Ann: Equity Raising Presentation, page-47

Absolutely right. The share price is very likely to gravitate down to $6.50 as many of the so called professional investors will sell off their existing holding at any price greater than $6.50 to be replaced with shares now acquired at $6.50.

What was the hurry in arranging the placement? It would have been far fairer to have undertaken a renounceable rights issue to existing shareholders. Less pressure on the share price. Although the Chairman has signalled his intention to take up $250,000 worth, which in itself is a reassuring signal it is nevertheless at the expense of existing shareholders being denied the opportunity to take up share via a renounceable rights issue. Directors trading in VUL now needs to be monitored - probably with effect from a week ago and going forward for a few weeks.

It is still subject to ratification at the next AGM but that is a foregone conclusion.