be realistic. the current sp is 7.8c. the investor will recieve a discount to the VWAP, and it may be calculated using a period just prior to FY Results.
then the investor will get some cheap options to further dilute us in the future.
i totally agree wil Melua on the FACTS. sure we dont know exact details, but it should be plainly obvious the nav will be diluted to 20-40c range depending on sparcs ans other fine details.
if nav was 20c, less risk, bbi trade close to nav. but with little long term upside you could be looking at anything between 5c-15c per share.
the investor with his 10-20% discount should make an instant profit, followed by executing options in a few years time.
if it gets to 10c be happy, its still a nice return from 7.8c.
and hopefully we will all recieve a rights issue to help counter dilution effects. i will buy in if offered shares at 6c each. not sure how many i would take up.
BBI Price at posting:
7.8¢ Sentiment: LT Sell Disclosure: Held
