oversubscribed, page-13

"(Interesting to read that ADY will allocate the 'additional shares' by way of scale back at their own discretion...

Surely it would only be fair to allocate 'pro rata'?)"

bubsmark,

Some companies now are starting to scale back oversubscription by taking into consideration the people's holdings at the time of the closing date.

Usually, the formula and the method is applied depending on how many shares an investor had as at the record date following the SPP announcement, and how many shares the investor still hold as at the date of the SPP closing.

In that case, the people who only bought because they wanted to take advantage of the discount applicable for the SPP, will be the first ones not to have their full entitlement allocated.

That, IMHO will give advantage to the fair dinkum investors and it is fair.

The speculators, if that system is applied will be the ones who will miss out.

But, not all companies works in that way, and some of them will take the easy way out (I.E.apply a pro rata).
As such, you should DYOR.

I hope this will help.

Buddy