Ann: Trading Halt, page-66

First 66 Last

Share
Profile

Follow
spyglass

1,345 Posts.

141

30/09/20

22:13

Post #: 47755782
Share

Originally posted by OiaPhile: ↑

rroodd,

Given that KZA is a pre clinical company with no revenues, how do you suggest it raises cash to fund its activities? A capital raising is the only way. We may argue about whether a capital raising at 80c is appropriate or maybe the company should have waited until the SP was a little higher, but the fundamental need to raise capital remains unchanged. This principle applies to all pre revenue companies. I think we can all agree on this.

Further, you mention that Kazia management are "looking after themselves first with bucket loads of free options". I am sorry, although the options may be free, it costs the holder to covert the option to a share. An option gives the older the "option" but not the "obligation" to purchase a share at a strike price determined now. If you read the Explanatory Statement CAREFULLY, you would have noticed that the strike price has been determined to be at $0.8812. Therefore, management will have option to PAY $0.8812 per option it exercises and converts to a share.

Just for your benefit, the SP did dip below $0.40 last CR, but it quickly rebounded to the current SP of $0.96 (almost 100% increase) on less meaningful data than what we are expecting in the next couple of months.

I am all for informed debate here on HC, but please, half truths and misinformed comments do not belong here.

Expand

The $0.8812 is the price JG will pay. The other directors are paying even more for their options with a premium above the price at the date of them being granted (which I think should be the AGM date?)

KZA Price at posting: 96.0¢ Sentiment: Buy Disclosure: Held
5 Upvote

0 Great analysis

Reply

Top Stories

ACW

Actinogen Medical ramps up Alzheimer’s treatment trials, targeting fast-track global approvals

NEU

Neuren sees FDA greenlight for 3rd trial into children with Phelan-McDermid syndrome

Week 40 Wrap: China's nonsensical stimmy hype wanes (shocking!); HotCopper's picks; oil & inflation

RCE

Recce eyes Indonesia for novel anti-infective as Indo-Aus ties grow stronger

COD

Coda Minerals (ASX:COD) enters rights issue to further exploration in South Australia

There are more pages in this discussion • 37 more messages in this thread...

First 66 Last

Add KZA (ASX) to my watchlist

Ann: Trading Halt, page-66

Top Stories

Actinogen Medical ramps up Alzheimer’s treatment trials, targeting fast-track global approvals

Neuren sees FDA greenlight for 3rd trial into children with Phelan-McDermid syndrome

Week 40 Wrap: China's nonsensical stimmy hype wanes (shocking!); HotCopper's picks; oil & inflation

Recce eyes Indonesia for novel anti-infective as Indo-Aus ties grow stronger

Coda Minerals (ASX:COD) enters rights issue to further exploration in South Australia

Featured News