@Danyal - are you kidding? They announced the raising a while ago. Once it is out, it is out. And they need to raise capital. They are giving every single shareholder an opportunity to invest (and pretty much invest as much as they want because you can apply for more than your entitlement).
If they just did a placement to sophisticated investors you (and many others here) would probably be hurling abuse and moaning that they don't allow shareholders to participate and only the big guys get discounts.
They've been saying that there is lots of interest on deals and BD happening. And we know that they take time to happen. The company has made it clear in the past that they can't control the timing of large companies doing deals. CL8 just announce them when they happen.
You think this isn't a big deal, but I suspect that it could be much larger than people think. I think that Custom Fleet is the largest fleet leasing company in Australia. They are starting with 30 cars. Per the last investor presentation, DriveMyCar had the equivalent of about 180 cars on the road full time in the June Quarter. So this is about a 15% increase first up - so that is pretty big in my view.
(Do you remember that when Subaru started, they started with 10 cars?). The announcement also says that Custom Fleet have over 2,400 customers. Do you think that perhaps there is an opportunity to do shorter term car rentals to those customers, and perhaps Custom Fleet can't do it themselves hence providing vehicles to DriveMyCar?
Biggest problem is the market has been smashed over the last few days, so sentiment is pretty poor. But clearly you can't time the market when it comes to making announcements.
But I'm sure the Directors are really happy to know that it doesn't matter what they do, there will always be complaining shareholders. I'm happy that they just keep focusing on the business. At some point people are going to look back and say - wow can't believe I could have bought those at 1.5c!
Regards
Marv
(20min delay)