If they continue having the options not attached to the rights issue, the rights will be at a discount to the share price. Attach the options to the rights then the rights price can be at a premium to the share price.
If the options are not attached the share price will fall.
If the options are attached the share price will rise.
A rights price @ 7 cents with a free attached option is far more attractive than a rights price @ under 5 cents & having to pay for an option.
There would be far more shareholders taking up the former rather than the latter as the share price will rise with the former but fall with the latter.
SMN Price at posting:
50.0¢ Sentiment: Buy Disclosure: Held
(20min delay)