That's not how these things work.
Acuity 'borrow' shares from existing shareholders. If a trade goes through, there is essentially a timing issue, the proceeds are banked by Acuity and the new shareholder gets the borrowed shares.
Sometime down the track, new shares are issued to the existing shareholder who was borrowed from and Acuity gives the Company the funds they have been hanging on to, less their (higher than a placement commission) fee.
Its good for when there is a temporary spike in the SP I guess but certainly not any sort of finance.
- Forums
- ASX - By Stock
- MNE
- Ann: Company Update
Ann: Company Update, page-24
-
- There are more pages in this discussion • 20 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)