Ann: Race raises $29.7 million in oversubscribed SPP, page-157

There are a few strategic consequences arising from this SPP, in addition to having the money to fund Race's proposed research program.

Race's shareholders have demonstrated that they are willing to back management/BOD's funding requests. This means that instos/BP will now know that any "low ball" offers to meet potential future funding needs, are unlikely to gain any traction with Race's BOD i.e. we shareholders have really strengthened the BOD's position in such negotiations, as well as our own financial interests.

If Race's BOD considers that, in the future, more capital is needed to fund additional research/other activities so as to optimise Race's long term value, then they will have more confidence in putting up a funding request, even quite a large one, to shareholders. I suspect many biotech BODs are not in that position.

I suspect the manner in which this SPP was undertaken has strengthened the BOD's support amongst shareholders. This may make them more confident when ultimately negotiating a buy out from BP, as they know the shareholders will be more likely to back their recommendations and are less likely to consider "low ball" offers..