Ann: Appendix 7-NTL.NZ, page-38

Because you have to pay .5 cents for each right plus the price you pay for the right on the open market. So the .1 cent rights are actually .6 cent shares.

So if you can buy the shares at .5 cents you're probably doing OK, although the money then doesn't go to the company.

As a shareholder I will be taking up my rights and applying for undersubscription shares from the company in my application form. This will mean that I get .5 cent shares through my rights allocation and also have the possibility of more .5 cent shares through the undersubscription facility.

Depending on how much you value the company at, the trading over the next few weeks could be a hell of an opportunity.