Ann: Sensera completes A$2.5m private placement, page-38

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Pinky789

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04/08/21

07:32

Post #: 55009233
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Originally posted by Quiltman: ↑

I was reading through the BluGlass thread ( not much there ), and there was a similar reaction to the CR as here. However this comment from a poster struck a bell for me ... I may be that Ralph was not willing to take on debt again and found this CR as a more palatable way for the company to get the $2M, rather than the loan that had been offered. Many here may disagree, and it still leaves the question as to why they needed the money in such a rush, and as such ran a CR just as the SP was gaining momentum in reaction to a positive quarterly and customer developments.

I can however understand why the company wants institutional shareholders on board since the last RI (at 2c) was only subscribed to 68% and has left them to raise more this time. The advantage for the company of institutional shareholders (and sophisticated investors) on the register is that monies can be raised in a placement which means that they are sure the money they really need is in place and make the retail bit "nice to have". As a retail investors I object to this but can understand that the company may consider we are 'fickle". The advantage a retail investor has with a placement is that the SP can frequently go below (or near) the placement price for a parallel SPP (or RI) during (and immediately after) the offer period (i.e retail investors are often pissed off with the SP and throw the baby out with the bath water) and cheap shares can be purchased on market by retail investors in the full knowledge that the company already has the money it really needs. The worst case scenario is that the company does not raise the money it needs and goes bankrupt or takes on things like convertible notes or debt it then struggles to repay

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They now have money in the bank ready to.push forward. The raise price yes was dubious but occurs often in this lower mcap range. All the boys will be in. It's effectively insider trading with no paper trail but 9 times out of 10 the share price 12 months on from these type of rises especially when a company is already established and producing income will be well above the raise price. They now don't owe Pure anything. Most are seeing this rise as a negative but I am seeing a company with money for expansion and a swelling order book pushing into a new financial year!! Lesssss go

SE1 Price at posting: 3.7¢ Sentiment: Hold Disclosure: Held
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