Guys. and Gals, im just thinking out loud on 2 things:
1. Change in mkt cap pre deal to post deal.
2. The implied value of the option that was granted on the cap raise to investors (1,458,334 @ $29), and 500,000 $29 to Evolution.
1.) So pre Cap raise mkt cap was 17.8mm shares * $26 =$462mm AUD
post raise its 19.25mm*$23=$443mm AUD (and they have net added about $32.9mm cash to balance sheet (after fees of $2.1mm).
i have included all the option and strikes that they posted in their last notice on Feb 6...
so mkt cap has actually gone down.
at $30 market cap is $636mm
I valued the options just using an online calculator: https://www.optionseducation.org/toolsoptionquotes/optionscalculator
and i calculated 66% anualised vol using the last 2 years of price data. That gave me a call price of $7.78. using a $24 stock price.
So to me the investors are getting a $7.78 discount to their cap raise price of $24, and existing shareholders obviously lose upside.
A no brainer for the investor, not so good for existing shareholders.
This is not cheap funding in my eyes at all..the implied cost of the options is $15mm on a $33mm cap raise..
I know that there is a bid offer in options etc.. I am not sure if these options will be listed or not, so we may never actually see a market price.
I'm not an options trader, so I may have screwed up the formula or pricing.. would love to hear feedback if you have it.
I am assuming this was the best deal available, but the money didn't come cheap.
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Guys. and Gals, im just thinking out loud on 2 things:1. Change...
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Last
$17.86 |
Change
-0.440(2.40%) |
Mkt cap ! $346.4M |
Open | High | Low | Value | Volume |
$18.29 | $18.30 | $17.86 | $52.15K | 2.896K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 9 | $17.86 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$17.95 | 2 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 9 | 17.860 |
1 | 750 | 17.850 |
1 | 1585 | 17.750 |
1 | 56 | 17.650 |
2 | 700 | 17.550 |
Price($) | Vol. | No. |
---|---|---|
17.950 | 2 | 1 |
18.070 | 26 | 1 |
18.180 | 442 | 1 |
18.190 | 25 | 1 |
18.210 | 25 | 1 |
Last trade - 12.43pm 05/07/2024 (20 minute delay) ? |
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