An interest rate is on a loan, it continues and repeats for the duration of the loan.
A fee is on a one-time-payment.
They are not the same. But I agree they are both an expense.
If the options were not exercised, and the money didn't arrive, the company could potentially quickly end up in trouble. In that scenario, you'll be able to buy more shares on market at prices much lower than 10c.
If it wasn't for the backers supporting the underwriting agreement there would be another Rights Issue not too far away. Would you show your support and participate in the next Rights Issue? The share price might be lower in that case? Our backer would certainly get more shares if they waited and didn't give any money so quickly.
The underwriting agreement sounds like support to me, and I am happy it is in place. It allows our company to ride through the current uncertainty giving it more chances of success out the other end of the depression in the Lithium markets, especially amongst the juniors.
Ann: LKE secures $1.9m Option Underwriting Agreement, page-41
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Last
3.8¢ |
Change
-0.001(2.56%) |
Mkt cap ! $63.40M | |||
| Open | High | Low | Value | Volume |
| 3.9¢ | 4.0¢ | 3.8¢ | $98.24K | 2.533M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 35 | 2432720 | 3.8¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 3.9¢ | 755796 | 4 |
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| Last trade - 16.10pm 10/07/2024 (20 minute delay) ? |
| LKE (ASX) Chart |