They must take into account the size of the holding according to ASX rules. What I have seen in situations like this is that they will set a minimum subscription (say $500 worth of shares - just as an example) and all the small holdings that have applied will get that. Then what is left over will be pro-rata'ed based on the size of your holding. I expect they will end up taking more than $2.5M but even so the scale back will be huge. If you look at their current MC ($400M) and what they are trying to raise ($2.5M) you can get a feel for what the scale back will need to be. My guess is that they will accept maybe $5M - $7.5M and roughly 50% of shareholders will apply. So (real back of the envelope stuff here) you might end up getting 4% of your current holding size. So if you had, say 1M shares and applied for the full $30K worth you will end up getting roughly $20K back. All IMO and DYOR
ALC Price at posting:
39.5¢ Sentiment: Buy Disclosure: Held
