how far will price correct on new share allo?, page-13

Leaving the technical positon aside, a question nags at me.

To read most posters on the POH threads, commercial success & rich pickings are assured, at a multiple of the curent sp range. Yet POH have materially increased the shares in issue, thereby diluting not just existing shareholders but also management's holdings, at 14p.

If success is so self evident/risk free, why could they not have 'auctioned' the investment opportuinity & tapped a large, informed investor(s) to put up the $30m. or so at a price well above that? Afeter all, the investment community is a competitive market like any other.

I hear all the arguments, the wide interest by large companies, etc, etc. So what could go wrong....? Presumably it's not yet quite a dead cert?