Ann: Capital Raising Update , page-10

Hi
Rang the company and spoke to them.
Also I participated in the first recent raising..

1) I know there was a big over-subscription. We were warned from the onset we might not get what we want due to big demand. I also felt the selection process on what we got was based on whether the company believed we were traders or long term investors.
2) The people in the recent placement had already flagged interest at the first placement. Even when the stock dropped after first placement and trading halt was lifted, they continued to commit.
3) I asked a new Top 20 to be published to the website once the shares are issued. I am sure you will see some existing shareholders increase their holdings. Which would indicate more then the 7 of the existing Top 20 subscribed. The problem would have been if they had been denied stock they were after they may have taken a different view on the company.
4) I think the holdup might have been around how to allocate this next lot of stock.

My opinion is they could have raised the whole 10% in this raising but chose not to based on ensuring the people they brought on where long term investors. I am also of the opinion that these people will be great for the register. If you read back though my previous posts you will see the placement done at 6c there were several traders in that issue and these people have now gone. I think the company is keen to avoid a repeat.


My opinions only. This is NOT investment advice. Do your own research.