Better than a SPP - a 1 for 2 pro-rata rights issue for all shareholders.
Unless a shareholder does not have the funds to participate, then there’s no significant dilution for existing holders.
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50c for long term hold is ridiculously good value provided they don’t fold which I don’t see them doing. They must be pretty desperate though . Retail in a tough spot right now
Disc not a holder
Existing shares = 295,073,217
New shares to be offered = 354,087,860 + $30 million in under writing (= 414 million stated in the documents )
totaling 709,152,077 shares
Closing market value = $330 million + $207 million = Market value of $537 million or 75.7 cents a share
*your equation missed out the under writing cost
Share price was $3.64 not that long ago.
Hype from growth by acquisitions quickly dissipates when the tide turns ...bubble bursts