Do agree that the pattern is to dump immediately.
However, @RealRockerfeller you're seriously wrong about the second bit - the dumping price DOES matter to them. As does the share price movement for the 5 days prior to conversion. Are you suggesting the price with which they sell their shares doesn't actually matter to them?? Really? Since when does a selling price not matter?
By simple example, if they convert $300,000 worth of P+I into shares @ .015, they get 20,000,000 shares in exchange for $300k. If the SP is in an outright freefall when they go to sell (or there's just no support below them and they crash the price) - and they sell at an average of .005 for example, they only collect $100,000 for their original $300,000. SO the selling price does indeed matter to them (duh).
Further, the price action prior to conversion also matters - since they pay a 120% premium of the average of the lowest 2 daily VWAPs in the 5 days prior to conversion - it's in their interest that the share price is rising prior to conversion. That way the convert at the low VWAP rate from a few days earlier, yet the market has continued to increase to make up for that 20% premium. That way when they sell into the market, they are (ideally for them) selling into an equal or higher price than they converted at.
Here are some more detailed examples taking the full Tranche B into account:
Perhaps I should now take your approach and at this point tell you to get educated - I'm laughing at you - you're making a fool of yourself etc?
- Forums
- ASX - By Stock
- OAK
- Ann: Appendix 3B - Part Conversion of Convertible Security
Ann: Appendix 3B - Part Conversion of Convertible Security, page-17
-
-
- There are more pages in this discussion • 115 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add OAK (ASX) to my watchlist
(20min delay)
|
|||||
Last
6.2¢ |
Change
0.000(0.00%) |
Mkt cap ! $1.673M |
Open | High | Low | Value | Volume |
0.0¢ | 0.0¢ | 0.0¢ | $0 | 0 |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
3 | 34375 | 6.2¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
7.0¢ | 100000 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
3 | 34375 | 0.062 |
1 | 20100 | 0.061 |
1 | 86000 | 0.055 |
1 | 55000 | 0.053 |
1 | 100000 | 0.046 |
Price($) | Vol. | No. |
---|---|---|
0.070 | 100000 | 1 |
0.071 | 200 | 1 |
0.105 | 1524 | 1 |
0.130 | 67 | 1 |
0.175 | 22450 | 1 |
Last trade - 16.12pm 27/09/2024 (20 minute delay) ? |
Featured News
OAK (ASX) Chart |
Day chart unavailable