ARU Chart Thread, page-2734

BGL is a stock that had a cap raise at $1.55 when the SP was around $1.84.

Its dropped to $1.40 (low of $1.32) after the cap raise announcement. You can check the SP movement as it’s happened within the last 2 weeks. I bought some at $1.32.

In that context, retail won’t buy at $1.55 (why would they) however instos won’t buy on market as there simply isn’t enough shares going around (they’d be seeking hundreds of thousands to millions of shares as an example).

In the context of ARU, if it hypothetically dropped to say 12c, the same rules apply and it would be the Instos getting in at 16c, due to the number of shares available via the SPP vs on market.

Reality is, those instos getting in don’t get as emotional as retail investors do over 10-20% swings, when there’s 50%+ gains to be made.

Anyway, I’ve just bought more shares at 16.5c. If two directors bought shares at 16c and 16.5c, then f* it im jumping in a bit more too.

I’ll watch closely what happens from the sideline, however I’m not participating in SPP. Few stories in other forums about people still waiting on their refunds months in advance from Automic. The stress from that isn’t worth 0.5c different in purchase price.