The last private placement has not been a success. It is partly because a mistake from Tyhee but also because some market participants are trying to short Tyhee and doing anything to put it down.
On top on this bad situation, the credit crisis is as alive as before despite the propaganda. It is very difficult to raise money for exploration companies, including many of the Canadian ones ready to start production in the near future and this situation has been used by the sharks to make easy money OR possibly to make the small gold players easy targets for future takeovers.

The mistake from Tyhee:
I understand that many times in the past, Tyhee has tried to raise money for expenses not covered by flow-through financing. Flow-through money can be used only for specific expenses. Anything else, has to be financed through a "regular" financing. In July 2009 Tyhee decided to raise cash: $4 millions flow-through shares and $2 millions non flow-through. They got a little bit more than the $2 millions non flow-through and a lot less flow-through. They covered the missing flow-through in December.
At the time, I thought that they would have enough cash in the bank to continue both exploration and general expenses until at least drilling results and possibly the results of the PFS scheduled for the end of June.
Tyhee's share price, following the December' financing, was going up -from 16cts to 28cts. It was, in my opinion, after breaking the 26cts level, going to go above 30cts on route to the next technical level: 36cts. I did mention this hope in my post titled: "ALERT!!!! Tyhee is leaving the train station " dated January 7, 2010,
Suddenly, out of nowhere, the share price starts to go down, from 28 to 19ts. Since almost all juniors were going down too, I thought "it is a general gold juniors market action...Tyhee is just part of it" NO in fact it was mainly a Tyhee' story. Did the board decide to take advantage of the higher share price to get cash with less dilution? Maybe. However the fact is the share price started to be manipulated and went down.

SO: Mistake from the board for not waiting a little bit longer? In my opinion YES.

The second part of the story is: How is it possible for us, regular shareholders and Tyhee' followers, not to be aware of the coming financing, while other investors can get the information? This is not the first time I have seen this happening and not with Tyhee only but many other companies.

The only explanation I have, beside insider trading/disclosure, that I totally reject, is that the July investors are the ones who are manipulating the share price for their own benefits. We all remember how difficult and diluting the financing was...Are the sharks already in the aquarium and enjoying the taste of innocent little fish/shareholders?
If this is the case (and they would have a lot of food available to survive through the cheap warrants still not exercised) Tyhee has to get rid of them. HOW? Good question!

Legally speaking there is nothing that can be done! Except to contact the TSX when manipulation seems obvious -like the 500 shares sold so many times in the last few days. What else can Tyhee do? Tyhee has to NEVER ASK THEM AGAIN for financing and direct the agents to stop talking to them and to keep them away from the board's decisions.
As a shareholder I am more and more thinking of submitting an official complaint to the TSX. If anyone, reading this blog, is interested in joining me, please let me know.

What have we seen in the last 12 months: Total shares issued: 44 836 000 shares issued for total cash $6533000. You have to add 25 446 000 warrants to these numbers. (I did not include the February financing). If we continue with the same kind of financing, Tyhee will be worth nothing. The plant financing will never happen and the share price will be worth 5cts !!!

So what could be the solution in order to get out of this bad situation?


Waiting for the market to react positively with good news from drilling and PFS...We have been waiting for the same in the last 2 years...for nothing! Good news we got from Tyhee...Better valuation we did not and more dilution is not helping. Don't get me wrong: Tyhee is doing a wonderful job on the exploration and advancement to production but 98% of the failures, of mining companies to go to production, is money related!

So the only solution I see is: Strong financial backing through JV or like Romarco large investors with big pockets. If you have followed Romarco' story you know that they had 2 large financings with more than 50 millions shares issued each.. Romarco has 438 millions shares fully diluted! But getting cash is not a problem (so far).
I am well aware that Dave Webb has said many times that he wants to go alone. He is sweating a lot in order to achieve this goal (and we are sweating with him). He has put in place (last year) a Shareholder Rights Plan.... BUT what if the board decides, NOW, to issue a news release saying: "The board is ready to evaluate any offer to help get Tyhee to production..........."
The share price will jump...takeover target...let them make the offer...
I remember reading an email where the sender was saying "I am ready to follow Tyhee until they are taken out..." At the time I thought...Not a chance. Maybe.... I was wrong ?

Hubert