capital raising and sell down at 50c. Looks like existing shareholders are being screwed. That is a massive discount. No SPP or rights issue to avoid dilution. This is a pity.
I have no position, but am disappointed for retail investors.
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capital raising and sell down at 50c. Looks like existing shareholders are being screwed. That is a massive discount. No SPP or rights issue to avoid dilution. This is a pity.
I have no position, but am disappointed for retail investors.
I have recently bought some shares after selling my FPA Shares. At the same time I increased my holdings in DIL & BFW. I would have liked to taken part in SPP because it screws existing shareholders with dilution.
The minimum subscription to buy at 50c is $500K . I'm not that rich.
Did they give you a descent sized allocation of ATM?
I don't get it.
ATM is already listed and at anytime of any trading day, any investor is free to buy or sell ATM shares.
Why should it be any difference because a few big shareholders are selling down? Especially as the reason for selling down seems reasonable - i.e.. to facilitate relist onto NZX main board?
What size was the XRO placement in relation to the capital already on issue? How does that compare with the ATM placement? I know such placements do happen but generally the dilution should not be that bad. I remember when PGW did their initial placement of new shares to Agria, it was at a premium to market price. Mind you PGW does make real money (as does ATM), and XRO does not.
SNOOPY