The company lost value as the market factored in this raise imo....

First 88 Last

Share
Profile

Follow
lexcorp

8,061 Posts.

530

18/03/23

16:23

Post #: 66839692
Share

Originally posted by amb005 ↑

So lets get this straight, to make things easy we will just use straight numbers.

Company is worth $30 million @ 3 cents with 1 billion shares on issue.

Company does not want to be taken over, whoever thought anyone wanted to take them over is stretching as well because where is the evidence of this, they couldnt even get funding from several strategic partners that they were willing to give up 20% of the company too, so to think someone wants to take it over is just hotcopper rubbish but Ill go with it to see how it makes any sense whatsoever. The theory here being to stop a take over they offer an entitlement to existing shareholders at 1 cent, devaluing the company by $20 million. Wow great work, Lost $20 million of shareholder value, for what exactly?

This helps shareholders how? This helps stopping a takeover how? What are the mechanics? Whats the difference to stopping whoever wanted to take the company over when it was valued at $30 million, same shareholders before the raise but now the company is worth $20 mill less.

All thats happened is its made the company lose around $20 million. If i was a shareholder I would be livid. Also check out the half yearly "In discussions with several strategic industry partners seeking a cornerstone investment up to 19.99%" Guess none of those "several" strategic partner wanted a part of it.

Hope there is a silver lining for some holders here because I hate seeing this happen time and again on ASX with management paying themselves great salaries for years off the backs of the Australian public who support the cap raises, but who end up with cents on the dollar for their investments, whilst management walk away scott free and can do it again, its possible things might turn but with a potential 3 billion shares on issue, and a raise at 66% discount to the share price, there are a lot of red flags here.

Expand

The company lost value as the market factored in this raise imo.

Not including the options as they may not be converted, but factoring in 1,988,480,000 shares at 0.014c gives a MC of $27.8m

That's how they had to do it at 1c

You couldn't ask holders to fork out at 2 or even 3c

OSL Price at posting: 1.4¢ Sentiment: Buy Disclosure: Held
1 Upvote

0 Great analysis

Reply

Top Stories

HotCopper Trends: Final day of quarterlies; Larvotto FID & more

MHK

Metal Hawk shares sink -50% as gold drill results disappoint

SGQ

Traders watch with interest as St George Mining reveals REE hit

SS1

Sun Silver unveils Maverick Springs assay results

WC8

Investors shrug as Wildcat's latest lithium drill hits fail to excite

First 88 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

(20min delay)
Last $1.06		Change -0.020(1.85%)		Mkt cap ! $19.95M

Open	High	Low	Value	Volume
$1.08	$1.08	$1.06	$13.57K	12.65K

Buyers (Bids)

No.	Vol.	Price($)
1	750	$1.07

Sellers (Offers)

Price($)	Vol.	No.
$1.08	9552	1

View Market Depth

No.	Vol.	Price($)
1	750	1.065
2	5889	1.060
1	4761	1.050
2	2961	1.040
1	2970	1.010

Price($)	Vol.	No.
1.075	9552	1
1.110	9892	1
1.120	6617	1
1.140	5000	1
1.145	5000	1

Last trade - 11.22am 31/07/2025 (20 minute delay)

OSL (ASX) Chart

The company lost value as the market factored in this raise imo....

HotCopper Trends: Final day of quarterlies; Larvotto FID & more

Metal Hawk shares sink -50% as gold drill results disappoint

Traders watch with interest as St George Mining reveals REE hit

Sun Silver unveils Maverick Springs assay results

Investors shrug as Wildcat's latest lithium drill hits fail to excite

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

The company lost value as the market factored in this raise imo....

Top Stories

HotCopper Trends: Final day of quarterlies; Larvotto FID & more

Metal Hawk shares sink -50% as gold drill results disappoint

Traders watch with interest as St George Mining reveals REE hit

Sun Silver unveils Maverick Springs assay results

Investors shrug as Wildcat's latest lithium drill hits fail to excite

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News