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ALA mentioned they were planning on doing a roadshow in the next...

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580 Posts.

22/01/16

13:52

Post #: 16850426
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Originally posted by webbj ↑

Wow, they must have grand plans and a few announcements up their sleeves if that's the capital raising strategy. To get into the money and the cash they are referring to, will need to see a 66% rise in the head value - in the next 4 months.

Two pretty distinct outcomes for holders of heads I suspect, those being;

a) heads hit 25c, existing holders see a 66% return on their current holding.
Company has $8 million extra cash and carries on their plans. Share price holds as company is funded and continues growth.

b) The news is good, but not quite good enough to see heads at 25c. Lots of upset options holders. Heads remain much closer to current prices, company is forced to raise cash at a lower price. If its an 'out of the blue' raise, possibly less support depending on how the market is treating the news to date.

On the bright side, holders will be anticipating a 50% dilution of their holding already given the number of options out there, its really just a matter of what price new shares are issued at (whether a CR or option conversion).

Interesting times ahead.

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ALA mentioned they were planning on doing a roadshow in the next few weeks, Oz, Hong Kong.
SP1 Price at posting: 15.0¢ Sentiment: Buy Disclosure: Held
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