Hi wasa, I very much doubt this will be a sophisticated investors affair. That has not been VPE's style. Despite the fact that they have cap raisings with monotonous regularity they tend to at least be rights issues. Hell I even got bonus options from them at one point, just out of the blue too!
My guess would be that the extended time that there has no cashflow from the cooper will be part of the reason for the cap raising, it has been almost 12 months! Taking advantage of the current high shareprice to minimis the dilutive effect, and give themselves a buffer should the cooper remain wet for longer than expected would be part of the reasoning me thinks.
Just waiting to see what the price is.. This is the fitth company I hold shares in to do a cap raising this month.... sigh.
Tony.
VPE Price at posting:
38.5¢ Sentiment: Hold Disclosure: Held
