Looks like everyone is better off after this captial raising.
Company has enough money to expand and pay down debts
Shareholders who took up entitles get a premium on their entitles at current market prices.
Shareholders who didn't take up entitles get 25% (or 2 cents per entitlement) for their rights.
Don't forget the institutions who took up the rights in the book build at 10c for an overnight book gain of 30% at the closing price of 13c. I say book gain because it may be difficult to offload a lot of shares without impacting the price.
So compared to the price pre the cap raise shareholders aren’t any better off ....except knowing the company debt is a bit lower and the company have some cash to take on the world.
Obviously the future is all about performing and delivering on the promises made
”When investors are euphoric, they are incapable of recognising euphoria itself “
It seems that most of the shares sold over the past week have come from SALT
The price has shown considerable resilience in the face of this substantial selling.
It seems that most of the shares sold over the past week have come from SALT
The price has shown considerable resilience in the face of this substantial selling.
Wonder who is buying though? an SSH will be soon i suppose...
Been a good ride for me so far.Had to sell stocks like PPH and SUM to plough through this hefty rights issue... but things are looking better and better by the day!
Bookmarks