a major sugar producer in the region and the largest private sector employer in Senegal through Compagnie Sucrière Sénégalaise. As part of this transaction, Mr. David Mimran has also been appointed to Teranga's board of directors (the "Board").
Pursuant to the terms of the Offering, Tablo Corporation ("Tablo"), a Mimran family company, has been issued 39,200,000 common shares of Teranga (the "Common Shares") at a price of CDN$0.58 per Common Share.
"I am truly delighted to welcome David Mimran as a cornerstone investor of Teranga, and as a director, where he will combine his tremendous strategic and operating knowledge and experience in Senegal and West Africa with our own," stated Alan R. Hill, Chairman of Teranga. "The Mimran family's commitment to Senegal runs deep and they are highly respected in the country. David's strategic investment in Teranga supports the acceleration of our longer-term growth strategy beyond our current life-of-mine plan." 

...it was being sat upon. Which means now is the time to get some.

But here above is another example of why I try hard to stick to LatAm companies, because at least I have an inkling of a clue about the political/business background to a country and how it works, who pulls strings, the tricks and sleights of hand. All the above here is totally new to me. Africa, eh...