Did current shareholders really think they could buy stock in SPP at 10c and sell it at a 40 to 50% profit? Made a quick $15k on the SPP.
Did current shareholders really think that the share price would trade at a significant premium to the issue price of 10c after 2 billon (2,000,000,000) shares were issued?
This is not a must have stock. It's not some new tech with massive growth. The company will continue to shrink as more stores close and business units are closed. It's not a yield stock. The industry is facing some of the toughest times of late. So best case it's a deep deep value turn around play with significant risk that will take significant time.
Here's a theory. The underwriters will be paid some $14m. which before the recap is around 50% of current equity. The underwriters could have easily supported the share price by buying a few million dollars worth of stock to keep the share price in the mid teens to ensure the placement and SPP get done. They take a big loss on the stock they have bought as they sell it back into the market but overall have still make a killing. Looks like retail and current shareholders get screwed.
Will be interesting to see how this trades next week when an additional 2 billion shares hit the market. AIMO
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Last
6.7¢ |
Change
0.000(0.00%) |
Mkt cap ! $166.9M |
Open | High | Low | Value | Volume |
6.7¢ | 6.8¢ | 6.6¢ | $156.9K | 2.358M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 259735 | 6.6¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
6.7¢ | 927851 | 2 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 259735 | 0.066 |
14 | 2514116 | 0.065 |
2 | 820065 | 0.064 |
3 | 67857 | 0.063 |
3 | 228612 | 0.062 |
Price($) | Vol. | No. |
---|---|---|
0.067 | 927851 | 2 |
0.068 | 456518 | 3 |
0.069 | 992065 | 5 |
0.070 | 641213 | 9 |
0.071 | 245587 | 5 |
Last trade - 15.59pm 26/09/2024 (20 minute delay) ? |
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