1. Brokers for instos / sophs created at least 90 accounts prior to recording date. They will now suppress the share price to discourage others from participating in SPP and then help themselves to another $9mln shares which would come with two options. Effectively, they would have 40% shareholding. They would then choke the price so it goes much higher and onsell their massive holdings to say US investors.
2. Or brokers for instos / sophs can go completely feral and short sell it to the ground level and cover their shorts when the placement shares are issued.
3. Or they could combine both scenarios and make an absolute motza.
Sums up the dire state of the regulatory regime.
We shall see the outcome in a few weeks.
BLG Price at posting:
3.5¢ Sentiment: None Disclosure: Held
